Executives in the financial services industry say that the biggest challenges they face in 2016 involve attracting and retaining advisors, as well as adapting to regulatory changes.
A survey of more than 40 executives conducted by industry research group LIMRA reveals that most of them are concerned about issues involving distribution (in particular recruitment and retention) and regulation. They also indicated that engaging Millennials will be a high priority.
Asked to forecast what else 2016 might have in store, two thirds of the executives predicted an increased focus on customer experience management (CEM) programs, up from 34% in 2013.
“Executive responses on CEM show how companies are thinking differently about how to best serve the end customer,” comments Scott Kallenbach, director of strategic research at LIMRA. “Companies have shifted from listening only to professionals who sell their products to engaging the consumers who buy them.”
LIMRA notes that in order to compete in today’s market, 46% of the executives surveyed believe the industry needs to replicate the kind of customer engagement experience found on Amazon.com and other online shopping sites. Another 24% say that the direct-to-consumer model could be revolutionized if companies found more innovative and creative ways to involve consumers.