Choosing The Best CRM For Financial Services

Choosing The Best CRM For Financial Services Article by OMI

Customer Relationship Management (CRM) solutions have become an important component for financial companies at every stage of tracking customer’s journeys from client acquisition to retention. CRM for financial advisors offers financial firms such as commercial banks, loan advisors, stockbrokers, investment advisors, insurance companies, etc. a centralized base to establish, maintain, and strengthen the relationships with their customers.


Just like with every other business, customers are the most important element of financial companies, and maintaining strong and long-lasting relationships is important for the success of any financial firm. Financial advisors and institutions use CRM solutions for client-prospecting activities, outreach campaigns, managing documentation, scheduling meetings, analyzing customer data, maintaining sales pipeline, performing know your customer (KYC) verification, and more.


CRM for financial services is powered by cutting-edge technology to help financial service firms to establish strong customer relationships using structured communications, analyzing data to get key insights on customers and prospects, workflow automation, lead generation and conversion, and increasing the profitability of the company.

What Is A CRM For Financial Advisors?

A CRM for financial advisors will still retain the standard CRM functionality such as contact and pipeline management whilst adding useful special features like investment tracking and compliance management. Let’s have a look at how exactly an industry-specific CRM can assist a finance consultant:

How Do CRM Solutions Help Financial Advisors?

Enhanced Activity Visibility

You can keep track of each client interaction you’ve had with the help of CRM software. This involves communicating with them using all methods, including social media, meetings, phone conversations, emails, and texts. Client transaction records are also displayed in financial CRMs, making following the development of investments simpler. 

Improved Analytics

Businesses, especially those that provide financial services, heavily rely on data. Financial CRMs will make it easier to Monitor and analyze the effectiveness of your sales and marketing activities. You’ll be able to see how each client’s case is progressing as it goes through the pipeline. And based on the gathered data, customized reports can be created using analytical intelligence. 

Automated Workload

By automating some of your repetitive work processes, you can easily free up time for tasks that require your utmost attention. You’ll be able to put more of your efforts into things like studying financial tactics and investing prospects. AI and machine learning will expedite processes like new client onboarding and sending email follow-ups and reminders. Additionally, they can help with sales procedures including completing purchase and sell orders.

Schedule Tracking

Financial CRMs are good for monitoring past activity and will assist you in making future plans as well. CRMs will reserve a slot in your calendar if a client asks that you call them on a specific day. And before the call, you will get a reminder containing all the information required for the client and the meeting. 

Benefits Of Using A CRM In Banking And Financial Services

The benefits a good CRM can provide to a financial service provider are numerous: 

Saving Time

Financial advisors more than anyone understand that their clients’ success is directly correlated to their own. Thus, their primary objective is to boost the value of the customer’s portfolio. CRM programs enable specialists to devote their attention fully to client interactions and financial research, automating monotonous tasks.

Better Prospect Visibility

You can monitor all your networking activity with the use of CRM software. You can monitor when and how you initially connected by using capabilities like activity history. CRM also keeps you informed of the potential and known wants of each client, offering ideas for how to move prospects gradually through your sales funnel.

Enhanced Financial Analytics

For the financial services sector, CRMs often include business analytics. A huge number of connections equals a wealth of important information. You can gather data on previous trading and planning activity using the CRM software and then utilize it to get actionable insights. 

Strong Marketing/Sales Capabilities

Finance experts need to remain in regular contact with their marketing and sales. In order to grow, you must use advertising strategies like email marketing or social media, and after that, it is critical to have sales teams ready to talk to generated prospects. 

Improved Customer Satisfaction 

Financial advisors don’t typically rely on one-time investment consultations. Following up and forming long lasting connections is crucial. However, in a long client relationship in the financial sphere, it’s inevitable that there will be some downs. And when things don’t go according to plan, clients will count on excellent support from their advisors, which a financial CRM can help provide.

Types Of CRM Systems 

CRM systems can vary in some aspects and thus be more suitable for one company than another, depending on the needs and focus of the business. There are three types of CRM systems.

Collaborative CRM Systems

The primary feature of a collaborative CRM is to integrate the marketing team, sales reps, and the customer support agents of the organization. Collaborative CRM systems are the best for big financial institutions such as insurance companies, and banks because they deal with a lot of different departments each having separate teams. Usually in bigger organizations, there is a huge gap between different departments like marketing, sales, and customer relations due to different teams, structures, goals, and activities. The customers are the only thing in common between all these departments. Collaborative CRM for financial services provides a way to share information across different departments using real-time data to work together efficiently. 


Collaborative CRM systems allow all the departments to access all the updated data of different departments. This ensures a seamless customer interaction as the customer agent has all the data related to the customers who interacted before with the marketing or sales team. This brings clarity and clears confusion between the customer and the organization. 

Operational CRM Systems

An operational CRM system smoothes a company’s processes for customer relationships. Operational CRM in banking and financial services offers tools that help to understand the whole customer journey by simplifying it into different stages, from the moment of the first interaction of the customer to the point where the lead becomes your customer. If you are a loan advisor, insurance company, investment advisor, and another financial services provider dealing with significantly longer customer journeys than other businesses, operational CRM systems can be a great option to manage customer relationships. 


Operational CRM for financial advisors offers automation features that enable you to bring efficiency to the whole human resource management. It helps to save time on tedious work and allows you to invest your time into more creative aspects of the customer acquisition and retention process.

Analytical CRM Systems

The key feature of analytical CRM systems is to help you analyze the customer data to obtain insights. Businesses in today’s world work with large amounts of data and analytical CRM systems help you to analyze these data and provide you insights that allow you to make better-informed business decisions. Analytical CRM systems offer reports, visualization dashboards, and insights to understand customer behavior as well as all the other relevant data based on your business needs. With the help of this data, you can improve customer experience, increase sales and also improve after-sale services, depending on the needs of the customer. 


Analytical CRM for financial services can be quite useful for financial advisors because the finance niche includes a vast range of numerical data such as customer spends, past investments, savings, credit scores and so much more. 

Key Features of CRM Solutions for Financial Advisors 

Reporting and Analytics

Just like with every other business, data analytics is paramount for financial advisors to make critical data-driven business decisions. CRM for financial services offers numerous reports and insights on customers such as acquisition, behavior, retention, etc. that are used to analyze the performance of the complete customer journey. Analytical CRM solutions also allow you to create your own custom reports using the relevant data based on your business needs. 

Activity Tracking

Activity tracking allows you to manage the day-to-day activity of your firm. CRM for finance brokers and advisors allows you to create action items that serve as a to-do list. It allows you to manage all the activities that are planned, in progress or completed. Generally, financial brokers and advisors have a longer customer journey with many contact points between the company and customers. The activity tracking feature allows managers to check if no steps are missed and all the activities are completed on time. It also offers flexibility to add custom steps based on specific requirements from customers or the company’s side. It also makes it easier to delegate specific tasks to agents. 

Workflow Automation

Workflow automation allows you to streamline the customer relationship management processes from initiation to completion. In most financial advisors and broking firms, these customer relationship management workflows can be quite complex, which may include a lengthy process to get a client from start to finish. CRM solutions for financial advisors allow you to streamline your workflow with an option to customize each step based on certain needs and requirements. 


The CRM systems can automatically create a customer’s profile, add necessary tags that can be used for audience segmentation, create a list of pre-determined tasks as well as automatically schedule calls based on the agent’s availability. With the help of CRM, you can automate the process of task tracking, service monitor, or client segmentation. This gives you the possibility to outline your services and customize the services for individual clients. 


Financial services CRM also allows you to track the action items of all the customers and automatically notify the agent about a scheduled call, important reminders, due dates, etc. 

In-Built Calling and Outreaching

Financial advisors generally have to contact the customers several times, whether it’s about selling a service or providing it. Many CRM solutions for financial advisors offer in-built calling and outreaching features to avoid unnecessary time wastage by managing and operating separate software to contact the customers. The CRM system allows you to email or call your customers directly and also has a call recording and history feature and maintains all the records of the contact with the customers.

Integration With 3rd Party Products

Financial advisors use various software to operate and facilitate the services offered by the firm. CRM Systems require all the data that are stored within these softwares in order to work with maximum efficiency. CRM for finance brokers and advisors allows you to integrate the data with 3rd party products and software that can save a huge amount of time on lengthy work such as manually updating information in the CRM system.


What To Consider When Selecting The Best CRM For Financial Advisors

When selecting the best financial CRM, there are several factors to consider. Here are some key considerations:


Compliance – Given the sensitive financial data that you handle, it is crucial to select a CRM that is secure and compliant with industry regulations, such as the General Data Protection Regulation (GDPR).


Analytics – The CRM should offer robust reporting and analytics features, allowing you to track the effectiveness of your marketing campaigns, monitor client engagement, and gain insights into your business performance.


Integrations – It is essential to consider how well the CRM integrates with other tools that you use in your business, such as portfolio management software, email marketing software, or accounting systems.


Intuitiveness – The CRM should have a user-friendly interface that is easy to navigate, even for non-technical users.


Scalability – A good CRM for financial advisors should be customizable and scalable to accommodate the unique needs of your business as it grows.


Customer Support – It is essential to take into account the quality of customer support provided by the CRM vendor, including the availability of technical support, training resources, and user forums.

Challenges Financial Advisors Face With CRMs

When implementing and using a financial CRM, a number of challenges are bound to arise. Below you’ll find some of the most common ones as well as how to deal with them: 


Cost – Implementing and using a CRM can be expensive, especially for small financial advisory firms. The cost of the CRM itself, along with integration, customization, and ongoing maintenance, can be a significant financial burden. To avoid budgetary issues, make sure you choose a CRM you can afford in the long term. It’s not uncommon to sacrifice some functionality for the sake of sustainability.


Complexity – CRMs can be complex and challenging to set up, customize, and integrate with other tools. This can lead to a steep learning curve and require significant time and effort to implement. To mitigate that, don’t hesitate to reach out to a CRM expert for help. They will definitely be able to tell you what you’re missing when implementing or using your CRM and give you an actionable plan to eliminate errors.


Technical Issues – Like any software, CRMs can experience technical issues, such as downtime, data loss, or software bugs. This can impact the effectiveness of the CRM and lead to frustration for team members and clients. This problem is largely out of your control – however, the best way to prevent it as much as possible would be to choose a CRM with the best reputation tech-wise.


Data Management – Managing data in a CRM can be challenging, especially when working with sensitive financial info. Ensuring that data is accurate, up-to-date, and properly secured can be a time-consuming and challenging process. This problem can be resolved by regular data check-ups, cleaning up outdated information and updating everything else to the best of your knowledge and ability.

Best Practices For Using CRMs For Financial Services

The following are some of the best practices for using CRMs for financial advisors:


Integrate the CRM with other tools – Connect your CRM with other software, such as email marketing software, portfolio management software, and accounting systems. This allows for seamless data transfer and improved efficiency.


Use reporting and analytics to monitor performance – Use the reporting and analytics features of the CRM to monitor key performance indicators (KPIs), such as client acquisition costs, retention rates, and revenue per client. This helps you to identify areas for improvement and make data-driven decisions.


Use automation to streamline tasks – Set up automation to save time and reduce the risk of errors. For example, automate data entry and lead capture, appointment scheduling, and follow-up emails.


Use tags and categories to organize data – Use tags and categories to organize client data, such as demographics, interests, and financial goals. This makes it easier to segment clients for targeted marketing campaigns.


Maintain accurate client records – Keep your client records up-to-date and accurate. Ensure that all client interactions and transactions are logged into the CRM.


Implement data security and compliance – Ensure that the CRM is compliant with industry regulations, such as the General Data Protection Regulation (GDPR) and the Securities and Exchange Commission (SEC) rules. Implement security measures, such as data encryption and access controls, to protect client data.

Best CRM Software for Financial Services


Key Features

  • Contact Management
  • Workflow Automation
  • Milestone Tracking
  • AppExchange


  • Financial Services Cloud Starter – starts at $225/month
  • Financial Services Cloud Growth – starts at $300/month


  • Powerful functionality
  • Large community
  • Strong out of box solutions
  • Detailed dashboards


  • May be difficult to adopt and use
  • On the expensive side


Salesforce is a leading CRM solution for financial advisors that helps you create a personalized experience for your customers. It integrates the sales, marketing, and customer care channels to increase the performance of an organization. It allows agents to call customers directly and also tracks their performance.

Microsoft Dynamics

Key Features

  • Database management
  • Event management 
  • Workflow automation 
  • Automated reports 
  • Powerful integrations 


  • $180 per user/month


  • Easily configurable
  • Offers a lot of good integration options
  • AI-powered workflow automation 
  • Powerful analytics 
  • Highest security standards


  • Not very user friendly
  • Quite costly
  • Low data storage limits


Microsoft Dynamics 365 is a CRM solution that provides financial service companies with a centralized solution to manage customer relationships and align their data, tasks, and teams accordingly. It is one of the leading collaborative CRM solutions for any size and type of business. 


Microsoft Dynamics 365 allows 3rd party applications that solve specific business’ customer relationship management needs. The 3rd party applications are custom-designed for different departments such as sales, marketing, customer service, etc. The applications can also be designed to serve certain types, structures, and requirements of any business including financial service companies.

Redtail Technology CRM

Key Features

  • Campaign Management
  • Unlimited Resources
  • Seminar Management
  • Free Database Migration


  • $99/month/database (not user!)


  • Competitive price
  • Relatively user-friendly


  • Not the strongest features
  • Limited integrations


Redtail Technology CRM is another great CRM solution for financial advisors that offer features like portfolio management, financial planning, and risk tool assessment. The unique “seminar building” feature allows you to improve customer’s experience effectively. You can also use your mobile device to operate Redtail technology CRM using the Android and iOS mobile app. 


Key Features

  • Customer Database
  • Client Management
  • Document Management
  • Expense Tracking
  • Contact Management
  • Lead Management


  • $65/user/month


  • Highly scalable 
  • Easy to use


  • Limited integration options
  • Feature list could be more complete


Junxure is a financial service CRM that includes security features to protect and store your financial data safely. It collaborates with many tech providers and portfolio management firms like SCHWAB OpenView Gateway and Wealthscape. Junxure analyzes the data to create actionable reports and presents it to the client. You can also customize your email templates, workflows, and advanced search criteria. Junxure is one of the leading analytical CRM solutions for financial advisors. 

Choosing the Right CRM Solution for Financial Services

A financial CRM helps you to maximize customer experience throughout the client’s journey. Financial service CRM offers exclusive features that are most suitable for financial advisors, banking, investment and brokerage firms, etc. And it allows you to manage the client relationships effectively using the right data and insights required to understand customer behavior. 


Every CRM for financial service offers basic features like contact management, omnichannel communication, scheduling, activity tracking, and analytics. But, each CRM solution has its own benefits and unique features that might be suitable for your financial firm. 


Before choosing your CRM system, you should consider your business needs, the types of services you offer, the length of the customer’s journey, and the size of your firm. You may also look into specific features such as the client’s data that you may need, analytics and reporting features for data-driven decisions, task delegation, and monitoring, etc.


We at OMI will be happy to consult your financial services business on choosing CRM to fit your requirements. CRM specialists at OMI have vast experience implementing, customizing, and administering Salesforce and Microsoft Dynamics 365 CRM systems for banks, loan advisors, insurance companies, stockbrokers, and other financial organizations, as well as creating custom solutions and integrations for CRM. Reach out to us for a consultation.


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