How Affluent Investors Use The Internet

Despite the economic turmoil, choppy markets, and scandals of the past six years, affluent investors remain upbeat — especially those with advisors. More affluent investors use the Web today to manage their investments than they did six years ago. And contrary to conventional wisdom, the advised affluent are more active online with their investments than affluent investors without advisors are. Yet full-service firms neglect their Web sites. These stale, ill-conceived sites undermine the relationships between clients and their advisors and need to be fixed. Smart firms will redesign their sites to be advisor-centric and collaborative, like that of JPMorgan Private Bank, and then will incent their advisors to use the site with clients.

Digital Channels Undermine Financial Adviser's Relationships?

The electronic channel experience for clients of advisory firms undercuts the relationship their advisors cultivate in person. Collaborative advice technology will extend advisors' relationships into these channels, boosting client satisfaction and driving additional revenue.

Organic Business

Organic IT — technology infrastructure that adapts to the on-demand needs of business — will help firms slash their IT costs. But the real payoff will come when firms harness their technology horsepower and new Internet standards to bring their business services online in a strategy that Forrester calls Organic Business. An Organic Business will embed its business services in customers' and suppliers' operations under direct business control. The result? Sticky customers, efficient suppliers, and the rise of a business services Internet that overcomes location barriers to enable deeper business process outsourcing.

What Satisfies Financial Services Consumers

Financial services consumers have changed: They're mistrustful, insecure, and hands-on. But financial services firms haven't changed accordingly. The result is that customer satisfaction has plummeted. What satisfies consumers are firms that are customer advocates — those that do what's best for the customer, not just what's best for the bottom line. Firms that demonstrate the four aspects of customer advocacy — simplicity, benevolence, transparency, and trustworthiness — enjoy higher customer satisfaction rates and greater cross-sell success.