Recently we attended a adviser forum where bank based advisers lamented that while they get a high level of referrals from in house mortgage lenders, the conversion rate was incredibly low, in fact less than 20%.
On further questioning, we found that the way the referral was positioned was flawed as was the timing of the referral. The referral was positioned with the client at the later stages just before loan settlement or the early stages post loan settlement. In referring the pitch was along the lines of: "do you have insurance?"...."our guy can probably do it cheaper".
With no room to add the value of strategy, structure, complete solution plus the positioning of the service as purely transactional the respect shown by both the referrer and the client were set low.
In contrast a study of Bancassurance overseas and in particular Canada, by RGA, reported that referral rates from bank lenders to the insurance network was of the order of 70% and a conversion rate of 90%.
How did they achieve such great results?
It's all about timing and positioning.
The referral was positioned at a very critical stage, in fact when the client was the most relieved, happy, satisfied : in the 7 seconds immediately after the client had just been told that the loan had been approved.
Secondly the referral was positioned quite distinctly. So in that 7 seconds after the client had heard the loan had been approved : " How are you feeling", "It's terrific isn't it, I'm really happy for you" " I want to make sure you always feel this way about your loan and about what you loan is providing you" " I want to make sure you avoid suffering any financial stress" " I'm referring you to our protection specialist, to make sure you can always afford to live in your home/run your business from this property".
Timing and positive language. 70% referral rates, 90% conversion.
Monday, 20 May 2013
Friday, 10 May 2013
Grief Management For Financial Advisers
Research on client and staff connectedness to a service provider such as a financial planner / insurance adviser shows that the key differentiators are not technical expertise, education and training. Rather these components of a service offer, client value proposition or collaborative workplace are starting points and must haves : if you like they are hygiene factors and minimum expectations.
The true differentiators are the ability to connect and bond with clients, to lead staff into a zone where on a daily basis they feel valued, appreciated and that they are are involved in purposeful meaningful work and as such each day they make progress even if in small increments towards work related and personal goals.
It is these types of workplaces that are characterised by greater collaboration and teamwork, an emotional investment in the workplace, and an understanding of what should be delivered to clients and the delivery of services to clientele that is often described by clients as excellent service because "they know me".
So how then does such a workplace respond to the experience of grief by a staff member, a client?
As risk advisers / financial planners that are intimately involved in a clients financial affairs, advisers are often the very first people called upon. How they react and manage these moments of truth are the critical test of how well advisers have gotten to know their clients. It is the true test of bonding.
Mary Ann Hazen is a professor of management in the College of Business and wrote in Organisational Dynamics Volume 38, Issue 4, October–December 2009, Pages 290–296 about theories about the grief process, and identified what to expect from bereaved clients and staff : fatigue, exhaustion, and difficulty concentrating; expressions of anger and guilt; and withdrawal from relationships.
What she identifies is that social support is necessary for healing, and meaningful work can often help the grieving person. She points out that teams that can respond fittingly to clients and staff with consideration for their needs : actually assist the healing process.
This is such an important part of the process : the service delivery for a client during the claims process and the support for each other in a team environment are crucial as such workplaces as financial services for a client and any workplace for a staff member are often an important part of many people's social network.
Accordingly as Mary Ann Hazen points out they are a major source of support.
For a client the support through the process required in financial services needs to be delivered not only with a guide on what the process actually entails but an awareness and acknowledgement in clear and unambiguous terms of what a client is going through. Guides to what your service entails need to identify the resources you have available for grief counselling and support irrespective of whether your client avails themselves of such services through you or not.
For staff experiencing grief Hazen identifies that work itself can be healing with the work a way to find meaning in a loss and maintain a connection with the person who has died.
What is key here is : the acceptance that people are in a grief state, the time to reflect and the tools on how to reflect on what each person needs as an individual as part of their own and often very private process, positive action by leaders to acknowledge and show the affected individuals that they are valued and feelings are validated and an education process that has at its disposal resources to guide people through the right process for them as an individual.
Studies of journal writing, verbal acknowledgement of feelings and sharing of feelings as a group shows the positive physiological responses to such techniques that over time result in a better physical manifestation and recovery from grief. But ultimately what counters the emotional loss is the core human response of acting with genuine care that can only be delivered by positive relationships based on trust, compassion and a bond borne from really knowing someone.
It's the connection that matters.
The true differentiators are the ability to connect and bond with clients, to lead staff into a zone where on a daily basis they feel valued, appreciated and that they are are involved in purposeful meaningful work and as such each day they make progress even if in small increments towards work related and personal goals.
It is these types of workplaces that are characterised by greater collaboration and teamwork, an emotional investment in the workplace, and an understanding of what should be delivered to clients and the delivery of services to clientele that is often described by clients as excellent service because "they know me".
So how then does such a workplace respond to the experience of grief by a staff member, a client?
As risk advisers / financial planners that are intimately involved in a clients financial affairs, advisers are often the very first people called upon. How they react and manage these moments of truth are the critical test of how well advisers have gotten to know their clients. It is the true test of bonding.
Mary Ann Hazen is a professor of management in the College of Business and wrote in Organisational Dynamics Volume 38, Issue 4, October–December 2009, Pages 290–296 about theories about the grief process, and identified what to expect from bereaved clients and staff : fatigue, exhaustion, and difficulty concentrating; expressions of anger and guilt; and withdrawal from relationships.
What she identifies is that social support is necessary for healing, and meaningful work can often help the grieving person. She points out that teams that can respond fittingly to clients and staff with consideration for their needs : actually assist the healing process.
This is such an important part of the process : the service delivery for a client during the claims process and the support for each other in a team environment are crucial as such workplaces as financial services for a client and any workplace for a staff member are often an important part of many people's social network.
Accordingly as Mary Ann Hazen points out they are a major source of support.
For a client the support through the process required in financial services needs to be delivered not only with a guide on what the process actually entails but an awareness and acknowledgement in clear and unambiguous terms of what a client is going through. Guides to what your service entails need to identify the resources you have available for grief counselling and support irrespective of whether your client avails themselves of such services through you or not.
For staff experiencing grief Hazen identifies that work itself can be healing with the work a way to find meaning in a loss and maintain a connection with the person who has died.
What is key here is : the acceptance that people are in a grief state, the time to reflect and the tools on how to reflect on what each person needs as an individual as part of their own and often very private process, positive action by leaders to acknowledge and show the affected individuals that they are valued and feelings are validated and an education process that has at its disposal resources to guide people through the right process for them as an individual.
Studies of journal writing, verbal acknowledgement of feelings and sharing of feelings as a group shows the positive physiological responses to such techniques that over time result in a better physical manifestation and recovery from grief. But ultimately what counters the emotional loss is the core human response of acting with genuine care that can only be delivered by positive relationships based on trust, compassion and a bond borne from really knowing someone.
It's the connection that matters.
Sunday, 5 May 2013
Predicting Client Behaviour : Who's going to buy what you're selling?
Carver and White (1994) put forth that there are two key dimensions of personality:
- anxiety
- impulsivity
These two qualities represent differences in sensitivities of two neurological systems in their responses to environmental cues.
One system regulates aversive motivation.
One system regulates appetitive motivation.
Aversive motivation is regulated by the behavioural inhibition system (BIS) that controls the experience of anxiety and is sensitive to signals of punishment / non reward and as such inhibits behaviour that may lead to adverse consequences.
Appetitive motivation is regulated by the behavioural activation system (BAS) that is sensitive to reward and non punishment and leads to goal directed behaviour with observable positive feelings of hope for example.
People with high BAS sensitivity respond to cues of reward compared to people with low BAS.
High BIS individuals are responsive to punishment cues.
Gray’s (1975) original reinforcement sensitivity theory attributes behavior to the relative strength of these two motivational systems.
So assuming that these systems do indeed operate to regulate motivation to either take risks towards achievement of goals or the reluctance to take chances that may risk jeopardising the status quo : what can you do about it when engaging your clients to utilise your services?
The keys are tapping into and individuals neurological systems and ensuring that you match your pitch in the way that will most resonate with them.
This means for the individual wanting to escape risk : you need to to highlight the risks inaction actually delivers and the consequences (punishment) that may await should they not implement the solutions you recommend.
It's a discussion about statistics, case studies and stories of the what if and adverse consequences of inaction.
For those clients with high BAS, who are looking forward, can visualise a better state of being and ready to take action for the pursuit of a reward : it's all about positive achievement and what people have achieved by implementing your solutions. All they need to do to reach a better state is move forward with you.
The trick of course is identifying which clients have high BAS or high BIS sensitivities.
- anxiety
- impulsivity
These two qualities represent differences in sensitivities of two neurological systems in their responses to environmental cues.
One system regulates aversive motivation.
One system regulates appetitive motivation.
Aversive motivation is regulated by the behavioural inhibition system (BIS) that controls the experience of anxiety and is sensitive to signals of punishment / non reward and as such inhibits behaviour that may lead to adverse consequences.
Appetitive motivation is regulated by the behavioural activation system (BAS) that is sensitive to reward and non punishment and leads to goal directed behaviour with observable positive feelings of hope for example.
People with high BAS sensitivity respond to cues of reward compared to people with low BAS.
High BIS individuals are responsive to punishment cues.
Gray’s (1975) original reinforcement sensitivity theory attributes behavior to the relative strength of these two motivational systems.
So assuming that these systems do indeed operate to regulate motivation to either take risks towards achievement of goals or the reluctance to take chances that may risk jeopardising the status quo : what can you do about it when engaging your clients to utilise your services?
The keys are tapping into and individuals neurological systems and ensuring that you match your pitch in the way that will most resonate with them.
This means for the individual wanting to escape risk : you need to to highlight the risks inaction actually delivers and the consequences (punishment) that may await should they not implement the solutions you recommend.
It's a discussion about statistics, case studies and stories of the what if and adverse consequences of inaction.
For those clients with high BAS, who are looking forward, can visualise a better state of being and ready to take action for the pursuit of a reward : it's all about positive achievement and what people have achieved by implementing your solutions. All they need to do to reach a better state is move forward with you.
The trick of course is identifying which clients have high BAS or high BIS sensitivities.
Friday, 26 April 2013
Women, Motivation, Fear of Success, and Being Real
PCE is surrounded by lots of strong women. Gutsy, determined, motivated, fearless. Be it business or socially, at community and social groups : they are there : fighting. Fighting for a dream, a goal, sometime for sanity, for love, for what they believe in. These women are achievers.
But why is it that studies of achievement motivation do not predict the level of achievement motivation for females as well as these studies do for males?
Women often obtain higher test-anxiety scores than males. Are they just more anxious?
Maybe there is another explanation. Have females in our culture (Western) been encouraged to be successful, whilst also trying to live up to conventions : the good daughter, the dutiful wife, the multi tasking mother?
Is there a motive to avoid success and fear it : as women battle with convention?
Evidence from psychological studies shows exactly that. That fear of success or success avoidance is heightened when anxiety is present about breaking with convention or especially in relationships : being competitive with a male partner.
Differences in achievement therefore has nothing to do with ability but with culturally imposed sex differences in motivation.
Regardless of how strong and fierce the women PCE knows are: there is something to remember.....like all people recognition, being valued, being supported, sense of purpose and support is critical.
Men have built support mechanisms for all of this : the workplace, the social culture of the workplace, the weekly boys night on a Friday.....and dare I say it ....golf.....
What's missing for women are these conventions and more : the conflict over dual roles requires a sense of purpose more clearly defined PLUS the support mechanisms from a partner of : the freedom to speak and communicate and be heard, and task mutuality ....ie doing things together that produce results: small wins here a key.
There are rules of engagement required. But women of the world hear this : be crystal clear about your WHY. Craft it, be specific, clear and then articulate it. Share it. Live it.
Above all once you have that clear purpose that is about you and you get the support to fulfil it...you can afford to be fierce, fearless and driven....and all the rest will follow, because you have nurtured yourself first and when you are feeling like you are breaking through you really can do anything.
But why is it that studies of achievement motivation do not predict the level of achievement motivation for females as well as these studies do for males?
Women often obtain higher test-anxiety scores than males. Are they just more anxious?
Maybe there is another explanation. Have females in our culture (Western) been encouraged to be successful, whilst also trying to live up to conventions : the good daughter, the dutiful wife, the multi tasking mother?
Is there a motive to avoid success and fear it : as women battle with convention?
Evidence from psychological studies shows exactly that. That fear of success or success avoidance is heightened when anxiety is present about breaking with convention or especially in relationships : being competitive with a male partner.
Differences in achievement therefore has nothing to do with ability but with culturally imposed sex differences in motivation.
Regardless of how strong and fierce the women PCE knows are: there is something to remember.....like all people recognition, being valued, being supported, sense of purpose and support is critical.
Men have built support mechanisms for all of this : the workplace, the social culture of the workplace, the weekly boys night on a Friday.....and dare I say it ....golf.....
What's missing for women are these conventions and more : the conflict over dual roles requires a sense of purpose more clearly defined PLUS the support mechanisms from a partner of : the freedom to speak and communicate and be heard, and task mutuality ....ie doing things together that produce results: small wins here a key.
There are rules of engagement required. But women of the world hear this : be crystal clear about your WHY. Craft it, be specific, clear and then articulate it. Share it. Live it.
Above all once you have that clear purpose that is about you and you get the support to fulfil it...you can afford to be fierce, fearless and driven....and all the rest will follow, because you have nurtured yourself first and when you are feeling like you are breaking through you really can do anything.
Wednesday, 17 April 2013
Social Media Marketing Strategies for Financial Advisers
Today we are running a social media marketing and communications workshop for financial advisers.
Our love affair with SM started 4 years ago when in all seriousness we were considering career options.
After reading the basics in Groundswell by Charlene Li, then moving to The Hypersocial Organisation by Gossieaux and Moran and then Open Communication again by Li : it was discussed with an organisation we were involved with that the role of a social media manager was needed to build a community of our clients for collaboration.
They thought we were crazy. And nothing became of that.
After leaving that organisation our interest shifted to the practical application of social media for financial advisers.
And that what today is all about.
We refer today to the work of Safko and Amy Jo Martin : what does it take for success:
1) Whats you message?
2) How are you going to stand out?
3) What communication tools are you going to use?
So have something to say, make it interesting and publish it where people can find it.
Today we will talk about blogging, twitter, and social networks. How people use them and importantly how financial planners can easily apply these tools to their business.
But most of all the technology is not the hard part in fact it's the easiest.
What you need to do is:
- figure out what you want to say
- understand that you need to define to clients and prospects : why you?
- you need to be ready to be real, to share, to listen, to be responsive
Those last 4 points are the key to success in any marketing strategy.
Our love affair with SM started 4 years ago when in all seriousness we were considering career options.
After reading the basics in Groundswell by Charlene Li, then moving to The Hypersocial Organisation by Gossieaux and Moran and then Open Communication again by Li : it was discussed with an organisation we were involved with that the role of a social media manager was needed to build a community of our clients for collaboration.
They thought we were crazy. And nothing became of that.
After leaving that organisation our interest shifted to the practical application of social media for financial advisers.
And that what today is all about.
We refer today to the work of Safko and Amy Jo Martin : what does it take for success:
1) Whats you message?
2) How are you going to stand out?
3) What communication tools are you going to use?
So have something to say, make it interesting and publish it where people can find it.
Today we will talk about blogging, twitter, and social networks. How people use them and importantly how financial planners can easily apply these tools to their business.
But most of all the technology is not the hard part in fact it's the easiest.
What you need to do is:
- figure out what you want to say
- understand that you need to define to clients and prospects : why you?
- you need to be ready to be real, to share, to listen, to be responsive
Those last 4 points are the key to success in any marketing strategy.
Saturday, 6 April 2013
Using mind maps in financial services
Monday, 1 April 2013
The Power of Persuasion : key components of social media marketing
Aristotle described rhetoric, the art of persuasive speaking as having several components those being the characteristics of the speaker : ethos, the power of the message : pathos, and the logic of what is being said : logos.
Aristotle may have been a social media guru in today's world.
A credible speaker, a relevant message, the way in which the message is delivered, being innovative with the message and importantly picking the right community to deliver your message to are the key ingredients for any marketing campaign but especially one which can get instant delivery and feedback such as social media.
So what are these components one by one and how do you maximise your cut through when using social media?
The Source
Credibility 101. So you want to say something. Just who do you think you are? What credibility can you muster?
First : know what you want to say and then determine if you actually can command the authority to say it with believability. There is absolutely nothing wrong with using other sources to quote. The key is to have an opinion on it.
Having an opinion brings with it the power of credibility of authority. If you can combine that with charisma and being real then you're on a winner.
That is why videos work so well.
If you haves something to say then deliver it on person : that is video yourself, staff and anyone that interacts with your clients and talk about what you do for your clients and why.
The best and most powerful source of the message is and should be you.
The Message
It is not the 1990's anymore or worse the 1980's. Fear and greed may work : but it is short term and transactional and if you truly want to engage design a positive message that speaks to the dreams hopes and desires of clients. They want to learn, they want to bond and they want to acquire a better life. Design your message so your clients can see that your services are accessible and let them bond with you.
The Distribution of the message
So what's it going to be : words, visuals, audio, pod cast, text messages, snail mail : in a social media world : video, visuals, pod cast, pictures, : enhance the message by reaching the audience in multiple forms that appeal to different learning styles and stay longer in short term memory. Reinforcement of the message by multiple means cements the proposition in the minds of your audience.
The Right Community
Who are you trying to recruit to your message? Are you crystal clear on who is your ideal client? Only if you have a picture and an understanding of what is important to your key market will you have success. This means that for a time you are going to have to listen to your target audience, where they congregate, understand what they are following and what messages they are consuming. Only then will you be able to construct your message to be relevant and real to your ideal clients.
Those are the main ingredients.....next time ....the how you can actually persuade people to make the right choice of using your services now that they are listening.
Aristotle may have been a social media guru in today's world.
A credible speaker, a relevant message, the way in which the message is delivered, being innovative with the message and importantly picking the right community to deliver your message to are the key ingredients for any marketing campaign but especially one which can get instant delivery and feedback such as social media.
So what are these components one by one and how do you maximise your cut through when using social media?
The Source
Credibility 101. So you want to say something. Just who do you think you are? What credibility can you muster?
First : know what you want to say and then determine if you actually can command the authority to say it with believability. There is absolutely nothing wrong with using other sources to quote. The key is to have an opinion on it.
Having an opinion brings with it the power of credibility of authority. If you can combine that with charisma and being real then you're on a winner.
That is why videos work so well.
If you haves something to say then deliver it on person : that is video yourself, staff and anyone that interacts with your clients and talk about what you do for your clients and why.
The best and most powerful source of the message is and should be you.
The Message
It is not the 1990's anymore or worse the 1980's. Fear and greed may work : but it is short term and transactional and if you truly want to engage design a positive message that speaks to the dreams hopes and desires of clients. They want to learn, they want to bond and they want to acquire a better life. Design your message so your clients can see that your services are accessible and let them bond with you.
The Distribution of the message
So what's it going to be : words, visuals, audio, pod cast, text messages, snail mail : in a social media world : video, visuals, pod cast, pictures, : enhance the message by reaching the audience in multiple forms that appeal to different learning styles and stay longer in short term memory. Reinforcement of the message by multiple means cements the proposition in the minds of your audience.
The Right Community
Who are you trying to recruit to your message? Are you crystal clear on who is your ideal client? Only if you have a picture and an understanding of what is important to your key market will you have success. This means that for a time you are going to have to listen to your target audience, where they congregate, understand what they are following and what messages they are consuming. Only then will you be able to construct your message to be relevant and real to your ideal clients.
Those are the main ingredients.....next time ....the how you can actually persuade people to make the right choice of using your services now that they are listening.
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