Personally, I prefer to provide clients with brief account updates just prior to the weekend. "Dear Client," I'll write, "Just wanted to let you know Silver is up 10% in your account and I put in a stop loss order to protect your profit."  Or something along the lines of:  "The ABC fund we picked up for you last year just hit its 52 week high" or "XYZ company just raised its dividend 10 percent."  Be conscious of times when clients are most likely to be interacting with others, such as the weekend, or just before lunch or a holiday. Give clients something to talk about or celebrate and don't be shy about adding at the bottom of an e-mail update a link to a recent media article in which you were quoted. It's a powerful way to reinforce your expertise.

Create Practice Advocates
A politician's success is due, in part, to the efforts of their supporters. Politicians have an uncanny ability to develop an army of followers who are willing to spread their message and attract new supporters. Obviously, advisors know the power and strength of referrals, but sometimes they fall short when it comes to empowering and energizing clients to work on their behalf.  

Consistently building trust with your clients is the easiest way to convert a passive client into a campaigning client. The simplest means of accomplishing this is to do what you said you would do, when you said you would do it. If you say you're going to call a client on a certain day or time, do it. If you agree to send a report or a statement, stick with the timeline and material. And, instead of simply agreeing to follow through on a client's request, offer to e-mail or snail mail a report or an article you mentioned during the meeting before they ask for it. Consistent follow-up fosters trust.

As trust becomes more and more ingrained, advisors can turn clients into even stronger advocates by communicating in sound bites and providing value-added resources. Politicians communicate with a specific agenda in mind and so, too, should advisors. The key is keeping it concise and memorable. Generally, it's not hard to figure out a person's political affiliation, or which talk shows they listen to. Invariably, they'll repeat the main themes discussed in their favorite media, and that should be the case when a client talks about investments with family, friends or colleagues.

While politicians tend to use the same old lines and promises, there are usually only two or three front runners for any office. Therefore, since clients have hundreds of choices when it comes to advisors, be prepared to step out in front of commonplace mantras that have become cliché, like buy and hold, quarterly rebalancing and "don't put all your eggs in one basket."  Instead, develop sound bites that stimulate interesting conversations, such as "401(k)s are for saving not investing," or "Investing is like horseshoes and hand grenades ... close enough often wins."

Finally, remember you have to "give" before you "receive."  Therefore, provide clients with valued-added tools and resources they can use and share with others. Frequently I'll advise clients with excess cash that they don't want invested to bank it online in a savings account at ING or Ally Bank, often times netting them two to three times the average savings rate. In addition, I have a long list of free online software and tools that I recommend to clients. Brightscope's 401(k) tool is a perfect example. The program analyzes how their company's retirement plan choices and fees stacks up against similar plans. Clients generally appreciate tools and strategies that can either make them money or save them a few bucks.  

While some advisors may not want to be compared to a politician, those who rise to high levels of elected office use specific strategies to get there, including the media, popular psychology and training an army of followers ... and so should advisors. Today, it's more important than ever to be labeled an expert by the media and to let clients know that you are closely monitoring their accounts, along with the political and economic events that impact them. You need to build trust by communicating in a memorable and empowering way and to give before you receive. Advisors who do so will see both their client satisfaction surveys improve and more referral business.

 

 

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