This is a series of ten major faux pas’ made by wholesalers, ideas on how to correct them, and suggestions for advisors on how to deal with wholesalers who make these mistakes.

#1 Poor Defining Statement

Most wholesalers cannot tell you what they do. When asked, wholesalers tend to say one of two things:

“I’m a Regional Vice President for DCH Investors.”

OR…

… they drone off into a sales pitch.

Wrong, wrong, WRONG!

Advisors don’t care about your title, and they didn’t ask for a pitch. To be more precise, when you are asked (or volunteer) what you do, advisors want you to tell they what the advisor gets out of the relationship. The conversation isn’t about you or your title or your company or your product; it’s about them!

A “Defining Statement” is today’s Elevator Speech. Here’s the biggest problem with the traditional Elevator Speech:

It’s too long!

In today’s marketplace, where we send text more than we talk and commercials have gone from two minutes to as little as 10 seconds, you better be brief. The average buyer makes up their mind to listen in SEVEN seconds.

Build a Defining Statement that:

• Identifies Your BEST Client
• Focuses On Benefits To The Client
• Can Be Repeated In 7 – 10 Seconds
• Makes Them Ask A Question

An example:

“Advisors that want to add 10 to 20 percent to their bottom line without working harder use me because I ALWAYS give them three new ways to work smarter.”

9.4 seconds.

SOLUTION: Build a Defining Statement that tells advisors how they will benefit from doing business with you that is short, repeatable, and makes them ask, “How do you do that?”

FOR ADVISORS: Save some time for yourself. When a wholesaler calls on you, ask them to tell why you should hear their story, and ask them to do it in 15 seconds or less. You will find out real fast if the wholesaler is a master or just another product person.

Good selling!

Client reviews are sometimes difficult to schedule. The client says something like, “Well, no need to get together. We are happy where we are.” We assume that means they are “satisfied” – and we are right. However, satisfied clients are not necessarily loyal clients. Maybe we need to examine our review process. Maybe, just maybe, the client does not see the value of sitting down for a review. Maybe the problem is us; we don’t really provide a quality review! Many advisors consider a review to be a time to simply go over account statements, increase positions, and sell additional services.

One of the biggest constraints you face when making any presentation is a limited amount of time to get your point across. You have to deliver your information as efficiently as possible, and address everything you can in the time you have. Your goal isn’t to make listeners instant experts on the subject but to include as much information as they can effectively process. Keep the following pointers in mind, both during your preparation phase and while you’re conduction the review.

1.    Know Your Client. Knowing your clients well helps you determine how best to help them quickly, based on what they want and need to learn. Ask yourself: Who is this person, and do I not know about them?  What’s most important to them? How does your information help them? Don’t worry about your needs; focus on the review from their perspective.
2.    Prepare Carefully. A quality client review begins with a tight, succinct agenda; utilizing an organized, logical process which is goal-attainment. Use a standard meeting agenda. Keep everything as simple and straightforward as possible, supporting your message with facts, without being overly technical.
3.    Broaden Your Appeal. To maximize information transfer, you have to appeal to the basic types of learners. Build your review around their preferred method of gathering, sharing, and organizing information. Some people want the bottom line. Others want detail. Some like visual communication tools, while others are verbal. Know your clients’ communication styles.
4.    Use Effective Visuals. Speaking of visuals, the old saying that a picture is worth a thousand words may be a cliché, but that doesn’t mean it’s untrue. Charts, graphs, and props can add immeasurably to your ability to get your message across, but only if they’re easy to read and easily grasped. Graphics are especially useful for quickly presenting statistical measures and numeric indicators, in order to get your points across. As with your words, though, they need to be concise.

Examine your review process, and consider how you can make it more effective. This pays dividends for the client and for 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.