Brokerages reach out, yet keep costs low
It is hardly surprising that brokerages and other financial services institutions are using many methods to tap and contact investors to not only market their products effectively but also to bring these investors onto their permanent client list.business Updated: Nov 16, 2008 19:56 IST
It is hardly surprising that brokerages and other financial services institutions are using many methods to tap and contact investors to not only market their products effectively but also to bring these investors onto their permanent client list. Naturally, the marketing has to be low-cost in an environment, which is seeing a fall in markets, as companies can’t afford to give lavish marketing budgets. Here is looking at some such methods being employed by financial services providers:
Short messaging service
One of the most direct ways to reach the small investor has been the mobile phone and SMS plays an important part here. Details about various plans provided by the company are messaged to individual investor directly. The cell numbers are available from records given by the investor when they register as a client. This ensures that the reach is direct and at the same time does not cost much because the amount involved will depend upon the messages sent and a large number of people can be reached with a small amount.
Here, the messages are sent to the email account of an individual. This route is used when a large amount of information has to be conveyed or when some additional features are required because it is easier to see this on the mail with attachments than through other routes. Specific messages can also be sent using mail and this also retains the feature of easy reference for investors who can see the message when then have the time. This also facilitates higher effectiveness of the message for the individual investor and the broker. Investors can use such communication effectively in achieving their objectives.
A low-cost option of reaching out to non-client investors is through pamphlets. Most investors have been impacted by the sharp fall in the markets. However, the fall also presents an opportunity for several market players and new investors. Thus targeting investors with a specific message has added importance at this point of time. Pamphlets do not cost much and can delivered to a wider audience. Investors on their part need to be aware of these routes and the efforts behind them.