Why advisers should do more video marketing
Video is no longer an optional extra for financial adviser firms – but not just any videos, says David Inglis, director Gadgetline Films
Recent research has identified that only around one in five IFAs and financial adviser firms are using any form of video within their business.
Which is odd, because in the US the comparable figure for CFPs is around one in two, a huge difference. And even that is seen to be low or a bit backward.
If the view is narrowed to animated “explainer” videos, i.e. those videos that are subject-related, the figure for UK IFA usage drops to below one in ten.
In the wider business market video is now the go-to communication and information medium for consumers, in this case: clients or prospects. The stats for user’s preferences are overwhelming -showing that video has become the medium of choice for consumers of everything, which includes financial services content.
The state of video marketing survey recently released by wyzowl.com would make salutary reading for any firm serious about its communication who are not utilising video. That is just one of a series of research papers which ram home a simple point: if you don’t have video as part of your content or communication package, you are way off the pace.
The one in five/one in ten numbers suggest that IFAs/financial advisers in the UK have yet to grasp the importance of video as a tool of necessity rather than of luxury.
Why are so few adviser firms using video?
It is purely speculative, but I believe there are three main reasons:
First, the average firm in the adviser sector is phenomenally busy. There are so many competing pressures on an adviser’s time. Video is probably something all advisers would like to explore and introduce but then along comes GDPR, day to day compliance requirements, client matters and everything else, which makes it challenging to find time for anything new.
The second is cost. To acquire or produce a video has – up to this point – been priced at between £2,000 and £5,000 depending on production quality and duration. For a firm wanting to put four videos onto their website, they will be looking at total costs of at least £8,000 and maybe as much as £20,000.
The third is design. Say you have the time and you are happy with the cost, how do you get a video to production stage? The obvious answer is to go to a professional company and ask them to produce it for you. However not many companies will have the requisite in-house know-how of the complex world of financial services.
That means you will have to prepare, at the very least, a brief, possibly a full blown story board. That not only takes time (back to the first problem) but a level of creativity.
There is a default here – you can do it yourself by abandoning the designed video (animation or doodle) and getting a camera and simply recording something yourself, which could be you speaking to camera. That works and is easy and cheap.
Why talking heads no longer work
The problem with speaking to camera is that whilst it counts as bringing video into your business, it is proven to be pretty ineffective. Consumers are not looking for head to camera video from non-recognised sources.
That’s not me making that up for convenience for my business case.
That is based on research and surveys, for example according to the Ascend 2 video marketing survey, explainer videos are shown to be more effective with consumers by a factor of three compared to a video blog.
There is a logic to this, because the old adage a picture is worth a thousand words comes to mind. What it is that stands out with video? Imagery.
The human brain treats pictures differently to words, so an animated explainer video has the massive advantage it can express ideas in image form, whereas speaking to camera is just a little step up from the written word. Those images stick with people and create a different feel, which makes the animation option far more popular with the people who count – the viewers.
I have no doubt that advisers want to have video within their business, having spent the past few months ‘in the market’ it is clear to me that the majority understand the importance of video.
The good news for advisers is we seem to have found something that works and has overcome those three problems mentioned earlier.
We have now launched financial services animated videos, through our initiative, Own Branded Video, which are pre-produced, can become branded by a firm as their own, are incredibly low cost and very easy to adopt. An adviser firm can now have four videos on their website and in use in their business for significantly less than the cost of one custom built video.
These new videos are available through http://www.independentcheck.co.uk/own-branded-video/