Archive for July, 2010

There has been a paradigm shift in the financial services industry. While the Government is changing the landscape for large financial companies the clients are demanding a change in the way business is done on the home front.  The change is inevitable and must be embraced by every financial advisor who has a desire to continue building a thriving business.  All the statistics tell us the financial future will be in the hands of women. As with everything else in life we must begin to recognize how to address the needs and wants of women in a manner and style that is conducive to women.  Even female financial advisors who have been submerged in a male driven industry have really lost sight as to what women want.  The changes necessary starts with three simple concepts:

Instead of SELLING we must focus on INSPIRING: Women abhor sales tactics, even female advisors feel like a fish out of water when they try to apply the sales skills taught by every financial advisory firm, but not knowing an alternative they trudge through.  Instead of focusing on how to SELL the prospect or client focus your energies on how to INSPIRE the prospect or client to want to learn more.  Once inspired they begin to ask for more information followed by a commitment that will drive the process forward effortlessly.

Instead of CLOSING consider MOTIVATING to take action.  The thought and concept of CLOSING on a client feels totally impersonal almost malicious.  What we really want to do is provide the right information that actually MOTIVATES a client or prospect to take action, action designed to be in their best interest.  When motivated the prospect/client actually drives the process making the role of the financial advisor so much easier, more efficient and more certain.

Instead of PROSPECTING consider BUILDING RELATIONSHIPS.  It’s a natural for women to want to develop relationships.  Women want to know that you have a sincere interest in who they are while at the same time they want the opportunity to get to know you.  As a financial advisor, when you head off to a networking event stay focused on DEVELOPING RELATIONSHIPS, when you find yourself cold or warm calling focus on DEVELOPING RELATIONSHIPS.   By focusing on relationships first  you will develop more trust, create a stronger foundation that leads to a more loyal client who is more confident in your ability to provide for their needs all of which results in greater assets and production.

The future of the financial services industry will be in the hands of women. They will no longer settle for the kinds of business relationships they experienced in the past.  They want more.  If this approach seems a bit too personal, get over it.  Women want it personal.

In my last blog I talked about the importance of building a healthy database in order to continually fuel business growth.  Today’s blog is about HOW to build your database.  In the 80’s the way to build your database was cold calling, you could potentially add 10 new people to your list daily, that is 50 leads a week, you do the math.  While it was easier to add leads to your list the lack of technology made it very difficult to consistently drip on your list.  You either mailed them something on a regular basis which is very costly and time intensive or you called them again.  The sheer numbers made the calling a full time job.  Today with cold calling becoming less and less efficient how can we quickly  build a database of leads?

Probably the most effective method of capturing new leads is through seminars.  Creating an opportunity to get in front of 10 – 30 new people each month can not only build your list but drive new business to your practice.  Depending on your need and sense of urgency you can create your own program using your own lists or even a purchased list.  For those more committed consider using a  direct marketing company like Acquire Direct to do the work for you.  Another way to use seminars  might be offering your services as a speaker to local organizations and group events, this is certainly an excellent way to get in front of a larger group with less effort.   As a guest speaker it is important that you have developed a method to collect the names and contact information from all the participants, this usually means offering something for free.

Advertising in a local paper can be an efficient method of gathering leads. I’m not talking about selling a CD, offer something that you can give away for FREE something that is of interest to those that are your target market. In order to recieve the report or free gift they must provide their contact informaiton.   This is one of the more effective methods of adding new leads to your database.

An alternative method is buying a list and sending mailers but again this may be more time intensive costing you just as much when you consider postage and sweat equity.

Finally social media is becoming a more and more effective method in generating leads while marketing your practice.  Becoming an expert at maintaining your social media sites may not be the best use of your time so consider hiring a company like Wired Advisor, they can enhance your effectiveness and receptivity of your media resources.

A fresh and healthy database can fuel your business growth for many years to come.  If buidling your database becomes your focus consider it an important financial investment into the growth of your business.  Odds are you will generate a tremendous return on your investment.

If you want to grow your business you must have a good database.  Having a good database of contacts enhances your marketing efforts, increases referrals and grows your business.   When I started into production I had two local rosters totaling 350 names. Knowing these lists were my target market I really worked it sending seminar invitations at least once a month sometimes twice a month.  This worked effectively for about two years at which time I began to recognize I had probably generated as much business as I could from this list.  I worked this list effectively dripping on them and calling them on a regular consistent basis but even the best data bases dry up.  If you are not constantly replenishing your list over time your list will no longer provide you with business growth. 

So the questions becomes how many do you need in your pipeline to continually fuel your business and what is the best way to access more leads and replenish your list?  Remember there is a difference in leads and qualified prospects.  Consider 1 out of every 10 leads are qualified which means they have need, dollar and commitment.  There may be 3 more leads that although are not qualified now may become qualified over time, thus the need for a consistent drip system.  That being the case the more leads you have the more potential for generating new accounts.  I have a client whose sole source of new business is through her drip marketing strategy. This financial advisor has over 1000 leads in her database and is constantly adding more.  I have another client who has just about 200 leads in his pipeline of which 25% are centers of influence (not necessarily a direct market)  He has had these same 200 leads for years and is no longer getting referrals and his new business has disappeared,  his database has dried up.  His whole focus now needs to be on how to build a new database. 

As a financial advisor you must take and honest assessment of your current database, how many do you have and how old and stagnant is your list?  Start focusing on building and adding to your database.  Set a goal to add 200 new leads to your database, make this the focus of all your activities. If you have the systems in place those new leads will begin to automatically fuel your business growth.

In my next blog I will share methods for building a fresh new database.

This morning I started coaching a new client.  She is a successful woman who by trade is a chemical engineer and worked for 20 years in that industry.  She LOVEs numbers and is an extravert, willing to do whatever it takes to succeed as a financial advisor.  She came to me a bit frustrated and energy challenged.  She is putting in the hours and doing all the right things but not getting the results she wants. She is worn out.

Without having a clear target market her efforts are sending her all over the board.  She has tried every method of prospecting but has not narrowed her process down to become proficient nor consistent in any one area.  Although she loves working with numbers she still is unsure of her investment philosophy.  Each of these factors are creating tremendous roadblocks to her ability to achieve success.  As a result she is spending way too much energy and generating minimal results.  She is feeling dissatisfied with her performance at work, guilty about her time away from family and concerned about her health and fitness. 

This is not an uncommon scenario and one that often prevents women from succeeding.  This is not something that can be fixed overnight but already just after our first call she is feeling more optimistic about her business.  Our first objective is to clarify her ideal target market and then develop her compelling message around the needs of that market.  This work will become the foundation to all of her prospecting and marketing activities.  Next we will uncover her true philosophy towards investing money which will help guide her in providing solutions to clients with greater confidence and conviction.  And lastly I have mandated that she block of 2-4 weeks of vacation each year and create her ideal schedule that allows her to feel good as a mother, fit and healthy as a woman and a partner to her husband. 

Having a clear understanding of who you are, what works for you and what you must do to feel good and positive about yourself and your life is not an option if you want to succeed.

Today while coaching one of my clients the focus of our call was on personalizing his practice.  The advisor recently brought on a woman who is handling the marketing aspect of his business, yet her impact goes way beyond the marketing tasks.  As a woman she is bringing a whole new perspective into his business, a fresh approach that will make a big difference.

My client has spent thousands of dollars on some of the more well known coaching programs.  He uses all the lingo and terminology taught through these coaching programs.  To his credit he has applied just about every process taught but he is still not getting the results he wants’ and should.  So what is missing?  The feminine touch.

The industry continues to move more and more towards a relationship driven business. Being able to connect and engage with a prospective client is becoming an essential aspect to growing a business, the question is can this be taught?  These skill sets are a natural for women, their desire to nurture and help makes the discovery process more fluid and relaxed.  Their ability to empathize with the prospect builds trust. Their intuitive skills can help to uncover hidden agendas or concerns simmering just below the surface.  Can these skills be taught?  Perhaps but it will take time, but there is a better solution.

When a male and female advisor partner they are able to capture more business, attract more referrals and have a significant impact on growing the business.  When you can combine the strengths that men bring to the business with the strengths that women bring to the business this can create a powerful combination.  The challenge?  Picking the right partner.