|
|||||||
|
|||||||
|
Finding Gold
The Myth of Client-Focus
By Michael Lovas and Pam Holloway
July 1, 2010
Reality is a bitter pill. It's also obscured behind our beliefs that what we're doing is best for our clients. It's much easier to claim client-focus than to actually demonstrate it. In fact, many advisors can't even identify what those behaviors look like, much less consistently demonstrate them.
If you want a quick way to determine how client-focused you really are, look at what you pay attention to, and in particular what's measured and rewarded.
For example, do you focus on numbers - sales volume, closing rate, money under management, profitability, earnings or share price? If so, then you are probably seller-focused, not client-focused. We're not suggesting that you stop paying attention to those things. Those are vital to maintaining your business. We're saying that those things are no longer enough. Such data is important - but only to you, not the client.
Change your focus or . . .
The seller-focused approach is an obsolete remnant from the Industrial Age, and the post-WWII production frenzy. Both were times of mass markets when the buyer had limited options and no control. Slowly over the years, power began shifting from the seller to the buyer, as more choices became available in every product/service category.
How does that affect you when your product is intangible? Consider how many options your target market has for your particular service or product. The current count of insurance-related firms in the US is 319,661. That gives any business or individual a host of options. The point is, focusing on the numbers is not only counter-productive, it's self-destructive.
The real shift
In the past two years (with the birth of social media) we've seen a radical change. Power and control have been literally seized by consumers, and the amount of consumer-generated information has exploded. This fact is evident in the vast universe of consumer written product reviews and consumer blogs. Ever see what a consumer sees when looking for someone like you? Let's take a look.
A simple Google search of 'insurance' gives you 664-million results. What's in those results? For one thing, reviews of insurance companies. Here's a sample from insurance.freeadvice.com. It shows the results of a survey of the overall satisfaction with about 400 insurance firms. I do not know how reliable these numbers are. However, what's important is that this is what your target market is looking at.
Let's look first at AIG:
Of course AIG has gotten some bad press in recent months, so let's look at one of the other most recognized names - AAA:
Notice how similar the numbers are. That surprised me, so I dug deeper, and the only firm I could find with positive numbers was Geico:
Note. I don't mean to pick on those firms, just to give a sample of the consumer-focused content available online. The site gives reviews of about 400 insurance firms.
Since the emergence of social media, the buying public now relies on those sources for information, rather than the one-way content delivered by the companies' marketing departments.
The Solution
When you shift your focus to understanding clients and involving them in the design, development and marketing of products, you'll be better positioned to meet their current and future needs. When you proactively measure your ability to deliver what your clients want, you'll be on your way to becoming truly client-focused.
What does the client care about?
Research by Redline Advisors indicates that clients consistently look for four or five specific types of attributes in virtually all products, whether tangible or intangible:
- Ease of use
- Timeliness
- Certainty (consistency, accuracy, reliability, predictability, safety)
- Cost to own/use
- Variety/choice
Putting the client at the center
It is unrealistic to expect any organization to dramatically change overnight. So, let's look at some things you can begin to do that will improve your positioning:
- One simple way is to begin adding client-focused measures. Rather than focus only on short-term goals, reward sales people based on how many connections that add to their network of relationships, or their contributions to a client information databank.
- A second way is to refocus marketing so it is accountable for results. Borrow a page from direct response marketing and continually test to measure and improve results. What drives results? Delivering to the target market a product that those people want, and communicating the benefits in a language that they are comfortable with. Give them choices and initiate a dialog with them.
- A third way is to establish an open blog or forum where your clients can post comments about you and your service. This is a pretty frightening idea. If you're afraid of what those people will say, then you might question how client-focused you really are.
In Conclusion
The point of this article is that the world of consumers is moving very fast, faster than the world of financial and insurance firms. As a result, firms are seen as less client-focused. And, the result of that is consumers are turning to other sources of information. Are those sources reliable? Maybe not. But, until the industry addresses this issue, consumers have no option. And, that situation affects you.
Each of your clients represents a possible relationship with you. Each relationship represents a possible network of prospects and referrals. How can you capture them?
Your Reward
If people want to get information about you, they go to your website. If your site does not focus on them, and their situations or needs, you risk losing them before you ever talk to them. In our effort to give you the most valuable help possible, I'm offering to review your website for client-focus. Time permitting, I will review the site and report back to you on how to make it better. As always, there is no charge for this - it's your reward for reading my articles. To get this reward, copy this paragraph into an email and send it to me. Be sure to include your contact information! michael@aboutpeople.com This Reward expires on September 1, 2010.
MICHAEL LOVAS is the author of ten books, three columns, and a thousand articles on Professional Credibility and the Psychology of Communication in the financial industry. He's the co-founder of AboutPeople and the founder of Credibility Marketing.
Michael speaks at conferences and seminars in Canada and the US. He is an inspiring trainer and coach who helps advisors improve their businesses. He holds three prestigious certifications: Licensed Master Practitioner of Neuro-linguistic Programming (NLP), Licensed Trainer of NLP; and Clinical Hypnotherapist. They make Michael an expert at helping financial professionals succeed at a higher level by building more meaningful business relationships.
AboutPeople Books:
- (NEW) Questions Are the Answer! - A guide for using questions effectively in sales conversations
- (NEW) Axis of Influence! - How credibility & likeability intersect to drive success!
- (NEW) Words that Sell - The language of psychological marketing & selling
- Face Values - How to read people and connect with them in less than 3 minutes!
- The Boomer Report - The financial advisor's guide to understanding the boomer mind
- Presentation Magic - How to gain a psychological advantage in your seminars and sales presentations
- The 5 Levels of Rapport - How to create a meaningful connection with people who are important to you
- Magnetic Connections - Consultative selling for financial professionals
- IDENTITY - How to create and deliver the most important statement of your business life
- Inside the Mind of the Senior Market
- Beyond Wave Marketing - How to add credibility to your relationship marketing
Find AboutPeople books at: www.aboutpeople.com
Michael Lovas, C.Ht.
AboutPeople
(509) 465-5599
1503 E. Riverview Dr.
Colbert, WA 99005
www.aboutpeople.com
