By John Capuano, Co-Founder of Simplicity Lone Beacon
A large RIA in San Diego recently invested $10 Million into a digital lead aggregation platform to close $1 Billion in assets.
This sounds like a lot of money, and it is, but there’s a lesson to be learned here! Out of every 100 leads, 20 booked an appointment, about 12 kept an appointment, and about 4 closed. The firm had a staff in place to call ALL of the inquiries…and still 80% of them DIDN’T book an appointment. And that’s okay! At a 1% management fee, they would be making their $10 Million back after the first year…and when you add in market growth that number would 𝗱𝗼𝘂𝗯𝗹𝗲 in about seven years.
There are two lessons here:
#:1 Digital marketing is transformative for the financial business, but it takes discipline and commitment. Don’t sit on the sidelines. Understand that it will take time, but it’s 2024 and it’s 𝗽𝗮𝘀𝘁 𝘁𝗵𝗲 𝘁𝗶𝗺𝗲 𝘁𝗵𝗮𝘁 𝗲𝘃𝗲𝗿𝘆𝗼𝗻𝗲 𝗻𝗲𝗲𝗱𝘀 𝗮 𝗾𝘂𝗮𝗻𝘁𝗶𝗳𝗶𝗮𝗯𝗹𝗲 𝗱𝗶𝗴𝗶𝘁𝗮𝗹 𝘀𝘁𝗿𝗮𝘁𝗲𝗴𝘆.
#2: You have to commit to a REAL digital nurturing system, AND a person (or a department of people) dedicated to follow up with the leads that YOU paid for and that are interested in entrusting YOU with their life savings. It shouldn’t be a stretch for anyone in the investment world to understand how the process of digital lead capture works and the benefits that come with.
Your investment in this knowledge and the commitment to embrace it will make your life easier, and more profitable. A digital strategy continues to be beach front property…and it’s there for those who are ready to make the investment.
About the Author: John grew up in Schenectady, NY & received a scholarship to Norwich Academy. He began his broadcast management career at WOR, learning spoken word marketing from the best in the business with a specialty in financial and long form. John managed broadcast sales for some of the best known sports teams in the world, at the most legendary stations. However his true passion is in the world of direct response advertising to baby boomers and their parents. In this space he has worked with some of the best brands in America. John lives in Boston with his wife, Melissa who is also a broadcast executive, and French Bulldogs Lou and Sal.
