To further help its advisors get the maximum benefit from this Web-based tool, the team created and made available a variety of communication vehicles for each of its six investor types, including talking points, prospect letters, client letters as well as two-page summaries of detailed research.
Buying Into the CRM Process
No matter how much money is invested or how many hours it takes to build, a CRM tool is only good if it is used.
Once an initiative is in the works, such as the segmentation project, a multimedia campaign using Morgan Stanley's central TV network system, e-mail, field kits and other materials is built to create awareness among the financial advisors.
Says Dougan: "When creating these internal campaigns for the financial advisors to create awareness, there has to be a value proposition for the financial advisor," says Dougan. "It has to be: How can we improve their productivity, how can we improve their success rate, and how can we allow them to be more productive servicing and dealing with more clients with less effort? And that comes from understanding what exactly the client wants."
He continues: "I think we've been able with our particular tool to answer those questions, and the demand has come. It only takes a few uses of it for them to see how it can help them in their day-to-day business."
LoFrumento wholeheartedly believes business decisions need to be made based on facts, not conventional wisdom. Customer profitability, he stresses, must be measured, otherwise you risk investing valuable resources on unprofitable customers, while profitable customers remain underserved.
Retention is measured by segment. LoFrumento explains: "In a client-focused organization, you want to have your highest retention rates for your most valuable and profitable segments."
Too often, he says, "companies don't realize who their best customers truly are, but their analytically savvy competitors do, and these customers are quietly siphoned off by these competitors."