Indirect Financial Incentives
Sometimes you can, instead, add value beyond an existing array of services. Indirect incentives are an interesting area, allowing other professionals and centers of influence to easily and effectively discriminate among you. But while some advisors are very good in developing and delivering indirect financial incentives, most fall woefully short.

Three critical areas where you can provide indirect financial incentives are:

Insights into the world of the affluent. If you can provide actionable insights to people, you’re using information as currency. This approach is especially viable when you’re positioning yourself as a thought leader. That means you are able to:

• Elucidate the key concerns of the affluent.

• Describe the changing investment preferences of the wealthy.

• Explain the nature, advantages and drawbacks of family offices.

Practice management. It’s very appealing to people if you can tell them how to improve their practice models. There’s a plethora of possibilities:

• You can tell them how to duplicate the best practices of their peers.

• You can help them become street-smart networkers.

You can show them how to improve their compensation structures or how to adopt alternative compensation arrangements such as value-based fees.
Business development. Another way to add value is to provide marketing ideas and support.

• You can deliver learning products that other professionals can, in turn, deliver to their affluent clients.

• You can develop joint-promotional projects.