Filling the confidence gap

Filling the confidence gap

The FAMR is looking at the fabric of advice supply, and what can be done to make advice more accessible in all its forms. Understanding consumers’ knowledge and confidence levels, and what can be done to help them make their own decisions in the absence of traditional advice services, will be important in the design of new offerings.

Consumers feel they have more knowledge than confidence

We completed a pilot research study early in 2015, which provided valuable insights into what products consumers feel most confident and least confident to purchase without financial advice. But most importantly, we also compared how confident consumers felt with their level of understanding of various products. In all cases, we found that consumers were likely to purchase a product without financial advice despite having little or no product knowledge.

To address this issue, we tested a number of initiatives designed to improve confidence to transact. But these tactics will not work for all people.

Our next study will deepen this insight

We are inviting companies to participate in a syndicated study of the subject. It will aim to help companies plan;

1. How to implement D2C strategies, defined by targeting different consumer ‘knowledge and confidence’ segments
2. How to nudge consumers from researching online to transacting online
3. How to deliver effective guided and automated advice services to consumers (including robo advice)
4. How to address the advice gap in the at retirement space, and use appropriate strategies for different actions/customer types
5. When it is more appropriate to direct consumers towards financial advice because it would be in their best interests
6. Improved support for the benefit of your adviser distribution relationships using the findings to inform advisers’ own multi-channel strategies

The study will split into 2 parts;

1. A core quantitative study of 2000 adults from our nationally representative sample.
2. An optional qualitative study designed to dive deeper into robo advice, retirement decisions and other initiatives to help improve confidence.

We believe in ACTIONABLE INSIGHT and include for all participants the facility of using our virtual LAB. Each company will have access to a private, secure online ‘room’ to brainstorm and debate the implications of the research findings and develop priorities and impact assessment on their businesses.

Who is running the study?

bakehouse communications and Opinium have designed the study. bakehouse is a specialist marketing strategy and communications consultancy which helps clients solve strategic marketing challenges in the FS space.

Opinium is an award winning strategic insight agency built on the belief that in a world of uncertainty and complexity, success depends on the ability to stay on the pulse of what people think, feel and do. It works with a wide range of financial services organisations and has a wealth of experience working in this sector.

How to find out more

This is a syndicated study and we are confirming participation now, with a view to conducting the research in January and February 2016. Reporting will take place in early March 2016.

If you are interested in finding out more please contact;

Nick Baker – bakehouse communications:
T: 07775516253
E: nickb@bakehousecommunications.com

Alexa Nightingale – Opinium
T: 020 7566 7435
E: alexanightingale@Opinium.co.uk

James Sweatman – Opinium
T: 020 7566 7432
E: jamessweatman@Opinium.co.uk