Marketing is not a one size fits all proposition. Especially when it comes to financial services. According to a 2013 Allianz survey, 54 percent of women believe that the financial services industry is geared toward men. While this data is a little dated, this perception has not really changed all that much. According to CEB Iconoculture research, there is a 12 percent gap between men and women that own stock. There is still a gender disparity at play.
How can this still be, if women across generations tend to take the lead on family investments?
(Source: CEB Iconoculture Research)
Let’s take a look at the contributing factors…
- Disruption in income: Perhaps your income is supporting your child care fees? Saving for a house? Saving for your children’s higher education? All occurrences disrupt income.
- Earning less: Yes, it is 2017 and women are still not making the same wages as men. That said, less income means less investment opportunities.
- Impact of caregiving: Caring for aging parents is becoming yet another role women are taking on, even while they still work. Some women are taking part time jobs to care for family members during the other hours of the day.
- Shifts in marital status: Divorce and division of assets in and of itself is a contributing factor that affects women’s financial status.
- Living longer: Women are living longer than expected, so they are financing their expenses longer as well.
Approach at your own risk.
According to CEB Iconoculture research, men and women are motivated by different values when it comes to taking financial risks. Per their data, men are motivated by a confidence challenge, which explains the 12 percent gap in stock ownership compared to their female counterparts. In contrast, when it comes to risk taking with finances, women are motivated by the consequences, security, learning more about the risk and trusting the institution they are receiving advice or investing in. For women, the number one priority is financial security.
You know what they say, “when you assume, you make an…”
It has been assumed that women lack confidence, are financially fragile and reluctant to trust. Instead, women want marketers to know that they are aware and calculating their risks. They are seeking financial stability by setting a higher bar for themselves, but they are also swayed by solutions to achieve their goals.
When opportunity knocks.
It may seem silly, but marketers should know…
- Don’t market to women like they are men
- Don’t market to women with risks
- Do market to life stages: buying car/house, saving for children’s higher education, home improvements and leaving an inheritance for the family.
- Do offer expertise on financial needs: Save for unexpected expense/vacation, pay down debt, invest in retirement
- Do offer the pros of investing
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