Trending
When you’re starting out as an advisor, no one probably really explained the power of positioning to you.
Most mentors and industry veterans focus on getting more leads and booking more meetings, and that’s still the case today.
As new advisors enter the market and lead generation became more competitive, a new mindset and approach to selling began to emerge -- one based on building relationships and offering value pre-sale.
This “new” differentiated position meant impressing your prospects by offering more value than other advisors (over delivering), and that required you to do some free “try me before you buy” consulting.
The logic was that the more they got to try you out, the more likely they were to choose you, and this is essentially how the discovery meeting became cemented as a “thing” and how the advisory sales process became a multi-step journey.
Initially, your prospects are happy to get free consulting from you, but contrary to the logic behind it, receiving value from you pre-sale, does not secure their commitment as a client at the end of the meeting.
Your wealth of knowledge and experience, which you share for free, does not bring you the trust and respect you would probably expect.
Instead, it seems to do the opposite -- your value (knowledge and experience) gets devalued by your prospect wanting to sample other advisors’ value first, before making a decision.
This is why their answer is almost always: “I want to think about it.”
Ever since advisors started basing their sales approach on giving value in the 90s, value itself has become synonymous with selling.
And because advisors effectively treat their prospects like they’re clients before they’ve made the decision to become one, the value-based selling process (education and information) is now perceived as being agenda-driven.
The result?
Prospects don’t value your information and see you as someone trying to sell them something, rather than someone they can truly trust.
It makes them feel like you need them, more than they need you.
All this has turned advisory into a “dog eat dog” selling environment.
Opportunities seem few and far between, so the pressure to invest more time and effort into a prospect pre-sale, out of fear of losing them, is immense.
But as outlined above, this is the consequence of the devalued positioning that the value-based approach to selling created in the first place.
Now that it has defined the attitudes and expectations of the profession and its market, it’s hard to go against it -- even though you can see how it’s diminishing your ability to onboard new clients.
The only viable option in the face of this decline is to become what’s called a Trusted Authority.
Trusted Authorities don’t market their solutions or dispense free advice pre-sale to impress their prospects and compete in the market.
They market problems only, and their sales approach is based on assessing and clarifying a prospect’s deepest issues, making it clear that a commitment is required from them to solve it.
Knowledge and expertise get shared after that commitment has been made, not before -- which is where advisory has gone so wrong.
Once the problem is explained and understood, there’s nothing to think about except whether or not to make the commitment to solve it.
Either they hire you right then and there, or you disengage -- it’s that simple.
That might seem a little cut-throat, but ironically enough, this fearless, no-nonsense, truth-based approach is perceived as more authentic and trustworthy.
Why?
Because it gives your prospect the feeling that they need you, more than you need them -- and they find that reassuring.
To learn more about becoming a Trusted Authority in your market, order your complimentary books and consultation below.
Related: Stop Trying To Become Your Prospect’s Friend
Ari Galper is the world’s number one authority on trust-based selling and is the most sought-after high-net worth/lead generation expert for financial advisors. His newest book, “Trust In A Split Second” has become an instant best-seller among financial advisors worldwide – you can get a Free copy of Ari’s book here and, when you click the “YES” button in the order form, you’ll also receive a complimentary “plug up the holes” lead generation consultation. Ari has been featured in CEO Magazine, Forbes, INC Magazine and the Financial Review. He is considered a contrarian in the financial services industry and in his book, everything you learned about selling will be turned upside down. No more chasing, no pressure, no closing.