From Boring Money Bulletin August 2017


Customer Acquisition Report

Over the last few months we’ve been researching our latest report and talking to providers about the elephant in the room – customer acquisition. We’ve seen examples ranging from £45 to nearer an eye-watering £850 average spend for acquiring a single customer. And of course everything in between. We’ll break it down by provider type and tell you what robos, asset managers, platforms, banks and life companies are paying on average.

We’ve also surveyed 6,500 consumers and run focus groups to prod, probe and test Brits on what they’re up to, what they like and what could persuade them to invest.

Segmentation is key, and we dig into traditional segmentation (age/gender/wealth) as well as more interesting parameters such as attitudes, life events and preferences . Older customers have the money, time and inclination to invest, but are far more resistant to marketing messages and it’s more expensive to get them to try new services. Younger investors might be more likely to try your funky new platform, but they don’t have much to invest yet, they don’t know where to start and typically their only established financial relationship is with their bank.

There’s a strong focus on our Suspicious Savers tribe: those with savings but no investments. How do we convince these people to transfer some of their hard-earned savings into long-term investments? The types of services they would be likely to use are not what you’d expect. For starters, they are less likely than investors to opt for a ready-made investment option – fund shortlists would be their route of choice. Perhaps jaded by the complexities of portfolio selection and management, existing investors prefer the message of a ready-made portfolio.

We’re also gathering some super-secret customer acquisition costs and have some intriguing brand appeal results. Here are some snippets:

  • On average, people think you need £4,300 before you’re wealthy enough to invest – this is higher among those who don’t have any investments
  • 24% of people have cash savings in excess of a cash buffer of three months’ income
  • Marketing messages vary in popularity with segments – wealthier savers typically prefer messages about potential returns; female savers prefer messages which emphasise a straight-forward jargon-free journey
  • Nutmeg has higher brand awareness than Hargreaves Lansdown in London
  • Having easy access to money is the number one reason savers have for not investing – there’s an assumption that investing locks it away


We publish our report on 14th September. Please contact us for details or a table of contents.