Here are the pros and cons, how the approach changes with firm size, and how personal and firm brands can work together.
👇 Watch the full discussion below:
Co-Founder Stephen Beach & Strategist Faustin Weber discuss personal vs firm branding.
Craft on Tap Ep 14 Podcast Takeaways & Summary
Key Takeaways:
- Personal Brands Get More Engagement: On platforms like LinkedIn, personal profiles get significantly more engagement and have a wider network than company pages.
- People Trust People: People are more skeptical of companies and want to connect with and build trust with individuals. A study from Brand Builders found that 74% of Americans are more likely to do business with an individual who has an established personal brand.
- Personal Branding is Crucial for Growth: An Edelman study showed that 82% of people are more likely to trust a company whose executives are active on social media.
- Firm Branding Scales the Business: As a firm grows, the company brand becomes more important for scaling the business and attracting new talent, while the personal brands of key leaders continue to bring in prospects.
- The Two Can Complement Each Other: The most effective approach is to have personal and firm brands work together, with leaders and employees sharing expertise from their individual accounts while the company page highlights firm news and milestones.
Podcast Summary: Personal vs. Firm Branding
The question of personal versus firm branding is one that comes up often in professional services, especially for financial advisors. When you're a solo practitioner, you are the brand, and people want to follow and connect with you directly.
Stephen and Faustin discuss how they've seen this play out in real life. In a recent meeting, a client's own clients didn't even recognize the firm's name, only the advisor's name. This is a common situation for firms under $100 million AUM, where people connect with the individual, not the company.
The hosts point out that on LinkedIn, company pages just don't perform as well as individual accounts. Employee-shared content gets eight times the engagement of brand content, and an employee's network is often ten times bigger than the company's. This holds true across other platforms too, like Substack, Instagram, and TikTok, where personal creators and newsletters get more traction.
For a financial advisor just starting out, especially a breakaway advisor, the focus should be on building a personal brand, as the firm's brand hasn't been established yet.
The Hybrid Approach for Established Firms
As a firm grows to $300 million or more in assets, the focus shifts. The founder may want to move away from day-to-day client service to concentrate on building the business. At this stage, the firm's brand becomes essential for scaling and attracting new talent.
The most effective strategy is a blend of both. Key leaders can continue to build their personal brands, which helps drive new prospects to the firm, while the company brand is strengthened through other means.
What to post on each account:
- Personal Accounts: Share thought leadership, personal reflections, and complex financial topics explained simply. This includes insights on industry and reactions to current events.
- Company Accounts: Highlight firm milestones, awards, and new employee announcements. You can also share client testimonials, reviews, and a detailed explanation of your firm's process.
To maximize engagement, firms can encourage a systematic "engagement vortex" where the entire team comments on and reposts company content. This amplifies the message and benefits everyone by expanding their network and the firm's reach.
Connect Your Personal Brand with Your Firm's Brand
Finally, the hosts advise advisors to consider what happens when a prospect Googles their name. It's crucial that your personal bio page on your firm's website is easily found and ranks highly for your name, making it easy for people to connect your personal brand back to the firm.
Shameless plug for Craft on Tap
Finding the balance between personal and firm branding is tricky. A good marketing partner can help you identify & adapt your strategy to keep your RIA firm front and center.
This conversation is only a starting point. For ongoing insights and practical strategies for RIA growth, listen to the new Craft on Tap marketing podcast. Available now, wherever you find your podcasts. Ready to chat? Get in Touch
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