I’m sure there will be a few bargains around and if you are looking for something specific it could be a good time to buy. However, for every ‘saving’ we might make, there will be many more impulsive purchases. So, should we adopt a Prime Day mentality as Financial Planning businesses?
Why might you consider it?
Prime Day is a great way of ‘helping’ people move forward with a purchasing decision. Sometimes the perceived bargain is just what is needed to tip the balance. One aspect that interests me about Amazon is that they use data to decide which products to show you. So, could we use these together to help clients get better outcomes?
We could use the data we hold to identify clients to speak to about specific issues. What might it be like if we used the data to inspire or connect them to other likeminded people. Could we use Prime Day as a focus point to attract new clients with a special offering perhaps. This might be an effective way of narrowing the advice gap and encouraging more people to seek out a great financial planner.
Why might this not be right for you?
As Financial Planners we provide a high value professional service. Our time, expertise, and experience is valuable and has a positive impact on our clients’ lives. Amazon uses data to project spending inspiration to their customers; we start by listening and reflecting on our clients’ goals and aspirations. It’s likely that we will have addressed (or planned to address) many of the needs that our data might reveal. So projecting needs might not sit well with us or fit with the way we do business – at least not in the highly systematic methods Amazon uses.
There’s also an argument that having a special limited time price is at the expense of our existing clients and devalues the premium service we provide. Seth Godin has some great wisdom on this – to be fair to everyone: the price is the price. To an extent, discounting our fees suggests that perhaps we don’t feel worth it ourselves. As professionals we need to be confident in our value and our clients need to value what we do for them.
So, should you adopt a Prime Day approach? I don’t really have a firm answer either way. There are certainly lessons we can learn from Amazon (not just their efficient supply chain) especially about using data and marketing.
They won’t translate precisely, but if we can understand what helps people decide to act (buying or implementing) we can use this to help our clients follow through with their financial plan. In an ever increasingly interconnected world perhaps there is merit in sharing the connections between our clients.