‘Vast Majority’ of Consumers Welcome Robo-Advice — Should You?

Photo by Montri Nipitvittaya / Shutterstock.com

The “vast majority” of consumers are now open to receiving automated servicing — or “robo-advice” — for multiple financial products, a recent study from Accenture shows.

For the study, nearly 33,000 consumers across 18 countries or regions were surveyed. Worldwide, as much as 78 percent of consumers welcome robo-advice.

Accenture defines “robo-advice” as “computer-generated advice and services that are independent of a human advisor,” noting that the technology first emerged as an alternative to traditional investment advice.

Examples of today’s investment robo-advisors include Betterment and FutureAdvisor.

Investing is also the arena in which the most consumers are open to receiving robo-advice. The survey found that:

  • For investing, 78 percent of consumers worldwide — and 79 percent of consumers in the U.S. — would use entirely computer-generated support.
  • For insurance, 74 percent of consumers worldwide and in the U.S. would use such support.
  • For banking, 71 percent of consumers worldwide — and 72 percent of consumers in the U.S. — would use such support.

So why do humans prefer computerized guidance over human input? As Accenture puts it in the study, robo-advice “is clearly viewed as a route to greater control over [consumers’] service experience.”

Specifically, the survey found that robo-advice is preferred primarily because of:

  • The prospect of faster services (cited by 39 percent of consumers)
  • The prospect of less expensive services (31 percent)
  • Consumers’ belief that computers and artificial intelligence are more impartial and analytical than humans (26 percent)

If you’ve been considering robo-advice — or are considering it now that you’ve read this — be sure to start by checking out “7 Questions to Ask Before Paying a Robo-Adviser.” The article, by Money Talks News founder Stacy Johnson, breaks down everything you need to know.

If you’re interested in exploring other alternatives to traditional investment advice, also check out “5 Simple Ways to Invest Your Retirement Savings.”

What’s you ever used robo-advice? Share your experience below or on our Facebook page.

How to find cheaper car insurance in minutes

Getting a better deal on car insurance doesn't have to be hard. You can have The Zebra, an insurance comparison site compare quotes in just a few minutes and find you the best rates. Consumers save an average of $368 per year, according to the site, so if you're ready to secure your new rate, get started now.

Disclosure: The information you read here is always objective. However, we sometimes receive compensation when you click links within our stories.

Read Next
7 Ways Coupons Waste Your Money and Time
7 Ways Coupons Waste Your Money and Time

Here’s why I hung up my scissors and quit clipping coupons.

7 Surprising Features That Boost Your Home Value
7 Surprising Features That Boost Your Home Value

You don’t need to hire a contractor or do extensive renovations to add value to your home.

America’s Most Reliable Appliance Brand Is a Surprise
America’s Most Reliable Appliance Brand Is a Surprise

Have you heard of this appliance manufacturer?

10 Things That Can Ding Your Social Security Payments
10 Things That Can Ding Your Social Security Payments

Here are 10 things that could mean less money in your pocket during retirement.

8 Surefire Ways to Get Rid of Debt ASAP
8 Surefire Ways to Get Rid of Debt ASAP

Here’s how to painlessly speed up debt-reduction efforts.

View this page without ads

Help us produce more money-saving articles and videos by subscribing to a membership.

Get Started

Most Popular
Will I Get My Ex-Husband’s Social Security When He Dies?
Will I Get My Ex-Husband’s Social Security When He Dies?

Two factors determine how much money is coming to you.

7 Ways to Boost Your Credit Score Fast
7 Ways to Boost Your Credit Score Fast

Your financial security might soon depend upon the strength of your credit score.

21 Things You Should Always Buy at a Dollar Store
21 Things You Should Always Buy at a Dollar Store

Dollar stores have great bargains on these familiar purchases. Yes, even pregnancy tests.

13 Brilliant Bulk-Buy Items on Amazon
13 Brilliant Bulk-Buy Items on Amazon

Every household should have these products on hand. Buying them in bulk on Amazon saves you cash.

6 Reasons I Will Never Trust Suze Orman
6 Reasons I Will Never Trust Suze Orman

Beware: The self-proclaimed personal finance expert has a track record that suggests more sizzle than steak.

This Type of Social Security Benefit Is Often Overlooked
This Type of Social Security Benefit Is Often Overlooked

The Social Security Administration is not helping certain people get money to which they are entitled, a report says.

Getting These 2 Shots Could Reduce Your Risk of Dementia
Getting These 2 Shots Could Reduce Your Risk of Dementia

These vaccines may lower the risk of Alzheimer’s disease by up to 40%.

9 Everyday Problems You Can Solve With Vaseline
9 Everyday Problems You Can Solve With Vaseline

Forget expensive specialty products. Good ol’ petroleum jelly can address many common annoyances.

8 Deep Discounts Available on Amazon This Friday
8 Deep Discounts Available on Amazon This Friday

These items are all steeply discounted — but the deals won’t last long.

16 Amazon Purchases That We Are Loving Right Now
16 Amazon Purchases That We Are Loving Right Now

These practical products make everyday life a little easier.

19 Purchases That Buyers Almost Always Regret
19 Purchases That Buyers Almost Always Regret

Think twice before buying these things.

19 High-Paying Jobs You Can Get With a 2-Year Degree
19 High-Paying Jobs You Can Get With a 2-Year Degree

These jobs pay more than the typical job in the U.S. — and no bachelor’s degree is required.

7 Tips for Building an Emergency Stockpile
7 Tips for Building an Emergency Stockpile

A pandemic or natural disaster could leave you reliant on your existing food supply. Is your pantry prepared?

Homeowners Say These 2 Kitchen Appliance Brands Are Best
Homeowners Say These 2 Kitchen Appliance Brands Are Best

One brand takes five of the top honors, while another ranks highest in three categories.

41 Things You Should Never Buy
41 Things You Should Never Buy

Some purchases are just plain dumb. Give yourself — and your budget — a break. Don’t spend money on this stuff.

Is a Second Stimulus Check Still Coming?
Is a Second Stimulus Check Still Coming?

The status of another round of direct payments to taxpayers is a mix of good and bad news.

9 Indestructible Products That Are Worth the Price
9 Indestructible Products That Are Worth the Price

If you’re willing to pay a little more for these products, you may never have to shop for another again.

5 Ways to Get Amazon Prime for Free
5 Ways to Get Amazon Prime for Free

Hesitant to drop $119 a year on an Amazon Prime membership? Here’s how to get it for free.

8 Ways to Slash Your Internet Bill
8 Ways to Slash Your Internet Bill

No matter what price you are paying for internet service, taking these simple steps can lower it.

View More Articles

View this page without ads

Help us produce more money-saving articles and videos by subscribing to a membership.

Get Started

Add a Comment

Our Policy: We welcome relevant and respectful comments in order to foster healthy and informative discussions. All other comments may be removed. Comments with links are automatically held for moderation.