A big way humans differentiate themselves is through how they communicate. Yet, how many financial advisors blast out the same newsletter to all clients and prospects?  The vast majority. That’s because it would take way too long for an advisor to personalize each newsletter emailed to 100 clients on their distribution list.  When the results of these email marketing campaigns are analyzed, the industry open rates and click-through rates are pretty sad.

AI is poised to solve this issue, even if the advisor’s audience is incredibly diverse.

Personal Data Leveraged in Real-time

Advisors have access to a wealth of information at their fingertips about their clients and even their prospects (once they get to know them).  For example, each client has unique goals, different risk tolerances, specific family dynamics, an array of interests, levels of financial sophistication, varying professions, and so on.

All of those data points and so many more allow for topics to be customized, yet it would be nearly impossible for an advisor to have the time to do so. Clients will also have preferences on which platforms they would like to receive communications.  Maybe they prefer texts, social media messages or other forms of communication other than email.

And unless those clients get a one-size-fits-all service model, they will need different financial plans and investment strategies.

How can AI help? It can analyze historical data, behavioral patterns and different portfolios to generate recommendations, reminders, follow-ups, newsletters, and more. Plus, all of this can happen in real time. Soon AI communications will be verbal, and avatars on a screen will appear to be real humans having conversations.

The Future of Communications

Customer expectations will continue to rise.  The devices humans talk with today will become far more sophisticated. Eventually, humans will interact with these AI-powered devices as if they are human beings. People will be dependent on them for routine updates, answers to questions, and even companionship. As AI evolves and becomes more dependable, humans will put their trust in whatever artificial intelligence they are interacting with.

For advisors to consistently be in their clients’ lives, they will need to scale in ways they never have before. Not only will personalized communications improve, but advisors will be able to provide more services, and for more clients.  In the not-so-distant future, advisors will all have the capacity to take on more clients.

Imagine AI accessing information about credit-card spending vs. budgets, investment performance vs. benchmarks, human feelings vs. market conditions.  AI will be able to generate insights on the spot in a way no human is equipped to do right now.

AI Will Always Be Working

We have all had such lackluster experiences with chatbots and virtual assistants that we have a hard time seeing how AI will vastly enhance client engagement.

However, consider how available financial advisors are. If they work a 40-hour week, how much time is free? Maybe an hour or two a day? Imagine AI always being accessible, 24/7.  Clients won’t have to wait for a returned phone call or an answered online message. AI’s incredible capacity will allow it to interact with all clients at the same time, if ever needed. No human can do that.

Because AI will be in constant communication with clients, it will pull in more information than current advisory businesses gather.  With predictive analytics, AI will soon be proactive, getting ahead of clients’ needs for financial advice and actually anticipating changes that are taking place.

AI will help both advisors and their clients

Believe it or not, AI will enhance the overall client experience in ways we currently do not think are possible.  In the short term, tools will automate routine tasks and streamline workflows, freeing up humans’ time and expenses to better focus on the client-relationship side of the business.  But that is just the start of what AI can do.

In the future, client satisfaction and retention might no longer be a concern. Mass personalization will help provide a level of marketing, communications and service that has never been possible before. AI will provide unprecedented opportunities for financial advisors.

Mike Byrnes is a national speaker and owner of Byrnes Consulting, LLC. His firm provides consulting services to help advisors become even more successful. Need help with business planning, marketing strategy, business development, client service and management effectiveness? Read more at ByrnesConsulting.com and follow @ByrnesConsultin.