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5 Signs It’s Time to Move On from a Prospect

Have you ever had a high net worth prospect who seemed semi-interested in working with you but you just couldn’t quite get them off the fence? You’ve called several times; maybe you’ve even met with them and offered recommendations, but something is holding them back from taking that final step to becoming a client. Then, your prospecting efforts become unreturned voicemails or vague replies to your emails. If this sounds familiar, maybe it’s time to acknowledge the signs and realize it’s time to move on.

Following is a brief overview of what I tell my clients to look for and how to know when to let go.

Sign No. 1: A Family Member in the Business

Most experienced advisers and agents know that when a prospect says, “I have a brother in-law in the business but I’d be interested in hearing what you have to say,” it probably means that they don’t completely trust their relative, however it doesn’t guarantee that they’d change anything. Instead, they most likely will consider your recommendations, talk it over with their relative and still not end up working with you. The reason is because relatives are just too awkward to walk away from when it comes to business dealings.

If you run across this type of prospect, qualify them right away by saying something like this, “If we identify some need for changes in your portfolio, are you in a position to do business with me?” This will help you identify how serious they are about working with you.

Sign No. 2: Wanting to Split their Business

Some prospects may like your recommendations but not want to sever ties with their current adviser or agent. The reason is simple, it’s because they are familiar and have established trust with that person. They don’t know you but they might consider working with you on a trial basis.

Unfortunately, many times they are doing this with the caveat that they can compare results and then let go of the adviser/agent that doesn’t do as well for them. If this scenario is offered—working with you to “see what happens”—it’s important for you to reply like this, “I’m sorry but the clients I work with need to provide reasonable time for my process and recommendations to come to fruition.” When you stand by your value, you may lose a prospect now and again but you maintain your self-respect. As a result, you also build a better client base.

Sign No. 3: They Took Your Recommendations and Bought Online

Years ago, I had a prospect take several of my recommendations and purchase them in an online account. He felt there was nothing wrong with it since it saved him money. I on the other hand believe that if the relationship starts off on the wrong foot, it will end up remaining that way. This type of prospect is merely showing you that they don’t value your services. If this happens, you need to be ready to walk away.

Sign No. 4: You are Chasing a Ghost

At some point, you will have a prospect that needs to “think about it” or “review things.” When you follow-up they may not return your calls. The reason is because they didn’t see the value in your recommendations in the first place.

There may have been a concern or objection that you didn’t address. If this happens, simply leave a message like this, “Hi ______, this is _______ with _______. I have a quick question that only you can answer. Could you please call me when you hear this? My number is _________.” This is what I refer to as the “curiosity message.” If they aren’t curious enough to call you back, they really aren’t interested in doing business with you. If they do call, you need to ask them something directly like, “Are you still interested in (insert three benefits here).” If they are, then set another appointment with them to do the paperwork.

Sign No. 5: You Just Don’t Like the Prospect

If you find yourself dreading any type of communication with a specific prospect (email, phone call or appointments) then you certainly do not want to work with them. No matter how much business you think they can provide, inform them that you might not be an appropriate fit and they could be better served by someone who could provide more of what they are looking for.

Why Watching for Warning Signs is Important

This is not an easy business but when you make a conscious choice to work with people who want to work with you, you can make things much easier on yourself. That’s why it is so important to watch for warning signs that it’s time to move on from a prospect. Life is too short to chase those who don’t see your value.

If you are ready to take your business to the next level, schedule a complimentary 30-minute coaching session with me by emailing Melissa Denham, director of client servicing.

Dan Finley
 Daniel C. Finley is the president and co-founder of Advisor Solutions, a business consulting and coaching service dedicated to helping advisers build a better business.

 

 


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Seize the Summer with These 3 Growth Activities

Summertime can be a wonderful time to relax and recharge your batteries after a tough spring. But it can also be a great time to grow. Many advisers and their staff have excess capacity at this time of year, as clients are off on vacation. So, before you leave work early, stop and think about what a productive summer could mean for your business. You could be in high-growth mode come September instead of looking at a long list of tasks you need to complete before year-end. Here are three ways to help you get there.

Here are three growth activities you can do this summer:

1.) Connect with clients. Summer offers many opportunities to strengthen relationships with your best clients. Be sure to actively listen when clients talk about their vacation plans. If they are traveling to a particular destination, follow up with an article or item geared toward their trip. For example, clients going to a cooking school in France might love a whisk, along with a note saying you hope they whip up some wonderful summer memories. Clients heading to a national park might be thrilled to read a timely article on the “10 Things You Didn’t Know About Yellowstone.” These types of gestures could get clients talking about you, leading to introductions to potential new clients.

There’s another benefit to active listening: the ability to source names to follow up on at another time. Who is on the client’s tennis doubles team or golf foursome? Who will be at the lake house? Who’s coming to town for the family reunion? Be sure to add these names to your CRM system or database to keep your pipeline of prospects full and healthy.

2) Get to know clients’ families and friends. Are children, grandchildren or other relatives coming to town? Mention that you’d be delighted to meet them. Perhaps clients are hosting a barbecue you could attend. Or maybe there’s a Little League game in your area where you could watch their son or granddaughter pitch. Imagine their surprise and delight to find you in the bleachers, cheering on their young ones. And if you bring along a small cooler with popsicles or ice cream treats for after the game, you can quickly get introduced to a large number of players (and their parents) and make a great first impression. It’s a great way to turn clients into advocates for you.

3) Leverage community events. Many cities and towns hold free summer events that you can spin into your own unique entertainment offering. Invite clients to attend an outdoor movie in your community, and bring along blankets, popcorn, movie treats and soda to hand out. Or suggest clients come enjoy a band concert in the town square with you, and offer them wine and cheese while they relax to the music. (You’re likely to have clients introduce you to others, too, in a casual setting like this.)

Remember to take pictures (get permission, of course), and leverage the event even further by sharing those images on your website, blog or social media channels. The opportunity to delight your clients and meet potential new ones is all around you this time of year.

Make this summer fun—but make it matter to your business. When you prioritize connecting with clients, and getting to know their friends and families, you’ll create a pipeline full of prospects that can propel your business forward. And you’ll be well positioned to capture business leading into the end of the year.

Kristine_McManus_2_lg
Kristine McManus, is the chief business development officer of Commonwealth Financial Network.


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How to Get the Right Prospect to Your Event

It happens all the time. An adviser plans a high-end client appreciation dinner or wine event and spends weeks planning every aspect. The dinner menu, the flowers, the drinks, the guests to invite, the seating arrangements—everything is carefully thought through.

And since the adviser is a generous host, clients are invited to bring a guest. The adviser is casual about it but hopes clients will bring along a great prospect, perhaps an executive-level peer. And then the big night comes and the clients show up promptly, ready to have fun—with their 14-year-old daughter in tow.

That’s frustrating. Disappointing. And a missed opportunity! As the host of the event, it’s your job to make sure people know what to expect and whom they should bring to your gathering. It’s great that you want to meet new people, and your existing clients are wonderful sources of prospects for you. But rather than leave it up to clients to bring a friend, it’s far more effective if you can suggest an appropriate guest.

Listen for Name Drops

When you meet with clients, of course you listen closely as they talk about the people, places and activities that are important to them. But you should also be sure to ask questions, when appropriate, to learn more about their golf foursome, book club or brother who moved to town. Keep track of the names that come up in these conversations so that you have a ready pool of good candidates for your business and events. It’s easy from there to say something like the following:

“You mentioned recently that your tennis partner is a lot of fun. I’d be delighted to have her and her husband as my guests at the dinner as well.”

Hopefully, you’ll get to meet the prospect who would be a good fit for your firm (which you know because you’ve Googled her, just to make sure.) But even if that doesn’t happen, your clients will understand the type of person you’re looking to meet by the names you’ve brought up.

Look for Leads

In addition to your own research, you can leverage LinkedIn to find out whom your clients know. Simply visit their profile and click on “See Connections.” This list will quickly and easily give you some ideas of people to suggest your clients bring, and you’ll be able to learn some important details about these people—perhaps their involvement on a hospital board or a past job or charity work.

Hint, Hint

If all else fails, and you still want your clients to bring a prospect, try something simple, like this:

“I’d like this wine tasting to be as much fun as possible for you. As you know, we won’t be talking any business—this is purely for pleasure. Is there a friend, or a couple that you know, who also shares your passion for red wine? If you’d like to bring them along, I’m happy to welcome them. And you know you’ll have a great time.”

This should keep the 14-year-old daughter at home and hopefully open up the invite to a promising prospect. With these tips in mind, you’ll have more enjoyable events while growing your business at the same time.

Joni Youngwirth_2014 for web
Joni Youngwirth, managing principal, practice management, at Commonwealth Financial Network®, Member FINRA/SIPC, helps advisers develop the mindset and systems to grow their businesses to the next level.

 

Kristine_McManus_2_lg
Kristine McManus, chief business development officer, practice management, at Commonwealth Financial Network®, Member FINRA/SIPC, works with advisers to grow their top line through the introduction of various programs, tools and coaching.


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Why Clients Choose You

Why would a prospect end up choosing you over another adviser?

There’s really only one thing that a prospect is looking for when they begin the conversation with you. If they believe you can provide it, it’s much more likely that they’ll become your client.

What Prospects AREN’T Buying

Despite what most advisers think, people aren’t working with them because of their:

  • Superior investment selection
  • Comprehensive financial plan
  • Account aggregation software
  • Years of experience
  • Credentials after their name, etc.

We’re all proud of those things and they play a role in the decision to work with you, but they’re not the reason people choose you over everyone else. Prospects aren’t buying the products or features you provide. They’re actually not buying the benefits either.

They’re Buying Transformation

The one thing that they are buying is the transformation that they believe they will get by working with you.

What do I mean by that? It doesn’t matter what people are buying. Whether it’s a candy bar or new car, we’re all looking for the same thing: we’re living in a current state and we want to move into a desired “after state.” We believe making the purchase i going to move us into that place we want to be.

Imagine what your prospect’s thinking. Why are they talking to you? Why are they looking for a financial adviser? I can definitely tell you that they’re not calling you because everything is perfect with their finances.

They’re calling you because they are discontent with some aspect of their financial life. They’re not completely happy with everything they’re doing. They have a problem that they don’t know how to solve and they may be frustrated, worried or confused. The fact is they’re looking for an adviser because they are in a place that’s less than ideal.

And that’s your ideal prospect. Why? Because you know that you have the solutions they’re looking for.

Where Do They Want Go?

If their existing state is discontentment, then they need to move into a place of contentment.

This is the entire value of your service business summed up in one sentence: you are helping people move from their before state to an ideal after state.

If you can clearly communicate this in a way that they understand, you’ll never have to sell anything ever again.

What’s The Next Step?

Take out a sheet of paper and write down answers to these questions.

  • Where are they now?
    1. What are their problems?
    2. Why are they looking for help?
    3. What’s their emotional state?
  • Where do they want to be?
    1. How will this change after working with you?
    2. What will they have?
    3. How will they feel?
    4. What will they leave behind?
    5. What kind of person do they want to become?

Once you’ve written these answers, you’ve taken the first step to discovering the transformation your ideal client is looking for. Start using these things you’ve discovered as you talk with prospects moving forward. Pay close attention as you talk about their desired “after state.”

dave-zoller

 

Dave Zoller, CFP®
Financial Adviser
Streamline My Practice
Warrenville, IL


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To Instantly Connect with Your Prospects, Use The Magic Question

After learning this single question, your initial meetings with prospects will never be the same.

This question will help you instantly connect, differentiate yourself, and pre-qualify your prospects within the first few minutes of the meeting.

Once you see the effect it can have, you’ll most likely make it a mandatory part of every first meeting with a prospect.

Why Is This Question So Effective?
I first learned about the Magic Question from the business coach, Dan Sullivan. He wrote an entire book (titled The Dan Sullivan Question) on this question and why it works. After reading the book, I tweaked the question slightly so that it would make sense for financial advisers to ask their prospects.

At first, you may be a little hesitant to ask the question because it’s so different. And you can be pretty sure that they’ve never been asked this by their financial adviser before. Once you start using it, it will become clear how quickly you can connect with complete strangers over the phone.

The great thing about the question is that everyone can answer it—but they are required to think before they do. This is an important part of the process because you want to make sure you’re working with people who care about their finances and want to put the proper effort and thought into planning their future.

You may notice that about one out of 20 people do not answer the question. Either their brain cannot function in a way to think futuristically or they simply do not want to answer. This is actually a great thing because the people who don’t answer the question or don’t give authentic answers are probably not the right fit. They are the kinds of people you can disqualify right away before wasting any more time.

There are three reasons why this question works:

1.) It’s about them. About what they want. The results they are looking to achieve.

2.) It brings clarity. To where they want to go. To what’s most important to them. To how they define success. As you know, It’s hard for some people to specify their goals. This question makes it easy.

3.) It encourages them. One of the fastest ways to influence someone is to encourage their dreams. They are opening up to you about what’s most important and you are their ready to stand next to them and show them how it’s possible. People are attracted to those who encourage them in what’s most important in their life.

The 4-Part Magic Question
The first part of the question is the most important. That’s the one you will ask to instantly connect with someone. The following three are not necessary but they can be great to follow-ups to delve deeper into what they’re are looking for.

Here is the magic, four-part question:

If we were meeting three years from today, and you were looking back over those three years, what has to have happened in your financial life for you to feel happy with your progress?

  • What are the biggest challenges you will have to face in order to achieve that progress?
  • What are the biggest opportunities that you would need to focus on to achieve those things?
  • What role would you like an adviser to play during those three years?

Give the magic question a try during your next initial meeting with a prospect. After you do, I’d love to hear how it went. Email me at dave@streamlinemypractice.com to share your results.

dave-zoller

 

Dave Zoller
Financial Adviser
Streamline My Practice
Warrenville, IL


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3 Critical Practice Management Areas That Demand Attention

The industry has changed and it is more important than ever to have a plan, not merely to survive, but indeed to thrive in today’s environment. Creating a simple road map can be the difference between growth and stagnation.

At a minimum, we believe that you should consider these three critical questions, commit your ideas to paper and create an implementation plan with time frames and accountability.

1.) How will you drive retention?
Client retention is the foundation for the long-term viability of your firm. You must consistently deliver the appropriate client experience for each of your client segments.

  • Communication: Do you have a systematized client communication plan? Are you communicating value with the right frequency and maximizing your delivery mediums? Are you offering educational opportunities to help clients better understand their plan and the financial terrain?
  • Appreciation: Do your clients know that you appreciate them? Do you need to go beyond birthdays and holidays and deliver more creative or personalized appreciation?
  • Expectations: Do you really know if you are meeting, falling short, or exceeding client expectations? Do you execute surveys or offer service commitment or expectation meetings to review the value of your deliverables? Do clients understand the totality of your offerings?

2.) How will you drive efficiency?
In an increasingly complex industry with expanding requirements, efficiency and scalability are critical to long-term success.

  • People: Are roles and responsibilities clearly defined and aligned? Are you leveraging your talent?
  • Systems: Are all repeated activities systematized? Do you have standard operating procedures documented in a shared folder for all to access? Is your business scalable?
  • Time and technology: Do you really know where and with whom you are spending your most precious resource—time? Technology can be a time-drain or a time-saver. Is every team member maximizing technological resources?

3.) How will you drive growth?
We could all fill our days by simply dealing with the reactive; however, high-performance financial planners stay committed to growth.

  • Organic growth: Do clients consider YOU their primary advice provider? Have you fully served them? Are you developing multiple generational relationships? Where can you leverage your existing relationships?
  • Introductions: Are you referable? Do your clients proactively provide qualified introductions? How robust are your centers of influence? Are you delivering value to partners who have the propensity to connect you with ideal prospects?
  • Marketing: How strong is your brand identity? Who is your niche audience and how can you attract more ideal prospects through off-line and online marketing avenues? Based on your demographics, what type of marketing (advertising, seminars, mail campaigns or event marketing) makes sense for your practice?
  • Expand the team: For firms that are fully systematized but at capacity, you may consider bringing on new advisers/planners as your most vital growth strategy. Be sure to consider your “ideal” candidate and conduct full due diligence so as not to upset the culture of the firm.

What decisions will you make and what actions will you take to drive retention, efficiency and growth in 2017?

Sarah E. Dale, President of Know No Bounds, LLC

 

Sarah E. Dale
Partner
Performance Insights
Atlanta, Ga.

krista_sm

 

Krista S. Sheets
President
Performance Insights
Atlanta, Ga.


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How to Sell the Benefits of Financial Planning

Do you ever struggle to communicate the value of financial planning to prospective clients, such that they are willing to sign your planning agreement and write a check for the deposit, enabling you to move forward?

That was the question I was asked recently by a financial planning practice. They sent me sample copies of their proposal as well as examples of their executive summaries, action plans, fee schedule and even some success story descriptions.

I am confident that this is a practice that provides an excellent planning process and product—certainly well worth the fees they charge.

So what did I recommend? Here are the steps I suggested:

Before your Introductory Conversation:

  • Thank them for their interest in learning more about you and your practice.
  • Send a link to your website, pointing out any description or case studies you have there about your planning process and results.

During your Introductory Conversation:

  • Learn enough about them to determine whether they’re a good fit for your business model and how you can help them.
  • Explain your background and approach to help them understand whether you’re a good fit for what they need.
  • If you provide different “tracks” based on your clients’ situation (such as plan only, plan plus solutions or even solutions only), describe them. Tell them that the basis for determining which track is most appropriate generally becomes clear in discovery. Avoid discussing fees at this point; you want them to understand that you will recommend the track most suited to their needs.
  • At the end of the introductory conversation, if you believe they are a good fit for moving forward, say something like: “Based on what you told me about your situation, and how we generally serve our clients, I think we’d be a good fit to move forward to our discovery process.”

During your Discovery Meeting:

  • Your goal during discovery is to develop a list of the problems they need to have solved—the ones they’ve identified already and the ones they may not have realized they have.
  • At the end of discovery, you can talk through the list of issues to be addressed, particularly focusing on the ones you uncovered.
  • Then you can say something like: “Based on what we talked about today, and to help you address each of these concerns, I believe X is the most appropriate track for you.”
  • Then stop and listen. Test for agreement to move forward.
  • If they’re ready, provide your planning agreement and set an appointment and expectations for next steps.
  • If they’re not ready to sign your agreement today, go ahead and schedule a follow-up meeting and give them what they need to prepare for planning. Assume they will be moving forward, but need a bit more time.

In the case of the financial planners I spoke with, they were accustomed to sending a planning proposal that was mostly about how they would review, analyze and evaluate, but little about the specific benefits their clients would experience.

Instead, use your analytical skills during discovery to uncover issues that your prospective clients didn’t know they had and then help them see the benefits you can provide in solving each one of them.

susan-kornegaySusan Kornegay, CFP®
Consultant/Coach
Pathfinder Strategic Solutions 
Knoxville, Tenn.

 

Editor’s Note: This blog originally appeared on the Pathfinder Strategic Solutions “Perspectives” blog.