Envestnet Whitepapers

A recent McKinsey report confirms this finding: 80% of consumers say that personalization is important to them. This finding is echoed in a 2018 Gartner report titled, "Predicts 2019: Marketing Seeks a New Equilibrium," in which 67% of consumers say it's very important for brands to automatically adjust content based on customer context and 42% get annoyed when content isn't personalized. of consumers say it's important to them Source: McKinsey Source: Envestnet, The Advisor's Playbook for Leading Your Clients Forward, 2020 Source: Adobe of consumers are annoyed when content isn't personalized of wealth management clients, see highly personalized service as a factor in deciding whether to, stay with their current advisor or switch to another firm. Today, we all demand more personalization, tailored solutions And it's important for your business 80% 42% 70% Among Millennials and Gen Z, this clear preference for tailored experiences, personalized content, and customized interactions is even more pronounced than older generations. Several studies bear this trend out including: "Global Web Index's Generational Report: Digital, Media & Commerce Trends of 2021" which shows Gen Z's desire for brand's offering customized or personalized products to be a prominent factor, second in importance only to a brand making them feel valued. Adobe's "Digital Insights: 2020 Digital Trends" reveals Gen Z and Millennials have higher expectations for personalized content, product recommendations, and advertising compared to older generations like Gen X and Baby Boomers – likely attributed to their higher levels of familiarity with social media and digital technology experiences. Lastly, this desire for personalization extends even to sharing personal information. "SmarterHQ's Privacy & Personalization Report," found that younger generations, including Gen Z and Millennials, are far more willing to share personal data in exchange for personalized experiences compared to older generations like Gen X and Baby Boomers. This new set of expectations that Gen Z and Millenials have around a higher degree of personalization isn't limited to any one business; it applies to all businesses and industries from retail to hospitality and travel to healthcare and also financial services. All of these industries are recognizing the growing importance of personalization in improving the customer experience and driving business success and are investing heavily in implementing personalized strategies to meet the evolving needs and expectations of their customers. Envestnet's own study from 2020, "The Advisor's Playbook for Leading Your Clients Forward" reveals that 70% of wealth management clients view highly personalized service as a factor in deciding whether to stay with their current advisor or switch to another firm. Another Envestnet study, "The Intelligent Financial Life National Study" from July 2022 builds on this theme revealing a majority of Americans 70% of wealth management clients, see highly personalized service as a factor in deciding whether to, stay with their current advisor or switch to another firm © 2023 Envestnet, Inc. All rights reserved. For one-on-one use for client's Financial Advisor only. 5

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