Affluent Marketing Reality
Atlanta: “If there’s one thing that you can share with me that elite advisors are doing to bring in new business, what would that be?” John asked with a very serious expression on his face.
This is a question we get asked repeatedly both from newer advisors to $3 million producers like John. It seems as though the entire industry is at a loss in how to effectively market financial advisory services to today’s affluent investor.
As I explained to John, there is no one thing elite advisors are doing, rather it’s more like a compilation of activities – a number of inter-connected actions that when applied with strategic intent, work together to bring about a desired result; new affluent clients.
Our Q1 2010 Financial Advisor Survey provides a number of examples. For instance…
• 8 of 10 elite financial advisors provide comprehensive financial planning for their affluent clients and help them execute their plans.
• 66% of elite advisors organize and coordinate the financial documents for their affluent clients.
• 81% of elite advisors have adequate support personnel to provide the desired level of service to their affluent clients.
Granted, these are not marketing activities per se, but they are an essential aspect of the affluent marketing reality. And there should be 100% of advisors adhering to the above. Why? Because these areas are of critical importance to today’s affluent investor and word-of-mouth influence is their primary method of making major decisions – they talk to each other. Yes, elite advisors still have room for improvement, but they are still head and shoulders above the general advisor population.
The following chart illustrates the gap between elite advisors and the general population in regards to marketing. By core activities, we mean those within which are executed consistently as part of a marketing plan.
The above chart also explains why even today’s elite advisors are not bringing in as many new affluent clients as they should. Although the high-impact activities such as introductions, strategic networking, and referral alliances are the activities elite advisors are most involved with (same as the general population, just less) and constitute their core marketing activities, the usage of each should be above 80%. The following chart serves to confirm today’s affluent marketing reality and reinforce the idea that these top activities need to be executed with more consistency and skill, even by elite advisors.
Today’s reality when it comes to marketing your services to the affluent revolves around relationships on two fronts:
1. Relationship management - Existing affluent clients and referral alliances are your acre of diamonds. Which is why you must make certain that you are delivering all the services they deem important, while providing a Ritz Carlton quality of service with a FedEx level of efficiency to your affluent clients, which provides you with the platform upon which to engage in the second aspect of relationships.
2.Relationship marketing – penetrating affluent centers-of-influence, clients and referral alliances, by expanding your relationships and skillfully selling your services
After listening to my explanation, John confessed that he was marketing by the seat of his pants. He wasn’t comfortable selling his services in affluent circles because he didn’t want to come across as a salesman, and therefore he was randomly engaged in these high-impact activities.
Being the good coach and a seamless salesperson, when John asked what I thought he should so, I simply registered him for our upcoming Rainmaker Weekend in Philadelphia. He sold himself.
This is a question we get asked repeatedly both from newer advisors to $3 million producers like John. It seems as though the entire industry is at a loss in how to effectively market financial advisory services to today’s affluent investor.
As I explained to John, there is no one thing elite advisors are doing, rather it’s more like a compilation of activities – a number of inter-connected actions that when applied with strategic intent, work together to bring about a desired result; new affluent clients.
Our Q1 2010 Financial Advisor Survey provides a number of examples. For instance…
• 8 of 10 elite financial advisors provide comprehensive financial planning for their affluent clients and help them execute their plans.
• 66% of elite advisors organize and coordinate the financial documents for their affluent clients.
• 81% of elite advisors have adequate support personnel to provide the desired level of service to their affluent clients.
Granted, these are not marketing activities per se, but they are an essential aspect of the affluent marketing reality. And there should be 100% of advisors adhering to the above. Why? Because these areas are of critical importance to today’s affluent investor and word-of-mouth influence is their primary method of making major decisions – they talk to each other. Yes, elite advisors still have room for improvement, but they are still head and shoulders above the general advisor population.
The following chart illustrates the gap between elite advisors and the general population in regards to marketing. By core activities, we mean those within which are executed consistently as part of a marketing plan.
Today’s reality when it comes to marketing your services to the affluent revolves around relationships on two fronts:
1. Relationship management - Existing affluent clients and referral alliances are your acre of diamonds. Which is why you must make certain that you are delivering all the services they deem important, while providing a Ritz Carlton quality of service with a FedEx level of efficiency to your affluent clients, which provides you with the platform upon which to engage in the second aspect of relationships.
2.Relationship marketing – penetrating affluent centers-of-influence, clients and referral alliances, by expanding your relationships and skillfully selling your services
After listening to my explanation, John confessed that he was marketing by the seat of his pants. He wasn’t comfortable selling his services in affluent circles because he didn’t want to come across as a salesman, and therefore he was randomly engaged in these high-impact activities.
Being the good coach and a seamless salesperson, when John asked what I thought he should so, I simply registered him for our upcoming Rainmaker Weekend in Philadelphia. He sold himself.
posted by Matt Oechsli at
8:45 AM
