There’s a lot that goes into establishing and growing an RIA firm, and the importance of a solid marketing plan can’t be stressed enough. Newer, smaller firms often face the dual challenge of having limited time and a limited budget to dedicate to marketing. To reach your goals for growth, you’ll need an RIA marketing plan that’s cost-efficient and effective.

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Why RIA Marketing Matters

“If you build it, they will come” is a nice sentiment, but it doesn’t always work, especially in the financial services space. Why? Simply because investors have so many options to choose from when searching for an advisor to work with.

An already-crowded market is likely to become even more so, meaning more competition among advisory firms. According to the Bureau of Labor Statistics, financial advisor employment will grow by 13% through 2032, a much faster pace than other industries.

This means marketing is crucial for independent RIAs who are attempting to gain a foothold in an industry that’s already dominated by larger firms. And brand awareness and visibility are key to gaining attention and building a loyal client base.

Inbound vs. Outbound Marketing for RIAs

RIA marketing takes different forms, but can be grouped into two primary categories: inbound and outbound marketing.

Inbound marketing is designed to draw clients into your circle
Outbound marketing centers on broadcasting out to an intended audience

A comprehensive RIA marketing plan incorporates both inbound and outbound marketing. How much of your marketing budget you dedicate to each category can depend on your niche or target audience, which marketing channels they’re most likely to be receptive to, and your overall goals.

Inbound RIA Marketing Strategies

The purpose of inbound marketing is to bring prospective clients to you, engage them and convert them. When you’re talking about inbound marketing, you’re most often talking about digital marketing strategies.

Digital marketing can be highly appealing to smaller or newer RIA firms from a cost perspective, as you don’t need a sizable budget to get started. Here are some of the options you might consider for your firm.

Content Marketing

Content marketing involves creating and sharing digital content that’s designed to grab attention or spark interest. That can include:

Blog posts
White papers
Videos
Infographics
Case studies
Surveys or polls

RIAs can leverage content marketing to generate interest in their firm’s products and services. If you have a financial advisor website, for instance, you might write blog posts that answer questions most frequently asked by prospective clients.

The key to content marketing is sharing information that’s useful, relevant, helpful, entertaining or valuable – in other words, something your audience won’t be able to resist reading.

Search Engine Optimization (SEO)

Search engine optimization refers to strategies that are designed to help websites rank higher in search results. SEO can be an invaluable tool for RIAs who are relying on content marketing to drive traffic to their websites.

The more optimized your content is for search engines, the higher it’s likely to rank. A higher ranking can increase the likelihood of someone clicking through to your website or blog.

SEO also matters for local searches. If someone in your local area searches for “financial advisor near me,” your firm will ideally show up on page one. Learning the basics of SEO for RIAs can help you to improve your search rankings, landing you on more prospective clients’ radars.

Social Media

Social media is an excellent way to reach your target audience with minimal financial investment. Creating a social media marketing plan for your RIA comes down to knowing two things:

Who you want to target
Where they spend their time online

Researching social media usage across different demographics can give you a better idea of where your ideal clients are likely to be found. If you’re also doing content marketing, that can clue you in as to what kind of content they prefer to consume.

For example, if your client base skews younger and prefers short-form content, then it could make sense to market your firm on TikTok or Instagram. An older audience, on the other hand, might be more attracted to longer-form videos on YouTube.

Digital Ads

Digital ad campaigns can make it easier for your firm to be seen online – they’re also a relatively passive way to market your RIA. You can create an ad, set your advertising budget and then monitor the results. You don’t have to create social media posts or write any blog content.

In terms of where to post ads, you have plenty of options, including:

LinkedIn
Facebook
YouTube
Instagram
Google search

Again, deciding where to place ads goes back to knowing your target audience and which channels they most often use.

Lead Generation Tools

Lead generation tools can help you attract targeted leads based on your preferred criteria. You might consider using a lead generation platform or service if you want to fast-track your marketing efforts and connect with prospects who are ready to buy.

When comparing platforms or services, consider:

What type of leads you’ll be able to connect with
How much you’ll pay to use the service
What built-in features or tools are included for following up on leads

It’s also helpful to consider who the platform is designed for. LinkedIn Sales Navigator, for example, is a popular marketing tool for professionals, but it’s not directed exclusively toward the finance industry. SmartAsset AMP, on the other hand, is a marketing platform that was created specifically for RIAs and advisors.

Outbound RIA Marketing

An advisor reviews statistics for their firm's RIA marketing strategy.

Outbound marketing encompasses more traditional marketing tactics. Comparing the cost against your projected ROI can help you determine which techniques are likely to produce the best results.

Cold Calling

Cold calling is an old-school marketing technique that still works in 2024, though it’s admittedly gotten a bit harder. Robo-callers and spam callers have made people more reluctant to pick up the phone, for one thing. And if you can get someone to answer, you’ll need to be able to give them a reason to stay on the line within the first few seconds.

The upside of cold calling is that if you’re making calls yourself, you’re not spending any money – just your time. That’s also a downside, however, if you have other tasks you’d like to focus on.

Email Marketing

Email marketing allows you to send your message directly into clients’ inboxes, and it can be a highly effective way to “warm up” prospects who have entered your sales funnel. Your sales funnel might begin with offering a lead magnet on your website, such as an e-book or white paper. To get the lead magnet, prospects must first enter their email address.

Once you have their consent to be on your list, you can start sending them email blasts. Creating a weekly or monthly email newsletter allows you to develop a rapport and foster trust, both of which are essential to converting and retaining clients.

As far as cost goes, you’ll need to invest in an email marketing tool that allows you to collect email addresses and send out messages in bulk. Shopping around can help you find the right plan for your budget.

Direct Mail Marketing

Direct mail marketing can be more expensive than email marketing since you’ll need to pay for postage and mailing materials. It’s also more difficult to track results, as you won’t be able to see who’s opening your mailers and who isn’t.

However, direct mail can still have value for RIA firms if the goal is attracting more local clients to your business. Consistency in the frequency with which you send direct mail and recognizable branding can help increase open rates.

In-Person Marketing

Marketing your RIA in person is an opportunity to make a good impression on prospects and establish both credibility and relatability. Some of the ways you can market your firm in person include:

Hosting a free seminar or workshop on a topic that’s of interest or concern to your target audience
Volunteering your time as a pro bono financial advisor in your local community
Sponsoring local events or participating in community fundraisers
Offering free initial consultations

Those are forms of direct marketing. You can also use in-person events to market your business indirectly. For example, hosting a client appreciation event is a chance to spend time with clients in an informal setting while reminding them how important they are to your business. Clients who feel valued may be more likely to tell their friends, family members and coworkers about you, which could send more referrals your way.

Frequently Asked Questions (FAQs)

What Is the SEC’s Marketing Rule?

The SEC marketing rule outlines what RIAs can and cannot do when marketing their firms. For example, you cannot make false or misleading statements or present unbalanced information that doesn’t accurately represent both the risks and rewards. Proper disclosures are required when incorporating client testimonials into marketing materials.

Do RIAs Need a Marketing Plan?

You don’t need a marketing plan to start or grow an RIA firm, but you could put your firm at a disadvantage if you’re not thinking about marketing from day one. Referrals and word of mouth can help you gain new clients, but establishing your reputation can take time. Actively marketing your firm online or offline can help you build a loyal following.

How Much Should RIAs Budget for Marketing?

The amount you budget for marketing can depend on your firm’s overall budget and the type of results you’re hoping to achieve. It’s common for firms to dedicate a set percentage of revenues to marketing, but it can be difficult to pin down a number if you’re just getting started. A good marketing budget for a new, independent RIA is typically anywhere between 1% and 10% of revenue.

Bottom Line

Choosing an RIA marketing strategy for your firm can help you connect with new clients.

RIA marketing is not about finding just one thing that works. A thorough marketing plan incorporates a variety of strategies that are designed to generate the maximum ROI for your budget.

Tips for Growing Your Advisory Business

When you have limited to time to focus on marketing, automation can be a game-changer. Working with an advisor marketing platform like SmartAsset AMP can make it easier to generate high-quality leads and nurture them automatically, without taking time away from your existing clients. Schedule a demo to learn how you can use it to grow your business.
Compliance is something to keep in mind when developing your marketing plan. RIA firms are subject to SEC regulation concerning marketing; it’s also important to understand Federal Trade Commission marketing rules for businesses.

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