According to Boston-based researcher DALBAR, Inc’s e-Delivery Benchmarks study, the majority of firms have realized some cost savings from e-delivery to date, averaging an annual savings per each converted customer of:
- $9.00 for hard copy mutual fund quarterly statements replaced by e-delivery;
- $6.76 for hard copy variable annuity shareholder reports replaced by e-delivery;
- $2.38 for hard copy mutual fund shareholder reports replaced by e-delivery.
However, DALBAR also reports that, with “significant promotion,” financial services firms can expect just 4% to 5% of customers to adopt e-delivery of the majority of customer communications.
While DALBAR says that significant returns on investment in e-delivery systems remain elusive, the most effective promotional strategies for increasing adoption of e-delivery tie e-delivery to a financial incentive.
DALBAR’s e-Delivery Benchmarks study was conducted for mutual funds and variable annuities in November and December of 2003. The full report for each industry is available by contacting DALBAR at 617-723-6400 or at firstname.lastname@example.org