Wholesalers face aggressive activity objectives. Today’s standard is 25 in-person contacts per week. When covering larger geographies this proves challenging. As a result of insufficient scheduling, some wholesalers stop at an advisor’s office after calling to say, “Hey, I’m just down the street…” or – even worse – totally unannounced. “Do you have a few minutes?” turns into 30- 60 minutes. The wholesaler attempts to tell his or her story with little regard for the schedule of the advisor.

Recently a coaching client called me about a wholesaler dropping in unannounced and sucking up an hour of his Associate Advisor’s time. This wholesaler has a quality product, but my client called the wholesaler and advised him not to call or come back. You might ask if this is a little drastic; maybe so.  However, my client was waiting on a report that was to be prepared by the associate – and the report was late. Not only did my client fire the wholesaler, but he had to deal with a delayed meeting because the associate tried to be courteous to the wholesaler.

Are Drive-By’s ever appropriate? Possibly when dropping off a promotional item ONLY or to introduce oneself and schedule a future appointment. However, if a wholesaler expects the advisor to have empty time in his or her calendar because the wholesaler has empty time, the situation is totally unprofessional.

FOR ADVISORS: Be jealous with your time. Give wholesalers your “ground rules” for meeting. And be on time when you have a meeting scheduled with the wholesalers. Their time is as valuable as yours.

FOR WHOLESALERS: Schedule in advance. Use a scheduler. Set your next meeting at the conclusion of this meeting. And always be a pro.

Good Selling!

Today’s kids just aren’t motivated. We have spoiled and coddled them. They don’t have drive, and can’t deal with competition.

Yeah, right.

Yesterday Missy Franklin put an exclamation point on her first world swimming championships in Shanghai.  She won five medals in all — two golds and a silver in relays as well as a gold medal in the 200 back, and a bronze in the 50-meter backstroke. Her performance put Michael Phelps meet – which was outstanding – into the second paragraph of news articles. Phelps was quoted as saying, “She does it all… she’ll remember this for a long time.”

Did I mention Missy Franklin is only 16?

Missy teaches us some wonderful lessons. You are never too young (or too old) to realize big dreams, but those dreams come with a price! During the broadcast, the commentators from NBC mused about the influence of Franklin’s coach, Todd Schmitz. Schmitz taught his young swimmer that when you practice, it is similar to making deposits in the bank. You keep making deposits whenever you practice, and you equate the amount of the deposit to the quality of the practice. When you compete, you get to withdraw everything you have deposited!

Apply this to your business. How can you make “deposits” into your business? What can you “practice” that will result in significant withdrawals in the future? Consider practicing:

• Exceptional Service
• Keeping Promises
• Presentation & Delivery
• Staff Empowerment & Development
• A Never-Ending Commitment to Improvement & Excellence

Congratulations, Missy Franklin. Thank you for your inspiration, and best wishes for continued success, and a long and happy life.

And to you…

Good Selling!

Only two things matter when you seek to improve production. You have your choice of one or both of two strategies:

A. Increase Sales Activity

B. Work with Larger Cases and Larger Clients

If you cannot meet with more clients than you do at the present time, examine your activities. Look for tasks you do that could be handed to an assistant.[1] Your role is simple; meet with clients, design strategy, and implement solutions. Marketing and selling[2] to different groups requires different strategies and tactics, and as a group, high net worth individuals[3] require different strategies and tactics.

MARKETING

Top-performing professional service providers possess many common denominators, including a focus on marketing to High Net Worth (HWN) people, as well as a marketing and follow-up strategy that includes the following five steps for growing a practice and increasing the bottom line:

1. Provide a Personal Touch In Your Marketing Strategy – To develop relationships, you must know your clients. The more personal your communication with clients, prospects and centers of influence, the more effective your message will be.  The secret in your personal touch is to know your clients and focus on the value and benefits you bring to relationships.

2. Communicate Your Benefit-Based Defining Statement (BDS) – Successful professional service providers understand how important it is to differentiate themselves from the competition. Your marketing message needs to communicate your unique value proposition in the form of a BDS, which is short, repeatable and focused upon the needs of the client, not what you do. Communicate your BDS through traditional and online strategies. Traditional strategies should include postcards, letters, cards, and tasteful, appropriate gifts.[4] Your online strategies will include e-mails, social media and article marketing. Make sure that your marketing message is consistent, stands out and resonates with your target audience.

3. Know Your Market – The core of your marketing strategy needs to focus upon a niche market or markets. Once you identify the clients you want to serve, you can then find out everything you need to know to dominate that market. By working with a group of people with similar needs, you can learn exactly what they see as challenges and opportunities, which allows you to provide a better service experience. When your affluent clients experience this level of care, they provide high quality referrals.

4. Networking – One of the easiest methods for receiving highly qualified referrals and introductions from other professionals in the same niche is to network with the purpose of building professional relationships, which provide opportunities for sharing referrals. Networking, professional, and community events provide tremendous opportunities for business expansion. In addition, using social media marketing strategies designed to identify potential mutually beneficial relationships results in an amazing amount of new business.

5. Maintain Consistency In Your Client Contact Strategy – Top advisors touch their affluent clients between 18 and 36 times per year. Depending on your clients needs, you may need to touch them even more or less. To achieve this goal, it’s essential that you include an automated follow-up process in your marketing plan. Use technology to automate and drive your marketing activities. Task an assistant (preferably a dedicated assistant) with managing your marketing program. Meet at least semi-monthly with this assistant to review results and schedule activities.

SELLING

Marketing to HWN’s differs from broad based marketing. The same can be said for presenting and selling to these people.

1. Approach – Introductions and referrals work far better than direct calls and letters. Letters can be effective, but avoid form letters at all costs. If you choose to use letters make certain the letter is personalized. In addition, use introductions for mutual acquaintances whenever possible. For maximum impact, send the letter by overnight or priority mail.

Often HNW’s do not open their mail, and you must overcome secretarial screening.  Often a personal card can be effective. There tends to be widespread warm response to personalized, signed, stamped letters. Some HNW’s are receptive to highly targeted, well thought-out brochures, but they must be brief, direct, to the point. Given their HNW status, these individuals receive many solicitations every week from the typical providers who try to sound like an old friend. The main point is to be memorable.

2. Expertise – Many HWN’s are skeptical about the ability of others to make better decisions than they do. Financial advisors must demonstrate superior knowledge and experience. Prospects in their 30’s and 40’s are more likely to defer to recognized authorities; but prospects in their 50’s are more likely to see themselves as the best judge of an offering or solution. It is not necessary for an advisor to be an expert in all areas of service to the client. It is necessary for the advisor to be able to bring in specialized expertise seamlessly when it is needed. Regardless of your expertise, you must demonstrate confidence in your recommendations, with a solid plan and backup information if the HWN wants more detail or documentation.

3. Informed Decision Making – Few affluent individuals want to turn major decisions over to another party. Many prefer to be educated as to the process and the choices in a time-efficient manner, and to stay in control of the decision-making process.

4. Access to a Wide Variety of Solutions – Many affluent individuals want access to the widest possible variety of products and product providers, rather than proprietary products. The intelligent firm may offer its own funds or products, but will also have the flexibility to go into the market and access any service or product the client may need and desire.

5. Client Focused, Holistic Orientation – HNW’s typically have complex personal and financial profiles. Most advisors focus on their own functional area of expertise. The advisor who integrates and coordinates different aspects of the client’s situation and sees to the complete and accurate implementation of recommendations, with ease of implementation for the HNW, provides a valuable and rare service.

6. Relationships with Advisor – HNW’s value a strong bond of trust with their advisors, and transition to a new relationship can be problematic. HWN’s expect advisors to act as advocates. They also expect new, creative, customized ideas or opportunities about new products or services that may be of benefit to them. For the most part, HNW’s are not concerned about the age and gender of the advisor, but rather their competence, communication skills, and ability to identify solutions. In addition, premium service delivery and kept promises create loyalty and keep business.

High net worth client development calls for a particular focus and attention to detail to client contact and needs, and an attentive, personalized relationship. There is no understating the importance of knowing your clients at a deep level, and tailoring your marketing, ideas, and recommendations to meet their unique needs. When these principles and strategies are applied to a professional services practice, business grows exponentially.

[2] Many professionals feel they don’t “sell.” However, when business is done a sale takes place, even if the person only buys you, and ultimately that is the sale that matters

[3] This applies to individuals, couples, families, and businesses. ALL interactions are ultimately individual – and personal – interactions.

[4] Make certain to know the compliance guidelines for gifts in your profession.

Professional advisors and salespeople know the value of thank you notes. However, most people find writing thank you’s challenging. While speaking in St. Louis last week, I heard an exceptional, simple strategy for writing thanks you’s, courtesy of Roger Plackemeier, a wholesaler with Allianz Life.

Roger suggested this three-part formula:

1. The first sentence starts with “You,” and is focused on the person receiving the note.
2. The second sentence is where you thank the person.
3. The third sentence is an action idea, or next steps.

What does this look like in practice? Look at this example of a note I wrote last week:

“You made my day with the comments about my presentation last week at the 55th APAI Convention. Thank you, and I’m glad the ‘Heroes’ presentation was a part of the conversation when you closed the deal with your customers.  I will stay in touch, and feel free to call me if I can ever help you in any way.”

Thank You Notes don’t need to be difficult. Use this strategy to make your thank you’s meaningful and effective. Thank you Roger, and as always…

Good selling!

Often, sales technique or lack thereof is subtle. Recently I attended a business luncheon in St. Paul, Minnesota at a rather well-known restaurant. Significant business transactions are some of the main fare at this establishment, known for fine food and deal-making. While waiting for my client, a party was about to be seated, and the hostess asked one of the ladies in the party if a certain table would be acceptable. Then another lady in the party – the salesperson – said to to her guests – and the hostess – that “I have several documents that I want to show you, and I want to be able to spread them out.” As a result, another table was selected for seating the party.

You may ask what is wrong with this scenario. Aren’t you supposed to control the selling environment? What was said that was so wrong?

The most dangerous word in selling is also the shortest – the word “I” kills more sales than any single word or phrase. Closing rates plummet when the most frequently used word in a conversation or presentation is “I”. Simply change the focus to the prospect by changing your words. In a famous 30-year study, Yale University determined “You” is one of the 12 most persuasive words in the English Language. Our focus should be on our clients first, and our words support us – or sometimes they betray us.

So how could this lady have better controlled her selling situation? First, by telling her prospects that, “You will want to be able to see some documents I have prepared for you, so why don’t we get a table when you can spread them out?” Second, by getting to the hostess early, she could have expressed her need for a larger table in a more private area.

Placing the emphasis on the client and their needs instead of yourself and your needs always helps position you as a client-focused advisor.

What does it take to be successful in sales?

Some say the most important thing is Enthusiasm.

en·thu·si·asm n.

1. Great excitement for or interest in a subject or cause.
2. A source or cause of great excitement or interest.
3. Archaic

• Ecstasy arising from supposed possession by a god.
• Religious fanaticism.

While you need to have a passion for what you do and what you sell, it takes more than enthusiasm to be successful.

Selling is not just “telling.” Successful selling takes more than just spewing facts about products and services. It is relationship development, prospecting, making the approach, interviewing, presenting, answering objections, asking for the order, and keeping promises. Selling requires enthusiasm, product knowledge (yours and your competitors), and confidence.

con·fi·dence n.

1. Trust or faith in a person or thing.
2. A feeling of assurance, especially of self-assurance.
3. A trusting relationship: I took them into my confidence.
4. The state or quality of being certain: I have every confidence in your ability to succeed.

Expertise breeds confidence. Confidence results from knowing you are prepared, and that you can deliver and keep promises. Confidence forms the basis for enthusiasm. Enthusiasm is a choice. But still you don’t want to run around screaming about your product. Unbridled enthusiasm results in a lack of focus. It takes more to truly succeed in sales.

pro·fes·sion·al·ism n.

1. Professional status, methods, character, or standards.
2. The use of professional performers, as in athletics or in the arts.

Professionalism takes all of the factors listed above to a higher level. It helps you form a cogent story, run your business like a business, build and work a plan in an organized, focused manner.

So what is the most important factor?

There is no one most important key to success in sales; they are all important! Your success is a product of how well you execute on the activities and behaviors listed above, and the attitude that you bring to these tasks.  Successful salespeople are confident in their abilities, enthusiastic about their solutions, and professional in their execution.

Good selling!

This week a financial advisor called me for presentation coaching. When she shared her approach, she led off with, “I need to talk to you about…” I stopped her immediately. You see, your clients focus on what THEY need, not what you need. Too often advisors’ conversations revolve around “I”. Crafting sales conversations for maximum effectiveness requires some work on your part. Examine everything you say in order to improve closing ratios and better serve your clients.

How can you modify your communication to improve sales success? Take a look at the following examples of sales-speak I have heard recently, with some suggested changes in phraseology:

“I need to show you this investment/insurance/planning idea.”
BETTER: You would benefit from considering this investment/insurance/planning idea.”

“Consolidating these accounts helps me do a better job of tracking your portfolio.”
BETTER: Consolidating these accounts makes it easier for you to track your portfolio.”

“I want you to look at this.”
BETTER: “You will really want to see this.”

Focus on making your presentations client-focused. Phrase your selling statements using “you” more frequently than the word “I.” Doing this helps you present benefits of recommendations instead of features. Your clients will take action when they know the benefits they will receive as a result of taking action on your recommendations.

Good selling!

In the course of serving their prospects and clients, financial advisors recommend many products and services.  You might consider several different solutions for a particular need.  Too many advisors offer a client several options in the name of helping them make an informed decision.  At times these advisors provide a spreadsheet of products along with the accompanying product details and minutia.  The advisor wants to “educate” the prospect.  In most cases these product and service comparisons result from the fact that the advisor poorly profiled the prospect.  If you ask enough questions and work hard to build trust, you will know what the prospect needs, and prospects sense conviction. The prospect doesn’t want education – they want solutions.

Of course there are times when you need to compare and contrast different solutions to help the prospect make a decision.   It makes sense to have a secondary recommendation in the bag, but don’t lays multiple options out in front of the prospect.  This practice confuses people and confused minds never say yes.  Do your job. Be strong in your opinions.  Know what the prospect needs, and sell it with conviction.

Good selling!

One week into the new year how are you doing with those resolutions?  In case you want to grow your business this year I suggest you resolve to call your best clients, and say something like this:

“A big part of my responsibility to my clients is to keep them on tract with their financial objectives.  However, people change and their goals change.  In order for me to do my best work for you you need to tell me when things change.  May I ask you three brief  questions?”

• “Tell me your three most important financial goals?”
• “What has changed in your life in the last twelve months?”
• “What can I do to serve you better?”

The questions may be brief, but the answers may make for a long conversation.  Take the opportunity to meet face to face to discuss these questions in depth.  You will be amazed at the results.

Good selling!

Yesterday I was hosting a sales coaching conference call for Cathay Wealth Management, a division of Cathay Bank.  The financial markets are crazy, and we discussed the fact that clients are looking for solutions.  They need solid, proven strategies.  A trusted advisor remains calm in the face of a storm, and exudes strength and confidence, and can communicate that demeanor to clients and prospects.  This calm happens when you know the history of the financial markets – we have been here before.  Consider the following strategy when choosing what you will say to clients and prospects:1.  Don’t Confuse The Headlines With The News.  The national media sells stories with hyperbole and superlatives. Bad news sells.  This bias for promoting bad news even extends to the corporate sector. A 2007 press release from PricewaterhouseCoopers Contained the following headline:

U.S. Industrial Manufacturers Expect Lower Growth Rates for the Next 12 Months, According to PricewaterhouseCoopers

When you read the article, you find the survey of manufacturers predicted quarterly revenue GROWTH of 5.7 percent!  While this was a reduction from a previous forecast the predictions could still be considered robust.  So look beyond the headlines to the real news.

2. Know The Dynamics of Market Cycles.  Markets cycle, so recognize the predictability of cycles over time as demonstrated in different asset classes.  Study financial history.  Use tools such as Ibbotson Charts and other third party resources to show clients how markets ebb and flow.  Be able to explain how bad news always produces opportunity, and get clients positioned to exploit opportunities when they appear.

3.  Remember the Four Basic Principles of Investing

* Professional Management
* Asset Allocation
* Diversification
* Dollar Cost Averaging

In A Tale of Two Cities, Charles Dickens wrote, “It was the best of times; it was the worst of times…”  While the challenges we face are many, these days can truly be the best of times for those advisors that know their story, and are proactive about taking it to the people who need it most.  Also remember, your clients know a lot of people just like them that need a financial advisor just like you who is always present when needed the most.

Good selling!

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