TIME IS MONEY. SO WE WON’T WASTE YOURS.

The world has changed. Hedge Funds can no longer ignore their online presence. Today’s customers expect more. The JOBS Act is here. And attracting customers online is a cost effective way to gain new investors. At ColorJar, we see a major opportunity for Hedge Funds to Win Big through superior brand positioning and a winning customer experience online.

The following slides highlight our research and the ColorJar solution we’ve created to meet this opportunity.

9 out of 10 Hedge Fund managers we interviewed stated that marketing their services and clearly differentiating their fund is a significant challenge. When asked if their online presence was helping to solve this problem, the answer was a resounding “No.”

 

MYTH: WEBSITES DON’T MATTER TO HEDGE FUNDS

In financial terms, Hedge Fund websites reside three standard deviations below the mean. Hedge Funds that upgrade their digital presence will win new clients more easily and provide greater value to existing clients.

A quick audit of hedge-fund websites quickly reveals that the opposite of branding seems to be de rigueur. The common aesthetic is that of anti-branding: a static page with a bad logotype and perhaps a brief descriptor…firms like hedge funds and private-equity firms, are going to have to start thinking about their brands and public perception. The firms that don’t will soon find themselves bypassed by the competition, because consumers flock to brands— regardless of the industry…This means that hedge funds should be readily accessible online, with websites that actually contain real information.  —Fast Company

THE CURRENT DIGITAL LANDSCAPE: “HELLO, YESTERDAY!”

We see a lack of positioning, messaging, brand voice, and forward thinking. While we don’t aim to pick on anyone, these examples demonstrate the currently ubiquitous & unimaginative industry standard.

*Side note: we really have no idea what rocks, streams, brooks or ponds have to do with making money.

COLORJAR OVERHAULS: BEFORE & AFTER

Unattractive, lacks brand voice & identity Beautiful, clearly defined brand & engaging site

Confusing, unsophisticated, and banal Elegant with superior messaging & user experience

LIKE IT OR NOT, YOU ARE A BRAND

Like it or not, you are a brand, and your customers must be able to easily understand What’s Remarkable About You. In today’s cluttered marketplace, having a distinct voice and point of view matters more than ever.

The benefits of branding to the investment industry are obvious: With consistent messaging, firms can generate more demand, increase name recognition, recruit quality talent, and assume a leadership position and voice in the industry…

...in an accelerated financial world with intense competition, it is not enough that information be available; it must also be accessible. So if a hedge fund is clearly defined, visible, and consistent in its messaging, it will have an advantage merely by being seen and remembered.

—Fast Company —Fast Company

FORWARD THINKING: THE JOBS ACT

While marketing has been ‘status quo’ for Hedge Funds, the recently passed JOBS ACT is going to change that. The question for Hedge Funds is not, “do we need to adapt?,” it is “how fast can we adapt?”

Advisors serving both the emerging wealth and high-net-worth groups must adapt to digital tools.  

—Future Wealth Report

FORWARD THINKING: THE JOBS ACT

Recently ratified legislation, The JOBS ACT allows Hedge Funds to market themselves directly, repealing an 80-year-old ban on general solicitation and advertising established by the SEC. General solicitation must focus solely on accredited investors, and a “safe harbor” standard will be adopted to help funds manage and verify an investors’ accreditation.

There are a lot of people in the hedge fund industry who are excited about the fact that hedge funds can now advertise…the ability to reach a wider audience will have a much bigger impact.

—Barrons

If small funds take the lead by increasing communications then investors should expect the same from large funds in due time. The new rules should allow funds to move beyond the generic login pages and password protected websites that many firms currently have. Funds will finally be able to catch up with the times by building robust websites that will serve as an additional avenue to reach investors by highlighting firm objectives, senior management, investment strategies, funds' performance, and news and events. —Seeking Alpha

THE JOBS ACT MEANS

In spite of a four year bull market in equities, the financial crisis remains fresh in many investors minds. Skepticism about the financial industry as a whole remains. As such, fund managers must do all they can to be transparent about their practices in order to garner trust—The JOBS ACT will make transparency an industry standard. Embrace the change.

Consider This In a study conducted by Bob Garfield, Senior Editor of AdAge, Garfield found that customers today cite a company’s “Trustworthiness & Transparency” as the most critical decision making factor in where to take their business; valuing it more highly than “Product Quality & Service.” This represents a seismic shift in customer behavior.

The JOBS ACT will help level the playing field within the hedge fund industry by giving investors greater transparency. We will see many hedge funds provide on their websites detailed information on their organization, investment team, investment process, risk controls, performance and information on service partners.

—Top Hedge Fund Trends for 2013

EVOLUTION IS NOT A CHOICE

The Digital World is survival of the fittest. Don’t risk becoming extinct.

The real digital evolution is not occurring in the pages of Wired Magazine or the sub-basement of Apple; it is occurring with your present and future customers: tech-savvy Baby Boomers & Millennials who live on the web and expect a superior digital experience. This is not going to change.

Given the public’s generally low opinion of the financial sector, many firms will prefer to remain on the dusky edges of the marketplace. This may prove to be fatal strategy, as the competition starts hatching fresh brand initiatives.

—Fast Company

As such, Hedge Funds must be able to clearly position their offerings and upgrade their digital presence to execute go-to-market strategies, which convert new leads into long term investors, and provide enduring value to existing LP’s.

THIS IS WHY YOU HIRE US

We’re online experts. And we know Hedge Funds. We know how to make Hedge Funds succeed in the new digital age. From brand voice to design and deployment, ColorJar delivers results. •  Brand positioning strategy •  Engaging Design & User Experience •  Custom Website and Technology Development •  ColorJar's Accredited Investor Qualifier Funnel ensures all inbound online leads are accredited (ask us more).

This truly is the era of the “smart investor.” Clients want to be in the driver’s seat and fully understand where their money is going, as well as evaluate various financial options. Advisors who realize this, and put the right technology at their clients’ fingertips, will be the ones who succeed in this changing client landscape. —Kevin Crowe, SEI Advisor Network

STRATEGY PROCESS: Golden Purpose

What’s  your  posi.oning  hook?    Everything  we  do  starts  with  Golden  Purpose.  

Big  insights  lead  to  big  impact.  Our  Golden  Purpose  methodology  ensures  every  tac:c  employed  –  design,  features,  user  experience,  messaging  –  will  be  cra@ed  in  alignment  with  the  defined  strategic  sweet  spot  we  help  you  define.    Beyond  the  website  or  app,  Golden  Purpose  has  tremendous  value  to  crea:ng  a  consistently  engaging  PR,  Marke:ng,  and  Communica:ons  as  well.    

CASE STUDY: GOOGLE

 

CLIENT: GOOGLE

CHALLENGE Google’s lifeblood is advertising but they needed a way to get better engagement from banner ads. They had invented raw technology but needed help coming up with a compelling real world application for the technology. THE INSIGHT Nobody wants to click a banner ad. However, if banner ads performed more like mini-websites, and brought entertainment and utility to the banner ad, and this could be done without leaving the website, it would be more likely that a user would engage. And once they engaged, it would be more likely for them to click-through. THE RESULT"Google asked us to take their raw technology and come up with a concept for the advertising industry that was “engaging and fun, but not a game.” We concepted, designed, and developed a next-generation HTML5 banner ad for Google, using Dodge as an example, that turns your mobile phone into a remote control for the banner ad on your desktop, triggered by a QR code. Once triggered, swiping left and right rotates a car view on its axis and swiping up and down changes the color of the car. Fun, engaging, but not a game. Google is now shopping the rich media banner ad concept around to the largest ad agencies in the world.