Many advisors have a multi-step process to transform a prospect into a client. It usually involves learning about the prospect, establishing their risk tolerance, developing a financial plan and presenting a proposal, seeking the prospect's approval. This can work quite well when the prospect is a linear thinker, moving from step to step.

But what do you do when the prospect does not want to travel along the path you have laid before them?

What Will It Take…?
This strategy reminds you of car dealers in a showroom. No one likes car dealers. If you know any in your local community, you know they are usually very successful. Perhaps their techniques are more effective than we realize.

One of their techniques is to ask the question: “What will it take to get you to drive home in a new car today?”

Your version might be “What will it take for us to agree on a strategy today?” This is not a closing approach you would lead with early in the conversation. It is for when you encounter a roadblock: The prospect isn’t responsive to trial closes, says no or let me think about it at the end of your proposal. They might do their own financial planning or assume it is a giveaway, included as part of the sales process. Here is another scenario: They have been through the planning process before and had a bad experience with their previous advisor.

The purpose of the strategy is twofold:

• Encourage the prospect to reveal their buying criteria or expectations
• Begin the negotiation process

The client might have service expectations:“How often will we be in touch?” They might be looking for a certain yield. That might be likely because of our rising yield environment. They might be cost conscious about fees. “You want 1%. I will not pay over 0.75%.” Now you know. This helps because they have bought in, but now you need to get over hurdles.

I Respect That
A New York advisor taught me about this approach. You have a prospect you know personally. They have been through the information gathering and planning process. When you close and ask for the order, they say: “No. I really do not want to do this.” Rather than argue, you respectfully accept their decision.

Hmmm…whay did you do wrong? Noting. You followed all the correct steps, and you made a recommendation consistent with their needs. They did not accept it.

This advisor follows “I respect that” with “It’s important because someone else helpful may offer you this product and you didn’t know about it. You may wonder why I didn’t tell you.”

That might sound odd, but you need to consider human nature and what happens next. The advisor identified a problem. They know the prospect or client. Despite the close connection, they still said no. But the problem didn’t go away.

The friend will talk with another financial advisor, maybe more. Everyone else should go through the same process, reaching the same conclusion. The friend has now spoken with two or three people in total, but the solution is still the same as the one the first advisor provided. Advisors #2 and #3 are unconsciously reinforcing the advice of the first advisor.

A rational person realizes they received good advice from the first advisor (who they know personally). They often return to that advisor announcing “I decided to take your advice after all.”

You Are Not Doing This for Yourself
It is human nature to want to provide for your family. Every parent wants their children top have the best possible start in life. They want them to have a better life. They will sacrifice to make this happen. This is true for cultures around the world.

This California advisor would meet with the prospect and spouse. He would gather the necessary information, prepare a financial plan and present his proposal. This is as personalized as possible and might include a “family index” to measure progress towards goals. The advisor could tell when there was hesitancy because some of the investment concepts were new or the couple was cost sensitive.

He would “step out of his role” and speak frankly: “The objective is not to outperform the indexes or make money for yourself. The objective is to provide for your family and your children.” He would stop talking.

Now the prospect sees things from a different perspective. Something subtle also happens. Not agreeing with your suggestions can come across as not wanting to provide for their family and their children. This might also swing one half of the couple over to the advisor’s side of the conversation.

These strategies have been around for years. If you are seeing them for the first time, they may be a good fit for the right situation.

Bryce Sanders is president of Perceptive Business Solutions Inc. He provides HNW client acquisition training for the financial services industry. His book, “Captivating the Wealthy Investor” is available on Amazon.