Sometimes, in the midst of research, you hit upon a point of data and you realize it makes all kinds of sense.
When Spectrem decided to investigate the investment habits and behaviors of investors from the Information Technology industry, they were not surprised to learn that those investors are perfectly comfortable utilizing social media and mobile technology to advance their knowledge of financial products and services.
That still does not change the fact that investors from the Information Technology sector are different from investors in other occupations when it comes to the use of social media sites like Facebook and Twitter, and their level of comfort in getting information from websites and apps.
“In our research, we have done segmentation by occupation for may years, but only recently have we had to include Information Technology as a key occupation due to the numbers of investors from that sector,’’ said Spectrem president George H. Walper Jr. “The results are not all that surprising, but they do proclaim the value of such research in determining how best to approach investors based on their occupation.”
Let’s start with social media usage. According to the Spectrem study Using Social Media and Mobile Technology in Financial Decisions, two-thirds of IT professionals check Twitter at least once a day and 31 percent check it multiple times in a day. Both percentages are well above the norm. Twitter has become a major form of communication between social media-savvy customers and social media-savvy companies, and obviously is an important part of dealing with IT professionals.
The research shows that financial videos are an important element of advisor communication these days, but for most investors their preferred location for those videos is the advisor’s website. Not so much for the IT professionals, who use social media sites like Facebook and YouTube much more for watching videos than do investors from other occupations. Advisors would be advised to check with their clients from the IT world as to where they gather their financial information.
It makes sense that people from the IT industry would have the latest mobile technology gear, the most updated cellphones and tablets. And it is true that IT professionals are more likely to use their mobile technology for financial information gathering than other investors.
But one area of extreme difference is in the use of apps, those special applications created specifically for use on mobile phones. Investors from the IT sector love apps much more than other investors. Twenty percent of IT investors would rather use an app than go to a website on their mobile device, compared to just 12 percent of other investors who prefer apps.
This information is of vital importance to financial providers who want to attract investors from the IT sector. The development of apps is time-consuming and costly, but it is the next step in electronic communication and should be encouraged since a growing percentage of investors are looking to gather information in that easy one-click kind of way.
Top Takeaways for Advisors
Do you already have clients who from the Information Technology sector? Have you noticed that they do not invest the way others do, or that they want their financial information presented in a different format than others? This study is comprehensive in its examination of IT investors and could be beneficial in attracting clients from this burgeoning field.
©2017 Spectrem Group