In the new year after a short break, we'll look at how the four drive theory can be applied to the provision of financial services by practitioners.
The theory essentially describes how people are motivated by what it is that feels good. The theory puports to encompass all the drives that we have as humans. These drives are innate, hard wired and independant.
Happy new year and we look forward to explaining how to use the four drive theory in a financial planning/financial services practice.
Thursday 29 December 2011
Thursday 22 December 2011
Finding Your Advocates in 2012: A Christmas Wish
2012 at its dawn marks a significant shift for PCE. Expect a range of tools for you to utilise in client engagement, a handbook that takes you through engagement step by step and continued thoughts on the process.
Key to success will be using the techniques to find the advocates you have and empowering them to tell your story.
A shift in your own mindset is required.
The facts of your business as they stand do not need to shape your 2012. The past behaviours that you in your businesses exhibited do not need to have relevance in 2012.
The big shift will be turning off your autopilot - the day to day routine that has produced the results in your businesses and what Dr Ellen Langer defines the behaviour such routine is associated with as mindlessness.
As she points out, such a mindset results in holding things still, an inertia against action, that is at odds with human behaviour, as people are not static.
What do you mindlessly accept in your business? What do your clients mindlessly accept is the course of their lives? What limits have you and your clients imposed and imprisoned on your and their lives?
Finding your advocates in 2012 means breaking out from the rules that are imposed on your and your clients worlds. It's about bringing forward dreams, hopes and ambitions no matter how small and being present in the moment to notice how you and your clients are changing.
So in practical terms - PCE - what does this translate to in regard to finding your advocates?
Simple:
1) Be ready to try something different in the way you engage your clients in 2012 - a discovery questionnaire about aspects of your clients life OTHER THAN their finances.
2)Do that analysis on yourself.
3) Select clients that you have been mindful enough to notice that they are changing - that they are ready to break out from the boundaries of their everyday life - that they are ready to grasp a new reality.
4) Engage them and support them as they do it - it may be they will need your financial expertise - but it may also be that they need your empathy - someone who may not share BUT certainly does respect their values.
5) Celebrate the small wins you create in your world - a really enjoyable client meeting - the joy of time with your family.
6) Share the emotion of those wins with your clients and with reciprocity marvel as they share the small wins in their lives.
7) Change your review process and engage your clients with a family tree (the how to do this is described in our earlier posts).
8) Walk the talk and do your own family tree and one page summary of your plan for 2012.
9) Select a passion objective for 2012 - something outside the daily routine - get visual - imagine it, imagine the positive aspects and emotions on it's completion - set a plan in place.
10) Share that with your clients, and encourage them to do the same.
Follow the ten steps above, but bend the rules, don't be bound by the objectives, rather enjoy the process. Sit back reflect, appreciate what you have, focus on the positives, don't complain - re-frame, chew your food, slow down, switch of the crackberry, take a walk after lunch (take lunch) - log into the energy project and follow their tips, celebrate everything that is good in your world, tell the people around you something that you love about them, remind them of who they are when they are at their best.
Be amazed, but not surprised, as the advocates start talking to their worlds about the value you bring to them.
See you in 2012.
Key to success will be using the techniques to find the advocates you have and empowering them to tell your story.
A shift in your own mindset is required.
The facts of your business as they stand do not need to shape your 2012. The past behaviours that you in your businesses exhibited do not need to have relevance in 2012.
The big shift will be turning off your autopilot - the day to day routine that has produced the results in your businesses and what Dr Ellen Langer defines the behaviour such routine is associated with as mindlessness.
As she points out, such a mindset results in holding things still, an inertia against action, that is at odds with human behaviour, as people are not static.
What do you mindlessly accept in your business? What do your clients mindlessly accept is the course of their lives? What limits have you and your clients imposed and imprisoned on your and their lives?
Finding your advocates in 2012 means breaking out from the rules that are imposed on your and your clients worlds. It's about bringing forward dreams, hopes and ambitions no matter how small and being present in the moment to notice how you and your clients are changing.
So in practical terms - PCE - what does this translate to in regard to finding your advocates?
Simple:
1) Be ready to try something different in the way you engage your clients in 2012 - a discovery questionnaire about aspects of your clients life OTHER THAN their finances.
2)Do that analysis on yourself.
3) Select clients that you have been mindful enough to notice that they are changing - that they are ready to break out from the boundaries of their everyday life - that they are ready to grasp a new reality.
4) Engage them and support them as they do it - it may be they will need your financial expertise - but it may also be that they need your empathy - someone who may not share BUT certainly does respect their values.
5) Celebrate the small wins you create in your world - a really enjoyable client meeting - the joy of time with your family.
6) Share the emotion of those wins with your clients and with reciprocity marvel as they share the small wins in their lives.
7) Change your review process and engage your clients with a family tree (the how to do this is described in our earlier posts).
8) Walk the talk and do your own family tree and one page summary of your plan for 2012.
9) Select a passion objective for 2012 - something outside the daily routine - get visual - imagine it, imagine the positive aspects and emotions on it's completion - set a plan in place.
10) Share that with your clients, and encourage them to do the same.
Follow the ten steps above, but bend the rules, don't be bound by the objectives, rather enjoy the process. Sit back reflect, appreciate what you have, focus on the positives, don't complain - re-frame, chew your food, slow down, switch of the crackberry, take a walk after lunch (take lunch) - log into the energy project and follow their tips, celebrate everything that is good in your world, tell the people around you something that you love about them, remind them of who they are when they are at their best.
Be amazed, but not surprised, as the advocates start talking to their worlds about the value you bring to them.
See you in 2012.
Monday 19 December 2011
The Ideal Clients : Who are they? Where are they?
Who are your ideal clients? Do you have a wish list...if only I had more ...doctors...? Do you know who in your existing client base are your ideal clients? Have you defined why they are your ideal clients? Have you told them?
As more financial service/financial planning businesses endeavour to differentiate themselves it seems there is a plethora of "re-creations" of adding arms to the business of JV's and COI's and service propositions and bite our tongues...CVP's.
The problem with all of this is that without a clear articulation of who your ideal client is, how many of them are in your existing client base and importantly what are their qualitative and quantitative characteristics - then all the above is pointless.
At the most basic level an ideal client is:
- someone who takes our advice
- someone who shares our values or at least whose values we respect and vice versa
- someone who understands how the advice we have provided meets their needs (in other words they can attribute meaning and significance to the strategy employed)
In greater detail these ideal clients also:
- are well liked in the family and social circle
- are trustworthy
- are of a certain age that fits our target audience
- has a certain occupation in line with our niche positioning
- is or will be a profitable client for our business
- has a love for themselves and the family group they are part of
- is socially adept
- is well connected
By determining who in your client base you would like to replicate if you could by applying some of this criteria you can easily and quickly determine what it is you need to do in our business to grow and grow exponentially.
One of the first things you need to do is tell these clients -(hopefully many that presently sit in your client base - but perhaps only a few that you need to now replicate) - that they are important to you, that they are your ideal clients, why they are your ideal clients and why you like working with clients just like them.
To articulate that message you need to speak in client terms that resonate with the values they have - remember values alignment is a key to them being an ideal client. The message needs to state how it is that what you do meets these needs and values with the tools such as product being only the capabilities that deliver the strategy.
Once you do that you are on a path to turning these current ideal clients into advocates and sources of referrals.
As more financial service/financial planning businesses endeavour to differentiate themselves it seems there is a plethora of "re-creations" of adding arms to the business of JV's and COI's and service propositions and bite our tongues...CVP's.
The problem with all of this is that without a clear articulation of who your ideal client is, how many of them are in your existing client base and importantly what are their qualitative and quantitative characteristics - then all the above is pointless.
At the most basic level an ideal client is:
- someone who takes our advice
- someone who shares our values or at least whose values we respect and vice versa
- someone who understands how the advice we have provided meets their needs (in other words they can attribute meaning and significance to the strategy employed)
In greater detail these ideal clients also:
- are well liked in the family and social circle
- are trustworthy
- are of a certain age that fits our target audience
- has a certain occupation in line with our niche positioning
- is or will be a profitable client for our business
- has a love for themselves and the family group they are part of
- is socially adept
- is well connected
By determining who in your client base you would like to replicate if you could by applying some of this criteria you can easily and quickly determine what it is you need to do in our business to grow and grow exponentially.
One of the first things you need to do is tell these clients -(hopefully many that presently sit in your client base - but perhaps only a few that you need to now replicate) - that they are important to you, that they are your ideal clients, why they are your ideal clients and why you like working with clients just like them.
To articulate that message you need to speak in client terms that resonate with the values they have - remember values alignment is a key to them being an ideal client. The message needs to state how it is that what you do meets these needs and values with the tools such as product being only the capabilities that deliver the strategy.
Once you do that you are on a path to turning these current ideal clients into advocates and sources of referrals.
Thursday 15 December 2011
Surrounding Your Clients With Health, Wealth, Happiness, Hope
Last time we wrote about the power of understanding more aspects of a clients life than just the financials. While it may seem odd that a financial questionnaire is not the lead when starting a relationship with a client in a financial services relationship, the reality is that we live our lives and money can enhance aspects of our lifestyle BUT we do not live for money. Engaging client purely on the financial aspects neglects all of the detail about what makes us - your clients tick.
Understanding more about them actually helps you engage them better and in so doing, guiding them to make better financial decisions to actually make changes that are meaningful to them.
Lifestyle questionnaires help you to do this. Positive Client Engagement has a tried and tested questionnaire as used by the adviser and written about in our 13 Dec 2011 blog.
But using a questionnaire is not enough. If you seek to add value to a clients whole person then you need to equip yourself with the capabilities to do just that. We are not advocating that you develop a new range of capabilities personally. Rather form relationships with the professionals that can make a difference in your clients life.
Tutors, physiotherapists, osteopaths, counsellors, interior designers, architects, landscape gardeners, funeral directors, electricians, plumbers, carpenters, doctors, lawyers and yes, even accountants.
Without a wagon wheel of diverse relationships and resources you can not position yourself as the hub of that wheel - at the centre of the clients world. No lifestyle questionnaire will work with any longevity for you unless you are prepared to fully immersse yourself in knowing your client. And we mean really knowing your client.
Understanding more about them actually helps you engage them better and in so doing, guiding them to make better financial decisions to actually make changes that are meaningful to them.
Lifestyle questionnaires help you to do this. Positive Client Engagement has a tried and tested questionnaire as used by the adviser and written about in our 13 Dec 2011 blog.
But using a questionnaire is not enough. If you seek to add value to a clients whole person then you need to equip yourself with the capabilities to do just that. We are not advocating that you develop a new range of capabilities personally. Rather form relationships with the professionals that can make a difference in your clients life.
Tutors, physiotherapists, osteopaths, counsellors, interior designers, architects, landscape gardeners, funeral directors, electricians, plumbers, carpenters, doctors, lawyers and yes, even accountants.
Without a wagon wheel of diverse relationships and resources you can not position yourself as the hub of that wheel - at the centre of the clients world. No lifestyle questionnaire will work with any longevity for you unless you are prepared to fully immersse yourself in knowing your client. And we mean really knowing your client.
Tuesday 13 December 2011
How to Differentiate Your Offer With Financial Lifestyle Questionnaires
A technique/client discovey tool adopted by some successful advisers is a form of lifestyle questionanire.
Clients are asked a series of questions about a range of lifestyle subjects : exercise, social activity, family, relationships, holidays, vocational pursuits, spirituality, health, sleep, quality of life and dreams in regard to long term aspirations.
What's this have to do with a superannuation roll over or an insurance package?
Everything.
Without delving into the above in some form, you risk becoming an order taker for a transaction.
By engaging in the above questions remarkable things can happen.
One such questioning process uncovered that holidays were a beach location annually and that an aspiration was at 65 (20 years from the time of the questionnaire) that the female respondent would, once life had quietened down, like to learn how to paint.
Why wait 20 years?
The SOA produced not only dealt with the financial issues at hand BUT also had located a beach holiday property hosted by a resident artist who ran art classes during the guests stay. The cost was the same as was being spent on the existing annual holiday.
Five years later, the insurances were still in place, the portfolio growing, plans on track AND the adviser was able to attend an exhibition of artwork, his clients first showing.
Now that's positive client engagement.
How you can place yourself in a position to ask these types of questions is the topic of our next blog.
Clients are asked a series of questions about a range of lifestyle subjects : exercise, social activity, family, relationships, holidays, vocational pursuits, spirituality, health, sleep, quality of life and dreams in regard to long term aspirations.
What's this have to do with a superannuation roll over or an insurance package?
Everything.
Without delving into the above in some form, you risk becoming an order taker for a transaction.
By engaging in the above questions remarkable things can happen.
One such questioning process uncovered that holidays were a beach location annually and that an aspiration was at 65 (20 years from the time of the questionnaire) that the female respondent would, once life had quietened down, like to learn how to paint.
Why wait 20 years?
The SOA produced not only dealt with the financial issues at hand BUT also had located a beach holiday property hosted by a resident artist who ran art classes during the guests stay. The cost was the same as was being spent on the existing annual holiday.
Five years later, the insurances were still in place, the portfolio growing, plans on track AND the adviser was able to attend an exhibition of artwork, his clients first showing.
Now that's positive client engagement.
How you can place yourself in a position to ask these types of questions is the topic of our next blog.
Friday 9 December 2011
Want greater profitability? Tell a better story.
We, at Positive Client Engagement, believe that the advice businesses that are best at converting prospects into clients are those businesses that use social proof techniques effectively.
By demonstrating to prospects that other people have successfully utilised the advice proposition on offer and taken the journey of advice in a defined process, these businesses remove a great deal of the uncertainty associated with accepting advice on financial affairs and in so doing build trust at a faster rate than competitors.
Observations of best practice in regard to the use of social proof have highlighted three main techniques:
1) A process, a way of doing things, is explained to the prospect and it is made clear that this is the method by which all clients of the businesses engage the business.
2) The success results of other like minded clients is on display in varying forms both within the business, on business collateral (including websites) and in the language and stories the business tells about how they have assisted clients in the past.
3) The individuals in the business tell their own story clearly demonstrating that they believe in the benefits of their own advice.
These techniques produce a rate of conversion from a prospective client to one who engages the business for advice of inexcess of 65%. Further these prospective clients move into the engagement process much faster than as for competitor businesses with over 80% moving into a engagement process within 4 weeks.
But these businesses also demonstrate other characteristics. They have greater staff engagement evidenced by the number of staff who have multiple lines of the services being offered, a higher percentage of staff who can clearly articulate the core mission of the business and higher engagement scores in employee survey results.
They also have less staff turnover.
As anthropologist Michael Henderson has observed, businesses that build a culture not merely around "this is the way we do things" BUT "this is why we do things the way we do", not only have greater success in client engagement but also benefit from having motivated self directed staff.
By demonstrating to prospects that other people have successfully utilised the advice proposition on offer and taken the journey of advice in a defined process, these businesses remove a great deal of the uncertainty associated with accepting advice on financial affairs and in so doing build trust at a faster rate than competitors.
Observations of best practice in regard to the use of social proof have highlighted three main techniques:
1) A process, a way of doing things, is explained to the prospect and it is made clear that this is the method by which all clients of the businesses engage the business.
2) The success results of other like minded clients is on display in varying forms both within the business, on business collateral (including websites) and in the language and stories the business tells about how they have assisted clients in the past.
3) The individuals in the business tell their own story clearly demonstrating that they believe in the benefits of their own advice.
These techniques produce a rate of conversion from a prospective client to one who engages the business for advice of inexcess of 65%. Further these prospective clients move into the engagement process much faster than as for competitor businesses with over 80% moving into a engagement process within 4 weeks.
But these businesses also demonstrate other characteristics. They have greater staff engagement evidenced by the number of staff who have multiple lines of the services being offered, a higher percentage of staff who can clearly articulate the core mission of the business and higher engagement scores in employee survey results.
They also have less staff turnover.
As anthropologist Michael Henderson has observed, businesses that build a culture not merely around "this is the way we do things" BUT "this is why we do things the way we do", not only have greater success in client engagement but also benefit from having motivated self directed staff.
Thursday 8 December 2011
Retaining and Attracting Staff
This post was to be about social proof and the engagement of clients BUT a different train of thought came to me today.
A NZ research survey identified that the three main reasons individuals looked elsewhere for work were: a lack of work life balance ; a poor working relationship with seniors and feeling undervalued.
Positive engagement of staff is a critical factor in retaining them and increasing productivity.
The old school command and control structures do not work in todays workplace as GenXrs are less motivated by job security. Sadly the mentors of todays middle management may not have adapted to shift in workplace diversity - the embracing of which - combined with knowledge of organisational behaviour - have tripled financial success over organisations that have not adapted.
The values business wishes to attract are individual values and hence the growth of the organisation, the building of it's culture and its' knowledge base comes from attracting and retaining talent.
How a business engages its' staff, develops them and allows them the flexibility for self directed development is critical. It's a lesson many businesses need to learn.
Small businesses such as those in financial services fight the battle for talent harder than most. Developing a way to play, a capacity to deliver and systems and processes for engaging staff and clients - and documenting it is what successful businesses have done to not only engage staff but to allow them the stewardship and flexibility to WOW clients. Allowing the creative to be creative in your client engagement success is critical. Set the guidelines and then let your staff shine.
A NZ research survey identified that the three main reasons individuals looked elsewhere for work were: a lack of work life balance ; a poor working relationship with seniors and feeling undervalued.
Positive engagement of staff is a critical factor in retaining them and increasing productivity.
The old school command and control structures do not work in todays workplace as GenXrs are less motivated by job security. Sadly the mentors of todays middle management may not have adapted to shift in workplace diversity - the embracing of which - combined with knowledge of organisational behaviour - have tripled financial success over organisations that have not adapted.
The values business wishes to attract are individual values and hence the growth of the organisation, the building of it's culture and its' knowledge base comes from attracting and retaining talent.
How a business engages its' staff, develops them and allows them the flexibility for self directed development is critical. It's a lesson many businesses need to learn.
Small businesses such as those in financial services fight the battle for talent harder than most. Developing a way to play, a capacity to deliver and systems and processes for engaging staff and clients - and documenting it is what successful businesses have done to not only engage staff but to allow them the stewardship and flexibility to WOW clients. Allowing the creative to be creative in your client engagement success is critical. Set the guidelines and then let your staff shine.
Monday 5 December 2011
It's about the loan stupid.
Question: So just what do you need to do to assist your mortgage broker COI convert more loan sales and in doing so refer more clients to you for a personal protection strategy?
Answer: Help your COI better meet the needs of the client.
The client is concerned about:
1) Is this the best interest rate?
2) Are the fees something I can live with?
3) Am I going to get the size of the loan I need?
4) What are the repayments going to be?
5) Can I afford them?
This is enough to take in let alone raising the spectre of "what will you do if you are unable to work and can't afford the repayments....you need to speak to our insurance specialist."
The client answer IS NOT "I'm so glad there is insurance for that, can you sell me that too?"
The client reaction is a total panic attack and shut down. Thinking of a rational solution is far from the clients mind.
So equip your mortgage broker COI with the following phrases:
"My biggest concerns in securing this loan for you are:
- you get a competitive interest rate
- the fees are minimised
- you get the loan size you need
- you can manage the repayments
- and you can always afford the repayments even if you can't earn an income through accident or illness
Let's start by focusing on the loan"
Because this opening phrase addresses what is on a clients mind, and positively raises a solution to an unspoken sometimes unconscious concern, before refocussing the client on the loan - it is a powerful and compelling positioning statement for the mortgage COI to use.
What it allows is then at any time for the client or the mortgage COI to raise point 5. There is implied permission for either party to raise it.
We'll talk about social proof later and revisiting point 5 next time.
Answer: Help your COI better meet the needs of the client.
The client is concerned about:
1) Is this the best interest rate?
2) Are the fees something I can live with?
3) Am I going to get the size of the loan I need?
4) What are the repayments going to be?
5) Can I afford them?
This is enough to take in let alone raising the spectre of "what will you do if you are unable to work and can't afford the repayments....you need to speak to our insurance specialist."
The client answer IS NOT "I'm so glad there is insurance for that, can you sell me that too?"
The client reaction is a total panic attack and shut down. Thinking of a rational solution is far from the clients mind.
So equip your mortgage broker COI with the following phrases:
"My biggest concerns in securing this loan for you are:
- you get a competitive interest rate
- the fees are minimised
- you get the loan size you need
- you can manage the repayments
- and you can always afford the repayments even if you can't earn an income through accident or illness
Let's start by focusing on the loan"
Because this opening phrase addresses what is on a clients mind, and positively raises a solution to an unspoken sometimes unconscious concern, before refocussing the client on the loan - it is a powerful and compelling positioning statement for the mortgage COI to use.
What it allows is then at any time for the client or the mortgage COI to raise point 5. There is implied permission for either party to raise it.
We'll talk about social proof later and revisiting point 5 next time.
Saturday 3 December 2011
More Referrals From Mortgage Brokers
Repeatedly requesting your mortgage broker COI's to raise the need for insurances/an insurance review during the client interview and loan application process is a sure way to shut down your flow of referrals.
The simple truth is that the mortgage broker is focussed on what the client is focussed on - the loan. Bringing insurance into the conversation in the wrong way at the wrong time jeopardises the loan sale - and hence is the biggest fear for the mortgage broker.
Some mortgage brokers do bring insurance into the conversation and do it brilliantly - but trying to answer why it works for them and not the majority of others - and trying to replicate their success in others - is like trying to catch a fly with chopsticks....not impossible but astoundingly difficult.
What's the solution? It's about focussing on what the mortgage broker and the client want. They bought want the loan deal completed. So the key is helping your mortgage broker COI to convert more sales. By pitching that you have a solution to increasing their loan conversion rate and sales process - you now have their attention ...and for that matter the clients.
Just how you do that - is the topic of my next blog.
The simple truth is that the mortgage broker is focussed on what the client is focussed on - the loan. Bringing insurance into the conversation in the wrong way at the wrong time jeopardises the loan sale - and hence is the biggest fear for the mortgage broker.
Some mortgage brokers do bring insurance into the conversation and do it brilliantly - but trying to answer why it works for them and not the majority of others - and trying to replicate their success in others - is like trying to catch a fly with chopsticks....not impossible but astoundingly difficult.
What's the solution? It's about focussing on what the mortgage broker and the client want. They bought want the loan deal completed. So the key is helping your mortgage broker COI to convert more sales. By pitching that you have a solution to increasing their loan conversion rate and sales process - you now have their attention ...and for that matter the clients.
Just how you do that - is the topic of my next blog.
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