Having a strong marketing strategy and content program is critical for asset managers to get noticed by investors in such a competitive financial landscape. However, new research indicates there are three key mistakes asset managers make when it comes to their online marketing strategy which makes their content bland and unengaging. From using the same ten words across all of their ‘elevator pitch’ content, to placing too much emphasis on promotional content, asset managers aren’t creating innovative and captivating content which will capture the interests of potential investors. By improving these three key areas, your asset management firm can gain a competitive edge and stand out from the crowd, enabling you to gain new investors and nurture leads effectively.
Across the board asset management firms fail to differentiate their marketing content from their competitors. This makes it difficult to get noticed and form meaningful connections with investors, as clients aren’t able to effectively judge whether your content and services are a good fit for them personally.
While marketing content will be similar to an extent by nature of being in the same industry, asset managers should focus on identifying a target audience and tailoring content to them. This will help create a personalised connection with investors and build both trust and loyalty as your target audience gains the content they want.
One key area asset managers can improve to ensure they are differentiating themselves is through their language. In a Peregrine study of 100 asset management firms’ digital presence in the US and Europe, it was found the same ten words were used in their business descriptions. Despite many of these firms being specialised and different from other asset managers the terms utilised were highly generalised and lacked anything unique. The four most used terms include:
- Global (34%)
- Long-term (32%)
- Innovative (24%
- Leading (20%)
By ensuring your asset management firm’s language and content are tailored to your audience and unique to your business it will be easier to get noticed by investors, help generate leads, and create a personalised experience for your clients.
Ineffectively using digital resources
Asset managers are increasingly utilising social media as a core part of their marketing strategy, however, many of them aren’t using it to its full extent. Social media can be an effective marketing strategy when used correctly. However, many asset managers focus on the wrong types of social media content, such as using overly technical jargon and posts that don’t have the end-users interests in mind. While they may have large follower bases, they lack real engagement as a result. For example, only 9% of asset management firms use video to communicate with investors despite website metrics revealing video content garners the highest engagement.
In our own research article, we analysed the social media presence of seven asset management firms around the world to understand what they were doing right and wrong. Here is a quick breakdown of the key content types that perform on social:
- Educational content
- Tailored content for each social media channel
- Infographics, visual content, and short form videos
- An always-on content strategy
Too much focus on promotional content
Another mistake asset managers are making across their digital content is a focus on promotional brand-centered content and market commentary. While asset managers shouldn’t remove their marketing commentary content it needs to be presented in a different way. Often, it’s too technical and doesn’t explain what the market movements mean for investors that may be less informed. By combining market commentary with educational material your content can become a valuable resource for all kinds of investors.
In regards to promotional content, these posts and marketing don’t generate much attention or engagement from investors and should be limited to make way for a more personalised marketing strategy.
In a study of asset managers online marketing it found:
- 56% of website content contained mostly promotional marketing material
- 62% focused on marketing commentary
- 14% of websites contained educational content
“ Only 14% of asset management websites contain truly educational content. ”
This reflects an information gap with asset managers providing content that can only be understood by a select number of sophisticated investors. By replacing promotional marketing with useful, educational content and thought leadership your asset management firm can build stronger customer relationships, increase leads, and effectively nurture potential clients.
In fact, asset management firms that have a mixture of the three improved their ‘bounce’ rates from 36% to 16%.
What asset managers can learn
Reflecting on your marketing strategy and identifying key areas to improve is important to ensure your asset management firm is constantly differentiating themselves and capturing the attention of investors.
These are the three key areas asset management firms can improve:
- Create unique content that is tailored to your business and specific target audience.
- Ensure you’re creating social media content your investors want to see such as educational content and visual content.
- Mix up your website content from simply just promotional material and market commentary to educational and tailored content.