Wealth management firms plan to increase their spending on CRM systems by eight per cent over the coming five-year period, it has been claimed.
In the current competitive financial environment, organizations need to offer their advisers the latest tools to manage investors. As such, a number of them are looking to purchase the latest technology, Wall Street and Technology reports.
This is according to a new report by the Aite Group, which noted that firms are looking to increase their exposure to the CRM market from approximately $460 million in 2010 to $620 million in 2014.
"The move to self directed and independent advisors is making it particularly important for wire houses to compete. The way they can compete is on service," Sophie Schmitt, senior analyst at Aite Group, told the news provider.
It stems from the fact that CRM solutions are much cheaper today than they were ten years ago, thanks to advances such as cloud computing.
"Web software-as-a-service makes it easier and cheaper for the smaller and medium-sized guys [to implement CRM tools]," she added.
Posted by Rachel Wheeler