The Changing Role of Marketing in Asset Management

“Marketing’s role in asset management has moved from support to more of a front and center partnership. It has absolutely accelerated as a result of the pandemic, but the distribution organizations are just coming to realize the power of leveraging marketing in that mix,” highlighted Matthew Schiffman, Principal of Distribution Insight at Broadridge.

The evolving dynamic between marketing and sales in asset management was the launching point of discussion between Jim Neuwirth from 8 Acre Perspective, a leading marketing research consultancy and Matthew Schiffman, Principal of Distribution Insight at Broadridge, and former Head of Marketing at Legg Mason. With a recording of this interactive session, hosted by Financial Narrative Director, Ashley Jones, to hear Jim and Matthew discuss the pandemic-fueled acceleration of marketing’s and technology’s role, their CMO survey results and personal experiences and thoughts in the ongoing dynamic changes. 

Below we share a few of the high points and key take-aways from the conversation:

• A key driver in the rise of marketing’s importance within distribution is the access to technology. The technology improvements that marketing departments have been able to access have made them more agile and scalable. The ability of marketing to leverage it’s technology – digitals, socials, etc – to go out and not only maintain relationships in support of sales, but in some firms, useful in the acquisition of relationships, has been a dramatic improvement, and certainly a response to the overwhelming compression of fees and the rising cost of acquisition. 
• While asset managing marketing departments using data to get a holistic view of the advisor wasn’t new, but the COVID-19 has had a dramatic impact on the industry and the roles of marketing are expanding as a result of it.
• More data has come online and the ability to build a more 360-perspective on the client has really brought marketing’s role and influence into the spotlight. 
• Marketing has now moved into a partnership with sales and in doing so, is expanding its responsibilities for client acquisition.
• The CMOs of today really need a partnership with technology. The dialogue between the CMO and the CTO is not where is should be, so there is not a unified vision of how technology is serving marketing in serving the overall firm and that gets in the way. “You have think like a CTO, speak like a CFO and act like a CMO.”