When I started my coaching practice, my focus was on converting prospects into clients. That’s where most advisors needed help. Recently, however, advisors have asked for assistance in generating more leads. Let’s take a look at video, which should be a critical part of your marketing plan.
Advisors fall for one of three traps. Those traps share a common trait, which will become apparent. Read on to see if this applies to you.
I tell clients the process of converting a prospect is akin to a first date. Here’s what I mean.
What if I told you I could engage anyone almost instantly? The engagement will be total. The person I’m engaging will be focused on the topic of my choosing, to the exclusion of everything else. I can do this with one person or when I’m speaking to an audience.
One of the most powerful areas of research is the role cortisol plays when attempting to convert a prospect into a client.
Firms that demonstrate “value” will always have clients willing to pay a fee reasonably related to it. It may not matter whether it is a flat or AUM-based fee. But the AUM-based fee has a troubled future.
Listening is simple. But being a good listener is incredibly difficult. That lesson was illustrated by a recent conversation I had with a new coaching client.
It’s easy to listen more and talk less when meeting with a prospect or addressing a small group of investors. It’s far more challenging when you’re speaking to an audience. Here are some suggestions for rising to the challenge.
In every interaction between two people, each has an agenda. You have one and the person with whom you are speaking has one. Recognizing this ”battle of agendas,” and knowing how to deal with it, is critical to converting prospects.
Here’s how to deal with an issue that has vexed passively-oriented advisors for decades: how to persuade a prospect to switch from an active to a passive investment strategy.
Four barriers stand between you and growing your practice. Fortunately, all of them can be overcome. But, for some advisors, it won’t be easy.
You are my friends and clients. I have great respect for the work you do and appreciate the value you add to the lives of your clients. That’s why it’s painful for me to see so many of you headed for trouble by denying the obvious trend in fee compression.
You may think of yourself as an advisor, but I have a different take. You’re really in the business of persuading prospects to retain you. To compound that misconception, advisors make a fundamental mistake about their core business: ignoring the science and the data on effective persuasion.
The most pernicious, hidden bias advisors face is that prospects don’t believe they have biases. Like everyone else, they are wired to believe that their “worldview” is correct – and everyone else is wrong and biased.
There are many variables involved in meeting with a new prospect, but there’s one constant. You’re asking the prospect to change their behavior. Many advisors believe this is a relatively straightforward process. All that’s involved is a cogent explanation of why your services are superior. The reality is quite different.
A recently released report assessed the value of an advisor to be approximately 4.08% a year. This should have been encouraging news to beleaguered advisors coping with a rapidly changing competitive environment. It had the opposite effect on me.
Many advisors feel the need to project an image of total confidence. They answer questions about investing and financial planning with no hint of doubt. But they overlook the virtues of humility, especially when it comes to questions outside their areas of expertise.
It’s time to re-think how conferences for financial advisors are conducted.
We learn from our successes and failures, except in the latter case it can be very painful. But that’s why I will never forget what I could have done to land a $50 million account.
The X factor is intangible. I can’t describe it in concrete terms. But I recognize it when I see it. I recently found it in an unlikely source: the commissioner of the National Basketball Association, Adam Silver.
The combination of high anxiety and a subconscious bias against taking affirmative action means you need to harness all the tools at your disposal to have a successful outcome with a prospect. The use of empathy is critical.
Unfortunately, the way advisors convey information ignores basic principles of neuroscience. It is the equivalent of pouring water into a glass that is already full.
Prospects are far more likely to become clients if you quickly engage with them and understand their communication style. A recent training session I conducted for advisors illustrated a powerful tactic you can use in initial meetings with prospects.
Most keynotes speeches are 30 minutes or more, leaving time for only a few questions. That is the wrong approach, especially if your goals are to engage the audience, have them remember what you said and get invited to speak again.
As advisors, you counsel your clients about risk. But based on my experience, you don’t take enough risk. Your excessive caution is imperiling your business.
The announcement that the Secretary of Labor must conduct a new economic and legal analysis of the fiduciary rule is a setback to those of us who care about investors. Hidden in this adverse development is a potential bonanza for advisors. Here’s why.
There’s one area where you can add value – and where even the most sophisticated software cannot succeed. It’s largely ignored and often misunderstood. It’s also a subject few want to confront, which is why you can play such an important role.
Nothing is more important than establishing a meaningful connection with a prospect, when it comes to converting someone to a client. The scientific evidence for how to do that is clear, and it was vividly illustrated at a large social gathering I recently attended.
My article last month on developments that imperil the AUM-fee model generated a spirited response on APViewpoint. A recent report from Accenture Consulting and an interview I did with a compliance professional illustrate why this subject is more controversial than I originally thought.
I’m active on social media, particularly on LinkedIn. I like it, but not for the reasons you might expect. More importantly, my participation has shown the quantifiable value of being succinct.
Three recent events had a meaningful impact on me. They illustrated the devastating consequences of inadequate life insurance. I want to share them with you.
Despite the overwhelming amount of time and money spent on websites, many of the advisor sites I’ve seen could use some tweaking. Here’s a simple way to make your site topical and engaging.
Some recent publications from SEI, Fidelity and Schwab highlight the urgency with which advisors must confront the fiduciary aspects of the fee model they use.
We’ve all had the experience of a bad meeting – one where you’re unable to connect in a meaningful way with your prospect. It happened recently to one of my coaching clients. But, by using my favorite question, the prospect opened up and eventually became a client.
As an advisor you counsel your clients to be aware of confirmation bias and to avoid the temptation to favor information that confirms pre-existing beliefs. Yet, many of you suffer from the same bias.
I rarely see client communications that add value. Here are some of the problems – and six ways you can quickly and inexpensively improve your communications.
Some advisors stand out. They aren’t always the smartest or the most charismatic, yet they are enormously successful, far more so than their peers. I have figured out why.
In my article last week, I gave five reasons why the asset-based fee model is unlikely to survive. Here are five more.
The advisory business is changing rapidly. Your fees will be a subject of continuing scrutiny. Here are five reasons why the asset-based fee model won’t survive.
Here are the two marketing tactics that are too often ignored.
The third debate between Hillary Clinton and Donald Trump was surprisingly substantive. One of the questions required the candidates to set forth their opinions on a woman’s right to choose. Advisors can learn a valuable lesson from Trump’s response.
Several events in the past week caused me to focus on where our industry is headed.
Here’s how to price your services in a way that reinforces your value proposition.
I worry a lot. I even worry whether advisors similar to me are at an advantage or disadvantage in converting prospects into clients.
My coaching clients tell me they are losing wealthy clients to robo-advisors. They want advice on how to better articulate their value proposition.