Video
When investment professionals leave a brokerage firm, they often take their customers with them, leaving the firm in a bind. Heidi Deringer, a partner with Bain's Financial Services practice, outlines two levers brokerages can use to foster loyalty in their investment professionals and their customers.
Read the Bain Brief: To Earn Greater Loyalty, Investment Brokerages Should Think Digital
Read the transcript below.
HEIDI DERINGER: Brokerages work hard to attract and retain the best investment professionals, yet they're often caught in a bind, which is, when those investment professionals leave the firm, they tend to take some of their best customers with them.
So we've really focused on trying to understand how to resolve that and what the levers are. And we've found that there are two main levers. One is hiring and retaining those great advisers. And the second is developing the right set of digital tools. The side benefit of developing those tools, in addition to driving advocacy with the consumer, is the fact that you're going to give the consumer a simpler, more streamlined way to accomplish some of the routine and daily interactions. And those are things like moving money, answering simple questions or even researching a simple investment. It's a great benefit to the consumer to have a simple, easy way to do that on their own and self-serve.
Read the Bain Brief: To Earn Greater Loyalty, Investment Brokerages Should Think Digital
First published in April 2018