Wealth Clients Want Financial Planning, Most Not Getting It: Report

Indeed, 97% of clients who rated their planning experience as excellent were highly unlikely to switch to a new firm in the next 12 months, the report said.

Advisors understand this. According to the study, 78% of advisors considered financial planning technology important, yet only 50% said theirs was effective.

Not only do advisors need more effective financial planning tools, the report said, but they also require support in presenting, posting and accessing the planning output.

"Different clients require different planning capabilities, and firms that meet these varied needs across multiple channels not only increase client loyalty, but also open up opportunities to introduce additional product and service offerings," CEB TowerGroup research director Darrin Courtney said in the statement.

Forty-six percent of surveyed executives said they planned to increase their spending on financial planning technology, according to the report.

The paper posits several things financial firms should do in order to capitalize on the importance of planning:

• Provide appropriate guidance, and in doing so they will discover that most clients aren't getting the help and advice they require.
• Examine the investment other institutions are making in planning technology, and see how ROI is driving investment into platforms that support this need.
• Enhance advisor efficiency tools. "Since only 14% of HNW clients do not own a smartphone or a tablet, wealth firms should focus on selecting financial planning systems that can easily integrate with digital channels," the paper said.
• Learn how other firms have shifted their financial planning model and determine how planning best aligns with your firm's culture.
• Research financial planning providers, third party rankings and client opinions to better understand the solutions available.

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Check out A Financial Plan's Two Most Important Assumptions on ThinkAdvisor.