How Millennials Can Help Redefine Your Practice

Millennials are using their social mindset and a focus on technology to reinvigorate the workplace.  This group of trendy twenty-somethings may not have had as much experience as those generations that they are preceding.  However, financial advisors could redefine their practices for long-term success based on the qualities and quirks of this young, yet rapidly evolving generation.

Redefining Dynamics

goalsThe Millennials have an extremely different outlook on office dynamics than those that have preceded them. Baby Boomers place their focus on corporate hierarchies and individual successes, while the Millennials prefer to work in teams and collectively achieve goals¹.

Incorporating a business model built around teamwork not only promotes an open space for sharing ideas, but also allows for more experienced hands on deck to assist your client base.

Also, Millennials rely on immediate feedback from their work peers and supervisors².  By gauging your teams’ success on a continuous basis rather than in increments, needed improvements can be quickly adjusted or positive contributions can be highlighted and built upon.

Redefining Service

customer conceptMany financial advisors view serving their clients acting as a resource and educating them on complex plans. However, studies show that only 4 percent of Millennials are most influenced by experts. The majority of this generation feels more inclined to be persuaded by those they feel connected with such as a family member or friend³. That being said, try positioning yourself less as an expert and more as a confidant.

Gain trust and influence to establish real connections with your clients.  This will not only help build rapport with current customers, but will also encourage them to recommend you as “a trusted friend” to others.  Not to mention, integrating this connection-oriented approach is sure to help when attracting the next generation of investors.

Redefining Community

CommunityAlthough Millennials have been described as being focused solely on their own needs, what studies show may come as a surprise. Despite their self-centered generalization, almost 70 percent of this generation say that giving back and being civically engaged are their highest priority¹. Seeing how service based this industry’s work is, advisors should easily be able to connect with this social mindedness.

However, they can take this a step beyond by motivating their office or clients to participate in charitable events or volunteer with non-profit organizations.  This not only satisfies social duties, but also provides a way to deeper connect with the community and its wellbeing.  That way, the advisor can be sure to help others both inside and outside of their office.

Redefining Technology

TechnologyThe technology era is upon us, and the Millennials are most certainly in the lead for its use and understanding.

This generation has grown up with technology in every facet of their life, and their ability to adjust to its ever-changing advances has become second nature to them.

Unfortunately, this adaptability is ignored by some seasoned advisors due to apprehension from regulations, or simply not enough experience or information to reap the benefits.

What these late adopters may not realize is that digital and mobile capabilities are already infiltrating the industry as key communication methods and practice management systems based on cost-effectiveness, turnkey simplicity and expanding audience reach.

The innovation potential and staying power for advisor technology is strong, and it will continue to strengthen as client’s digitally-dependent children start inheriting assets. Strike while the iron is hot, and start embracing technology to stay competitive now and in the years to come.

Transitioning Millennial Advisors With The ELITE Program

Integrating these Millennial values is one way to help refine your practice, but having one in your office as a junior partner could completely change its future by bringing a new perspective while securing a succession plan.

NEXT Financial Group, Inc. has created the ELITE program to help train and prepare the next generation of financial advisors.  Email marketing@nextfinancial.com if you are interested in learning more.

Sources:

1. Gilbert, J. (2011, October). “The Millennials: A New Generation of Employees, A New Set of Engagement Policies” Ivey Business Journal. Retrieved from: http://iveybusinessjournal.com/publication/the-millennials-a-new-generation-of-employees-a-new-set-of-engagement-policies/

2. Barnes, T. (2014, December 15). “4 Ways To Engage And Retain Millennial Employees” Forbes. Retrieved from:
http://www.forbes.com/sites/castlight/2014/12/15/4-ways-to-engage-and-retain-millennial-employees/

3. Barton, C., Koslow, L. (2014, January 15). “How Millennials Are Changing the Face of Marketing Forever” The Boston Consulting Group. Retrieved from:  https://www.bcgperspectives.com/content/articles/marketing_center_consumer_customer_insight_how_millennials_changing_marketing_forever/?chapter=3