Mobile apps and websites have become a critical part of the overall client wealth management experience as investors increasingly consult digitally first to review their investments, conduct transactions and conduct research, including a to learn published Tuesday by JD Power.
The study found that the trend is more pronounced among younger investors, who report significantly higher overall satisfaction and brand advocacy when they frequently interact with their company’s wealth management app.
“Wealth management firms that want to attract and retain younger investors need to focus on continuing to improve their apps.” mike foySenior Director of Wealth Intelligence at JD Power.
“The mobile app is really becoming the focal point of the modern wealth management client’s user experience, and that’s not just true for do-it-yourself investors, but also for those working with a financial advisor,” Foy explained.
JD Power conducted the survey from June through August and received responses from 6,375 full-service and self-directed investors.
Mobile app settings
According to the survey results, US wealth management apps outperform websites by 731 points (on a 1,000-point scale), 50 points higher than the average score for wealth management websites. According to JD Power, this gap is mainly due to younger investors’ strong preference for apps.
Customer satisfaction with mobile apps is highest among older Millennials, with an average score of 760, followed by Gen Z with an average score of 720, according to the survey.
Older investors, who are more likely to use their wealth management firm’s website, are less satisfied with mobile apps.
JD Power found that the top-performing mobile apps that generate the highest overall customer satisfaction also have a strong brand message, as measured by average Net Promoter Scores of 83 (on a scale of -100 to 100). This compares to an NPS of 73 among top-performing websites.
The study also disproved the perception that mobile wealth management apps and websites are primarily designed for do-it-yourself investors who have no advisor interaction with the primary investment firm.
In fact, overall client satisfaction scores were higher among advised investors who were more likely to use the digital financial tools provided by their wealth management firms, including tools that help them connect with their financial advisor more efficiently and conveniently.
“Companies that deliver the best overall digital experience recognize that their apps and websites are an extension of the customer relationship and can be used to improve relationships with advisors, foster brand loyalty and differentiate themselves from the competition.” Amit Aggarwalsenior director of digital solutions at JD Power, said in the statement.
View the gallery for the firms ranked highest and lowest in terms of overall customer satisfaction with the digital wealth management experience.