According to consulting firm Deloitte, by 2020 Millennials (defined as those born between 1980 and 2000) will make up an estimated 50 percent of the global workforce and are expected to control between $19 trillion and $24 trillion on a global scale. As the transfer of wealth shifts to this generation, they are looking more to Financial professionals for advice on wealth management and financial planning.
Traditionally, consumers speak with their financial advisor when they first open an IRA or 401 (k), then they just wait to receive their quarterly statements. Millennials, however, are more active when it comes to financial planning. For example, according to financial research firm FactSet, 61 percent of younger high-net worth individuals—defined as those controlling wealth greater than $10 million—expect their financial advisors to screen investments based on environmental, social and governance factors.
To add to those millennial statistics, TimeTrade recently surveyed 1,064 consumers about their perceptions around customer experience and Financial Services, and also found key data points that differentiate millennials from other age groups:
- Millennials are the demographic that most wants their financial services to be automated.
- Millennials are the demographic most likely to change financial service providers for a better rate (68 percent) or better customer service (61 percent).
- 81 percent of millennials are open to combining accounts with one provider if a discount or incentive is offered.
- 82 percent of millennials are willing to schedule an appointment (online or through a mobile device) to meet with their financial advisor.
- 75 percent of millennials are open to a virtual meeting with their financial advisor.
In other words, financial advisors must remember that millennials are an age group to be taken seriously, as they will drive the majority of financial services business during the next several years. To learn more about how consumers perceive their financial services experience, download the full infographic.