REFLECTIONS ON PROVIDING TECHNOLOGY SOLUTIONS FOR FEMALE MILLENNIAL INVESTORS
Working for Web Financial Group, a company that provides data-driven managed service solutions to banks and brokers, I get a constant input on new trends and market developments from clients, prospects, partner and competitors.
In the past few months, I have also been participating in a female only investor chat group which has given me additional insight into what retail investors are looking for in a wealth platform. This group, many of them millennials, consists of a wide spectrum of people from absolute beginners to very savvy investors. Here are some personal thoughts generated by the discussions:
1. “Why can I not buy shares on a Sunday?”
The first time I saw questions along these lines from an investing newbie, I thought that this was a really stupid question as everyone knows the stock exchanges are closed on weekends!
But… we are now used to 24/7 supermarkets and retail shopping websites which always allow you to place an order. Of course people are expecting to be able to invest 24/7 too. Maybe we are not yet at a point where stock exchanges will open on the weekend but until then, make sure your channels are available for weekend investment research, building watch lists and preparing trades.
2. Segmentation and Personalization
The question above demonstrates the very wide spectrum of clients a retail broker faces, and it clearly illustrates the need for personalization. Don’t explain the exchange open times to a seasoned investor, but also a new investor can be scared of too much and too complex information.
This advanced information may be exactly what your savvy investor wants, otherwise they may leave your site and look for the information elsewhere. The solution is to segment and personalize the solution according to user type. However, be aware — this is not a one off job. This is an ongoing commitment to manage and maintain the messaging for each user segment. That beginner investor will not always be a beginner.
3. “I check my portfolio every time I open my phone to check Facebook and Twitter”
The message is quite clear — ensure your mobile and tablet solutions are up to date and easily accessible with personalized information like Facebook, Twitter and other social media channels.
4. Investing in brands rather than companies
New investors seem to be more comfortable with investing in brands they know and whose services and products they already are buying whether that is fashion brands, food retailers, or other consumer brands. Other examples are people investing in a company who has a large factory or presence close to where you live, or maybe investing in your own employer.
Is this maybe the stepping stone for investments in less consumer oriented industries like industrials or pharmaceuticals? Or is this perhaps the way to determine what is the best investment — a LVHM share or a Louis Vuitton bag?
5. Gamification
Millennials have grown up playing games on mobile phones and social media. They are used to losing a game, but they are also used to getting new lives. How does this translate to risk aversiveness? We are still in a bull market, so when this changes, will the enthusiasm still be there when the “new lives” are less forthcoming?
Web Financial Group is a data driven managed service solutions provider specialized in providing customized market data solutions for banks and brokers. Talk to us about our thoughts and solutions around personalization, mobile and tablet solutions, gamification inspired UX and content tailored for your users’ degree of sophistication.
Jenny Diehl
Director Global Sales Team
Web Financial Group UK
