Brand matters. It sets you apart from the competition and helps entice a targeted audience to buy from you. This is one of the elements that sets a sports watch apart from an heirloom timepiece and, in many ways, one hedge fund apart from another hedge fund. Indeed, it could be argued that hedge funds and luxury brands have a lot in common.
Here are five ways hedge funds can be marketed like luxury brands:
1. Targeting the right persona
Hedge funds and luxury brands have similar buyer personas. That persona is affluent, accredited, cultured, well-educated and well-travelled. Specifically targeting these individuals – versus other retail investors – with your marketing efforts can be the difference between success and failure.
2. Being relevant
While luxury brands often have a “classic” feel to them, they’re never out of date or stale. Their websites, brochures and social media presence are relevant to today’s consumer and always focus on living the good life. Your hedge fund needs to convey a similar timeliness and relevancy.
3. Telling their story
Luxury brands are couched in stories of quality and exclusivity and hedge funds need to tell their story in the same way. Providing background information through adept storytelling weaves a compelling narrative, while helping investors make an informed decision about your fund.
4. Positioning matters
Hedge funds are the tools that build and protect the wealth of the same people who buy luxury brands. As such, they can be positioned as a part of your clients’ overall perception of success.
5. Having a robust digital marketing strategy
McKinsey & Company reports that nearly 80 percent of luxury sales today are “digitally influenced,” meaning people research online before making a purchase.* Hedge funds can reach that same key target audience by having a robust digital marketing strategy.
While hedge funds aren’t watches, cars or clothes, this type of thinking sheds some light on what’s possible. Investors in hedge funds and luxury brands share many of the same buyer persona traits. Understanding that demographic can help you better tailor your message to their specific needs and goals. That, in turn, can help you to better attract and retain customers.
Whether you’re an emerging or established hedge fund manager, Ext. can help you to create an effective marketing strategy for your brand. Contact us today at 1.844.243.1830 or firstname.lastname@example.org.
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