Harnessing the Power of Value-Added Programs – Transforming Marketing Alpha into Mutual Fund Sales Results

This Credo Vision provides the Canadian perspective as a supplement what is likely the most comprehensive study on value-added programs to date in the US by FRC. It compiles key information on value-added programs gained through interviews with fund company marketing executives and distribution firm gatekeepers, as well as directly from advisors through an on-line survey.

Value-added programs (VAPs) have come to be known in the industry as a necessary cost of doing business, but one for which no return on investment can be effectively measured – until now. This FRC study and Credo whitepaper bridge the gap between the creation of value-added programs and their contribution to success and provides insight into a number of questions around the creation and execution of successful value-added programs.

This whitepaper is only available in combination with the US study.

Harnessing the Power of Value-Added Programs

Transforming Marketing Alpha Into Mutual Fund Sales Results

Value-Added Programs are vital to the sales success of a fund company. New research from FRC and Credo provides insight from both the US and Canadian marketplace on getting the ROI you want from these programs.


Learn How to Measure Results

Understand why measuring ROI on the development and delivery of Value-Added Programs is so challenging and learn what manufacturers can do to better measure results.

Gain Varied Market Perspectives

Assess the dynamics of the current and future market for Value-Added Programs in both the US and Canada direct from three distinct perspectives: distributors, manufacturers, and advisors.

Understand Primary Concerns of Gatekeepers

Learn the primary concerns of gatekeepers regarding VAP content that have led to relative VAP ineffectiveness with distributors.

Implement a Successful VAP Strategy

Identify the keys to successful incorporation of Value-Added Programs into a manufacturer’s overall distribution efforts.

Key Findings

Needs Assessment

Despite the proliferation of VAPs over the past five years, there is a distinct disconnect between the reasons why manufacturers develop VAPs and the actual needs of distributors for those VAPs.

Program Content

While the development of program content will continue to be somewhat hit or miss, firms can decrease the number of “misses” by implementing a system to better evaluate topic ideas and by building programs that address the needs of their distribution partners.

Program Execution

In the future, manufacturers will focus much less on content development and far more on execution of the programs, including preparation and follow-through.

Advisor Participation

Advisors demonstrate a willingness to participate in programs from multiple sponsors, including those outside of their top-manufacturer relationships. However only 17% of US advisors and 5% of Canadian advisors believe that sponsored programs are highly actionable.

“Value-added programs serve as a means of influencing product usage without dictating specific product decisions. This role will be validated and challenged over the next five years as the relationship between manufacturers and distributors continues to change”. – FRC Research