riversource funds are managed by riversource investments, llc and distributed by ameriprise...
TRANSCRIPT
RiverSource Funds are managed by RiverSource Investments, LLC and distributed by Ameriprise Financial Services, Inc., Member NASD. Both companies are part of Ameriprise Financial, Inc.
Leslie Walstrom December 14, 2006
Should RiverSource Investments try Podcasting?
Who is RiverSource Investments?
• A 60 year old, mid-size mutual fund company based in Minneapolis
• New name and brand in October 2005 • Mutual funds sold through financial advisors
The challenge
In a commoditized industry, RiverSource Investments has an opportunity to differentiate by providing high-quality, innovative marketing support to financial advisors.
What do financial advisors want?
1. Mutual funds that perform as expected2. Tools and support for clients 3. Access information about the markets, economy
and mutual funds from expert investment professionals
What’s the best way to deliver information to advisors?
Case Study: Market Commentary Frequency desired: Weekly or more often in volatile markets Preferred methods of delivery:
1. In person visits from market strategist 2. Cassette tapes or audio CDs 3. Conference calls 4. In writing
How can we use technology to meet advisor needs?
Podcasting.
Term emerged in 2004. Combination of “broadcasting” and “iPod”. Podcasts are audio files posted on a website or music service that can be downloaded and listened to on an MP3 player or iPod.
Research question
Are financial advisors willing to use podcasts as a way to access investment information?
How we answered the question• Telephone survey with 375 financial advisors • Survey questions designed to explore whether the advisors
1. Are comfortable with technology2. Have the proper equipment to access podcasts3. Know what podcasting is4. Have ever downloaded a podcast5. Would download a podcast from RiverSource Investments
Are advisors comfortable using technology?
3%
2%
4%
35%
56%
0% 20% 40% 60%
Very uncomfortable
Uncomfortable
Neutral
Comfortable
Very comfortable
Com
fort
Lev
el
Percentage
Do advisors have the equipment they need to access podcasts?
• 93% of advisors have broadband internet access • 23% of all advisors own MP3 players/iPods, 22% plan to purchase
within 6 months
0%
5%
10%
15%
20%
25%
Perc
ent
25 andunder
26-35 36-44 45-54 55 andover
Age Group
Have player Plan to purchase player Do not have player
Are advisors familiar with podcasts?
40% of advisors are familiar with the term podcast.
0%2%4%6%8%
10%12%14%
Perc
enta
ge
25 andunder
26-35 36-44 45-54 55 andover
Age Group
Familiar with Podcasts
Have advisors downloaded podcasts?
Of advisors who are familiar with podcasts, the majority have not actually downloaded one.
64%
0% 0% 1%9% 7%
20%
0%
10%
20%
30%
40%
50%
60%
70%
Perc
ent
Never 1+ yearago
6-12months
3-6months
1-3months
2-4 weeksago
Withinpast week
Timeframe of Download
Are advisors interested in podcasts from RiverSource Investments?
39%55%
53%34%
0%
20%
40%
60%
80%
100%
Equipment not Subsidized Equipment SubsidizedNon-Subsidized Players vs. Subsisidized
Lik
elih
oo
d
Likely Unlikely
Advisor interest in podcasts increases if iPods or MP3 players are subsidized by RiverSource Investments.
Answering the research question
Question: Are financial advisors willing to use podcasts as a way to access investment information?
Answer: Some are, some aren’t.
This sentiment mirrors attitudes of the general population.
Podcast research findings
Pew Internet and American Life Project – 2005 • 22% of the population has an MP3 player/iPod • 29% have downloaded podcasts
Forrester Podcasting Study – 2006 • 22% of the population has an MP3 player/iPod • Only 1% download podcasts regularly, only 2% have
tried podcasting
Recommendations
• Pursue podcasting as an additional marketing support strategy, not a replacement for current methods of delivering information.
• To speed advisor adoption, RiverSource may want to subsidize costs for advisor MP3 players/iPods.
• Continue to monitor advisor interest in podcast content.