Humans not Robots
A recent study by HSBC indicates that almost 90% of Canadians trust human advisor advice more than robo advice. This number is substantially higher in Canada than in other countries such as China and India. What I find interesting about the “human vs. robo” debate is that many people look at technology as an either/or. While this study is very encouraging to our clients who collectively employ over 50,000 advisors, I believe that the issue should not be viewed either/or but rather, how can human advice supported by technology deliver the ultimate client experience? Recently I was chatting with an actor who provides coaching advice to sales teams and we talked about how human-to-human interaction is becoming even more important in a tech-driven world. As a 30-year sales veteran, I believe that the old adage that “people buy from people” is more accurate than ever before. Trust, compassion, safety and empathy are just a few of the human qualities that will never be delivered by a robot. However, as the complexity of investment products increase and the number of product options explodes, it is virtually impossible for an advisor to match the right product with their client’s investment profile without some strong decision support tools. We are starting to see FinTechs – including robo advisors – pivot to a B2B model – where they are now selling their technology to the investment companies that they were trying to disrupt only months ago! Leveraging this technology will help dealers and their advisors increase the value of their advice by combining technology-based decision support with the human qualities that clients value. And the winner is the client! At InvestorCOM, we provide technology solutions that help advisors increase their value to clients. Those dealers that arm their advisors with the right technology will likely see the value of human advice continue to increase!