financial planning services dollars & “sense”. the overwhelming majority of consumers (84%)...

FINANCIAL PLANNING SERVICESFINANCIAL PLANNING SERVICES

DOLLARS & “SENSE”

• The overwhelming majority of consumers (84%) make financial decisions without the help of an advisor, according to a survey conducted by the Certified Financial Planner Board of Standards, Inc.

• 92% of the respondents said they take on at least some of their own financial activities themselves.

• 48% named themselves as their household’s primary financial advisor.

• Certified financial planners were the primary advisors of 9% of the respondents, and financial planners, as a whole, (including non-certified planners) were the primary advisors to 19% of the survey participants.

HOW CUSTOMERS VIEW IT

FINANCIAL PLANNING SERVICES

• Those who said they did use financial planners described themselves as very satisfied with the experience.

• 91% of those who used a CFP-certified planner were either extremely or very satisfied.

• 85% of those who used a financial planner, certified or not, also described themselves as either extremely or very satisfied.

THE CUSTOMER SPEAKS UP


• 71% agreed that financial advisors are a good source of information about financial product.

• 68% agree that they are professional in their advisory function.

• Most of the respondents (62%) described themselves as “financially knowledgeable.”

• 42% said they were satisfied with how well they are handling their own financial affairs.

A POSITIVE FEELING


• Fret about financial decisions.

• Are not confident about their control of their financial future.

• Do not enjoy planning and thinking about financial matters.

• May have a financial plan, but admit they really don’t follow it.

• Are their own primary financial advisors, despite their discomfort.

Characteristics of Worriers

Source: Certified Financial Planner Board of Standards, Inc.

CONSUMER PROFILE: THE WORRIERS


• Are satisfied with their financial decisions.

• Feel more knowledgeable and successful than other consumers.

• Devote more time each month to financial matters than average consumers.

• Use the Internet for financial purposes.

• Prefer to make financial decisions without professional help.

Characteristics of Independents


CONSUMER PROFILE: THE INDEPENDENTS


• Enthusiastically seek professional advice.

• Are confident that they are in control of their financial lives.

• Feel their investments meet or exceed their expectations.

• Have benefited from having a financial plan.

Characteristics of Help-Wanteds


CONSUMER PROFILE: HELP-WANTEDS


1. Major financial institutions, including banks and financial-services firms, have been merging. These mergers empowered these mega firms to offer products such as insurance, securities and financial advice.

2. The development of the Internet has put financial information in the hands of the general public, without the need to call or visit a financial planner. Now customers have the ability to make transactions on websites, allowing consumers to build portfolios at home, online.

SIZE MATTERS


Two key trends in the financial-services industry are putting pressure on financial planners.

• The gay and lesbian community has become a crucial target for firms offering financial services online, according to Harris Interactive and Witeck-Combs Communications, Inc.

• Their survey found gay, lesbian, bisexual and transgender consumers are more likely than non-gays to prefer financial institutions that offer products and services on the Internet.

• More than half of these respondents said Internet service offerings were a major factor in their decision on where to conduct their financial business, compared with 43% of the non-gay survey participants.

DEMOGRAPHIC DIVERSITY


SHARING THE WEALTH

• The proportion of women in affluent households who participated in major financial decisions grew 25% between 1995 and 2000.

• In the latter year, one-half of all affluent households had men and women sharing in the financial decisions, compared with 40% in 1995.

• A woman was the sole decision maker on finances in 13% of all affluent households in 2000.

• Women who shared in household financial decisions are younger, with nearly half of them between 35 and 49 years of age.


WOMEN, FINANCIALLY SPEAKING

• According to a study by Simmons Market Research, women are more experienced and savvier financially than women in their position years ago.

• Women tend to be more conservative than men in their investment decisions.

• They are less likely to play the stock market and more likely to avoid risk.

• Women were less likely than men to own a mutual fund, keep a brokerage account and own IRAs.

• They are more likely to invest in savings bonds than men. If they do own IRAs, women tend to permit banks to handle them rather than keeping them with brokerages or mutual-fund managers.


• There is a tremendous amount of competition in the financial services market. As a result, with television being viewed by the public as the "most authoritative" and the "most influential" medium, TV advertising is the way to go in conveying a persuasive message to potential clients that stands out from the competition.

• Financial planners are often found using direct mail to reach both prospective and current investor-clients. With the use of television to further convey the intended message, the response rate could very well increase.

• The key for a consumer in choosing a financial planner is trust. This is, therefore, what an advertising message for a financial planner must convey.

• Don't forget target your television ads to both men AND women. Address your message to include both sexes and schedule your spots to reach all adults.

ADVERTISING STRATEGIES


The answer is three simple reasons!

WHY TV?FINANCIAL PLANNING SERVICES

Your customers and potential customers use it — viewing daily for long periods of time

1.1.

TV’s attributes of sight, sound, motion and emotion let you best communicate your message tothese people

2.2.

Television works in dollars returned!3.3.


Remember,Only television can give you:

The right message

To the right people

At the right time

In the right place!


FINANCIAL PLANNING SERVICESFINANCIAL PLANNING SERVICES

DOLLARS & “SENSE”