• by Tanya Gazdik , August 11, 2011

The financial services industry measures 80%+ on Wickware Communication's Cliché-O-Meter.

The Los Angeles-based company found that fewer than 25% of financial services companies are successfully engaging customers across multiple communication channels such as advertising, video and blogs.

More than 80% of the asset managers rely on verbal clichés like "client service-oriented," "globally focused" and "unique investment philosophy" and images such as globes, compasses and trees to depict their companies.

Wickware examined 150 North American asset managers with at least $10 billion in assets under management. Firms studied include regional and boutique fund managers, as well as national household names.

The study revealed that while social media has become very popular, the majority of companies are not using these platforms effectively. For instance, only 15% of the companies surveyed use Facebook and YouTube. Blogs are regularly updated by just 10% of the firms surveyed, and Twitter had the lowest use, with only 8% regularly posting content.

The study identified Vanguard, John Hancock, Prudential Financial, PIMCO and BlackRock as the highest-scoring firms in the industry, says Cara Crosetti, Wickware Communications account director and research lead.

"Each of these firms demonstrates a strong brand voice, compelling visuals, and content that helps investors believe in the brand," Crosetti tells Marketing Daily.

For example, PIMCO backs up its claim of being a "global investment authority" with a very active PR presence, she says. BlackRock uses innovative design and a great mix of strategic and tactical communications on market events. John Hancock does a great job of engaging its audience with solutions to very specific financial problems, as does Prudential with its "bring your challenges" campaign, Crosetti adds. "Vanguard is just all-around great at targeting its various retail and institutional audiences with a variety of print and digital content, including social media," she says.

The majority of financial services firms are playing it safe in their messaging, and by doing so, aren't communicating their value and difference in the market," Crosetti says.

"More than 80% of asset managers look and sound pretty much the same," she says. "You need to develop a message that tells your audience what makes you different, why you do what you do and, most importantly, how you can help them. Once you have that message in place, you can expect to see better results from all your communications."

Many asset managers have the essence of a good brand, they just need help expressing it, she says. "It's not laziness so much as a lack of expertise and attention," Crosetti says. "Often, portfolio managers and business executives are driving the marketing decisions instead of bringing in people with the right kind of creativity and expertise. The funny thing is many of these same investment people like to invest in businesses with strong, differentiated brands. They just need to apply the same thinking to their own business."