Thought Leadership by Ed Nicholson, Brand Experience Director at Organic
In this rapidly evolving digital age, investment firms – particularly those run on old-school principles and methods – must ensure their online presence is optimised to appeal to the next generation of investors.
With the rise of digital platforms and changing consumer expectations, cultivating a strong digital presence is crucial. Our expectations of brands and the experiences they offer are shaped by the best-in-class interactions we encounter daily. Giants like Google, Netflix, and Spotify have set the bar high, providing us with quick, effortless, and tailored experiences.
Young investors have grown up using digital products. Online or app-first services aren’t new or innovative to them – they’re the norm. This shift in consumer expectations presents a challenge for investment firms. While previous generations may have been more willing to accept clunky, slow or badly-designed websites or digital experiences (as the early websites that introduced them to online services weren’t the slick operations we see today), the new breed of investors has grown up with seamless digital interactions.
This younger demographic demands a flawless digital experience – anything less than that, and they won’t stick around and instead find another brand that meets their needs.
They want it all, and they want it now
The need to target younger generations is increasingly critical for investment firms. Without wanting to be morbid, ageing client bases won’t be around forever, and a new wave of high-net-worth individuals are the future. Many of these have accumulated wealth through non-traditional means, and the way they engage with investment firms is different, and thoroughly rooted in modern expectations.
An older generation of consultants might struggle to communicate effectively with these digital native, newly wealthy people. Phone ads or placements in magazines are unlikely to reach them, especially as digital circulation of magazines is now overtaking print. Global print circulation figures were down 14% between 2021 and 2022, while digital figures looked much more promising – current affairs and finance bible The Economist, for example, sold over 1 million digital editions globally. There are countless stats and studies on the rise of digital formats; the proof that you need to embrace them really is in the numbers.
Gen Z in particular is unlikely to go to traditional sources first for news, or even investment tips and tricks – studies show that in several countries, this demographic goes to Instagram, TikTok or messaging apps first for news. Gen Z wants to be well-informed about products they’re interested in before buying, and expect this information to be accessible any time they want it. To cater to the new generation, investment firms must create personalised online experiences that align with their specific needs and preferences.
Are we there yet? Simplifying the journey
Young investors want easy access to relevant information and seamless communication channels. Ask yourself: can they call you directly from your website or access a phone number? Is there a live chat function? Are those experiences seamlessly integrated with your content?
Quick and simple user interface and user experience (UX and UI) design will not only keep young customers happy, but it’ll make them more likely to return to your brand or recommend it to their peers. As well as making navigation simple, the quality of the content is key, too. Keep would-be customers informed every step of the way: by consistently providing relevant and useful content that answers any questions investors might have as they browse a site or app, investment firms can position themselves as thought leaders with an interest in, and understanding of, customers’ needs, queries and beliefs.
It’s essential for investment firms to ensure consistency across all digital touchpoints, too, whether that’s their website or app, or off-platform, such as in Google search results or social media. The interactions and tone of voice should remain consistent. It’s all very well investing heavily in a well-designed and written website, but if the imagery used doesn’t fit, or the tone of paid ads doesn’t match, users will get a negative and fragmented perception of the brand.
Invest in success
Identifying digital pain points effectively can sometimes be held back by impatience and desire for efficiency. At Organic, we’ve seen clients want to initiate projects quickly and without the requisite planning and budget, which can create challenges when conducting in-depth research. We recently worked with investment management brand Waverton to align the firm’s online activity with a refreshed visual identity, alongside establishing a new strategic vision for its digital experience to cater to existing and prospective clients. With this in mind, my biggest piece of advice is to be willing to conduct in-depth research, including customer interviews, before commencing any projects to improve your digital offering, as this will give you a much wider picture of what’s needed. That means willingness to devote budget to this, too.
When time and budget are limited, there are still things you can do. We have an alternative, more efficient – but less in-depth – method, where we make quick changes and improvements to a website based on analytics data, and look into ongoing issues while it’s live. The problem with that, though, is that solely relying on analytics may not provide a complete understanding of why certain situations or issues arise. The numbers will show you that people are dropping off your website at a certain page, but not why they’re doing it. That’s why I recommend supplementing analytics with techniques like heat mapping and customer interviews to gain deeper insights into user behaviour and pain points.
In summary, investment firms must embrace the digital age by reimagining and modernising their online experiences. It’s vital to remember that quick, easy and intuitive digital products are now the baseline expectation, not a perk. Your content and UX should work in harmony, your off-platform presence needs to not be neglected, and you should devote time into researching Gen Z consumer behaviour to tap into what really makes this demographic tick. There is a new generation of investors out there – you just need to know how to win them over.
