What happens when a financial advisor loses one of their ideal clients?
Grant Hicks, CIM
Practice Management Expert, President of Advisor Practice Management, Author, Speaker, Coach for Elite Financial Professionals. Are you looking to grow your practice in 2025?
?What happens when a financial advisor loses one of their ideal clients?
I received a call last week from a financial advisor who just lost one of their ideal clients. When I asked the advisor why they left their financial advisor, he came up with numerous reasons such as performance, communication but they had a great relationship. Instead I figure out why they left start figuring out what they were getting or more importantly not getting from you as a financial advisor. The advisor started to worry about other clients leaving and wanted to come up with plans for preventing that to happen.?
What are your ideal clients not getting from you?
To help financial advisors acquire more ideal clients, I always discuss And take a prospect from I don't know what I don't know to, now I know what I don't know. Are your ideal clients getting comprehensive goals-based planning and advice in writing? Not just one or two goals but six or eight goals. These are your wealthiest clients and therefore can accomplish more they usually have more goals and aspirations. Can you prepare a comprehensive plan without understanding their values? What questions do you ask to really understand them and their values? Are your best clients organized in all seven areas of their financial life? Taxes state investment risk insurance debt and cash flow. It is OK to laugh and ask that question because it takes a lot of time and effort to get your best clients organized. Now imagine if your ideal clients met another financial advisor who is delivering more value, would they be compelled to at least have a conversation with them??
How much communications do your ideal clients want??
When I asked financial advisors how many communications your ideal clients want the user responded by saying each person I asked is different. That is like my dentist asking me how often would you like to come in. How do I know how often I should come in? The research says your best clients want a minimum of 10-12 or more communications a year. ( Business Healthy PTY The Value of Practice Management USA advisors 2021) only 38% of financial advisors communicate more than 10 times per year and they earn 68% more than advisors who don't. A monthly newsletter is one touch or communication, not 12. What is your ten touches or communications in a year? Elite advisors working with high net worth clients 2 million and above do 20 + communications per year! How much is lack of communication costing you're practice? Communication is one thing that we control in our practice and use technology and systems to implement yeah only 1/3 of financial advisors are doing it.
Can you ramp up communications so that ideal clients don't leave?
The first thing this advisor wanted to do was dramatically increase communications because they felt they could always communicate more. They looked at newsletters and different e-mail systems to increase their communications with clients. But if we asked him what their ideal clients want in terms of communications not one of them said a newsletter. The first thing we did is set up a feedback lunch in which we brought the advisor's top clients in and discussed different strategies we were thinking of putting in place to deliver more value increase communication and enhance the ideal client experience. ?The feedback that the financial advisor got throughout the meeting was incredible and he took 5 pages of notes while I asked questions. We went over various ideas and came up with a plan to deliver more value increase communications and enhance the ideal client experience from the client's point of view. I don't have the answers your clients do. Start by building a feedback board and do it in a group forum with six or ten people.
Results from the feedback meeting
To deliver more value we are now focusing on getting the financial advisors ideal clients completely organized in all seven areas. The clients of the meeting loved it and so I'm asking value and are now more engaged in planning and advice because they're involved in getting organized as well. To deliver more communications the financial advisor now has a monthly video that he is sending to clients only( of course with compliance approval) so that it is not a marketing message it's a direct message because every time clients hear his voice they have more confidence. The financial advisor also decided to touch base with an additional phone call twice a year. Once in the fall in September And once in the spring. These are called his check-in calls or on-track calls to see if the clients are planning to make any significant changes in their life Including goals and aspirations for their future. The final strategy we implemented is to enhance the ideal client experience the group decided they would meet once a year and go over different strategies that the financial advisor is thinking about enhancing the ideal client experience. Before any of these ideas are implemented advisor now knows he's got solid feedback before wasting time energy and dollars into his practice. What are you doing to deliver more value, deliver more valuable communications, and enhance your ideal client experience? ?
You are invited - Marketing stories from elite financial advisors??
?join my upcoming webinar with one of my Centers of influence? ???https://us02web.zoom.us/webinar/register/7516979512008/WN_Es37ICeYRWKgG7hNSp8fZQ ?
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This checklist is five years' worth of research on the best processes elite financial advisors and their teams implement to acquire and service ideal clients while running an efficient practice.? ?
We are here to serve your practice, let’s talk
Contact us to help get clarity around your goals on paper, and have the goals conversation by contacting Grant at?[email protected] ?or click on the link to set up a no-obligation 20-minute discussion?https://my.timetrade.com/book/JMTNJ ?regardless if we work together, let’s have a chat and listen to your biggest practice management concerns to help you get clarity around your future business.
Grant Hicks, CIM, is President of Advisor Practice Management and co-author of “Guerrilla Marketing For Financial Advisors” 1st and 2nd editions.?www.advisorpracticemanagement.com ?for speaking, workshops, or coaching, contact Grant at?[email protected] ? Grants combined financial advisor clients manage over 5 billion AUM, and earn over $50 million dollars combined!?