Always look on the bright side of life

Karin Muller, Head of Growth Market Solutions at Sanlam

No person or organisation can survive if there is a constant air of negativity surrounding them/it. Difficult as it may be to see a silver lining in the current economic climate, a host of trends are stacked in favour of the financial services industry this year.

Technology is one of these trends. More than half of the South African adult population have smartphones which presents the opportunity for digital services and despite the slow economic growth in the country, consumer spending continued to rise last year.

Brokers and advisers today find themselves in an age of change and opportunity, and those who embrace the challenge are likely to lead the future of advice in South Africa.

Hail the Age of the Consumer

We live in the Age of the Customer; our success depends on our ability to understand and engage with people’s needs and behaviour. Contrary to what may have been predicted years ago, today’s consumer wants to engage with a financial planner.

This trend shows that consumers are becoming more aware of the challenges they face; not only in selecting the right financial products to serve their needs, but also in successfully managing their income.

The Bureau of Market Research shows that while South Africa experienced slow economic growth on one hand; on the other hand consumer spending continued to rise and personal disposable income reached an all-time high in the third quarter of 2015.

A tough time for decisions

In short, South Africans are at pains to try and navigate a sensible financial road for themselves and chances of emotional decision-making based on fear abides. This, undoubtedly, presents a scenario for professional intervention. Helping your clients to focus on the longer term impact rather than the short-term remains a valuable role you can play in their financial wellbeing.

A critical success element for financial planners will be their ability to embrace new and interesting ways in which to reach clients.

Reaching a client in this context calls for an understanding of where people find themselves, how they engage with information and what their preferences are.

The adviser or broker who cracks the world of hashtags, smartphones, social media and video will surely experience results. Relevance will remain the key to successfully engaging with your clients.

Ronald King, Head of Technical Support at PSG

As a financial adviser, it is difficult to feel positive about the year ahead. The Rand has thrown us for a loop and there is little in the way of positive economic news.

In addition, we are experiencing the most regulatory changes affecting our industry than ever before. December 2015 saw six publications from the Regulator on future changes affecting our lives, and it is easy to become despondent.

But I was taught a very important life lesson when I started out as a young financial adviser. Granted it was a long time ago, but it still holds true today. When there are changes, there are also new opportunities.

In other words, to change the world and our environment, we need to change our mind sets. If you are able to do that you will be able to see all the opportunities that 2016 could bring, and you will prosper.

Finalise the blueprint

We have a good idea as to how the next five years will unfold, and we can therefore plan ahead. But if you continue to moan and groan and believe the world is coming to an end, the world as you know it may very well come to an end.

In 2016, determine what drives your business and evaluate how you need to change things to adapt to the new realities in this country.

Take the leap of faith to change, put in the hard work and change your mind, because it will change your destiny.