Industries — Financial Advisors & Wealth Managers
5 marketing mistakes financial advisors & wealth managers owners make
The five mistakes below cost advisory firm owners more money than any competitor does, and the first one is treating a measurement problem as a demand problem.
8 min read · Reviewed by both partners
None of these are exotic. They are the five that show up again and again when we read the numbers of a advisory firm that has been spending without moving.
They are listed in order of what they cost, not in order of how obvious they are. The expensive ones are rarely the obvious ones.
The rulebook for this industry’s advertising was rewritten in the current decade.
Step by step
Buying attention before fixing the model
The instinct when growth stalls is more traffic. If the client cannot evaluate the product for a decade, so every proxy for credibility carries enormous weight then added traffic amplifies a leak and the invoice arrives either way. Diagnose first; it is the cheapest step in the sequence.
Not knowing which source produced the revenue
Most advisory firm operators can state last quarter’s spend and not last quarter’s source mix. Without that, every budget decision after it is a guess wearing a decimal point.
Ignoring the vertical’s own rulebook
The SEC’s Marketing Rule, Rule 206(4)-1, replaced the decades-old advertising and cash solicitation rules with a single regime, and since the November 4, 2022 compliance date registered investment advisers may use testimonials and endorsements — subject to disclosure of client status and compensation, oversight and written agreements, and disqualification provisions. Generic playbooks discover this after the money is spent.
Underfunding the thing that already works
Almost every advisory firm has one channel quietly outperforming the rest — often a compliant testimonial-and-review program built under the Marketing Rule’s disclosure requirements. It is usually the one nobody has bothered to systematize, because it never asked for budget.
Killing programs at month four
Compounding channels look like failures right up until they do not. Programs get cancelled one quarter before payback more often than they get cancelled for being genuinely broken.
Common mistakes
Confusing activity with progress
A busy quarter of posting, posting, and posting produces a report full of numbers and a bank balance that has not moved. Ask what each activity was supposed to change.
Hiring for execution before strategy
A freelancer executing an undiagnosed plan produces well-made wrong work. For a advisory firm the sequencing matters more than the staffing.
Frequently Asked Questions
5 marketing mistakes financial advisors & wealth managers owners make?
None of these are exotic. They are the five that show up again and again when we read the numbers of a advisory firm that has been spending without moving.
How does this connect to the Growth Scaling Method, and what’s the next step with Growth-Scaling?
It sits under Financial Advisors & Wealth Managers in the Growth Scaling Method. The next step for an owner is the $1,500 Assessment, which reads your own numbers against everything described above.
How is this priced?
Three fixed steps at $1,500 apiece make up the $4,500 Foundation. Anything ongoing is scoped in writing by the Plan, with a $5,000 monthly floor.
Do partners stay involved after the sale?
They are the only people involved. There is no handoff, because there is nobody to hand it to.
References
- www.uspto.gov — primary source
- www.sba.gov — primary source
- www.bbb.org — primary source
Find out which of these is costing you
Two hours and your real numbers name the constraint. The rest of the list stops mattering once you know.
Growth-Scaling is a marketing and business-scaling firm. It is not a licensed practitioner in any client vertical and does not provide medical, legal, financial, or contracting services; all industry content on this site is marketing and growth guidance for owners in those fields. Figures describing past engagements refer to specific businesses under specific conditions and are not a prediction of any future result. No outcome is promised.
Written by Steven Lockhart, reviewed by David Mitroff, Ph.D. Figures and regulatory details reflect the cited public sources; requirements vary by state and situation. Growth-Scaling is a marketing and business-scaling firm, not a licensed practitioner in any client vertical.