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At
first glance, Rocco's financial advisory business seemed
to be doing well. He had been in business two years, he
was acquiring new clients, and his practice was growing.
But he felt something was missing.
"My
company taught me to focus on the details. But, I had
no clear vision of the 'big picture'" Rocco said.
"I was good at acquiring lots of clients, but I had
no system for attracting "A" clients. And I
didn't have a clear vision of the future. I didn't know
where I was going."
Then
one night he was surfing Amazon.com and came across my
book, Effort-Less Marketing for Financial Advisors. "The
comments from readers were great," he told me. "I
ordered the book and read it. Then I called your office
to see if there was an audio tape I could buy. The person
I spoke with told me about the Effort-Less Advisor Coaching
Program and I signed up immediately."
Now,
16 months later, Rocco is a bona fide Effort-Less Advisor.
He approaches his work and personal life with more clarity,
focus, and passion than ever before. He has substantially
upgraded his client base and his income.
This
is Rocco's story.
GOING
TO CALIFORNIA
"Before
reading Effort-Less Marketing, I felt like I was looking
out a mud-caked windshield," Rocco said. "After
reading the book, I felt like I had a much clearer view
of my career.
Rocco
knew the coaching program would force him to dedicate
time and energy to implementing the strategies and tactics
in the book. "It was a great experience to meet other
people in the program," he said. "I saw that
other advisors faced the same doubts about their future,
and we were all working together to improve our lives
and our clients' lives. We all had a shared vision that
this business could be more than just commissions and
fees."
Rocco
also told me that the airplane trip from the East coast
gave him time to reflect on the past and visualize his
ideal future. As he advanced through the program, certain
ideas took root. Specifically, he wanted to improve client
service, shed "toxic" clients, upgrade his marketing
strategies, and improve work/life balance.
DELIGHTING
CLIENTS
"I
felt comfortable with my ability to provide client service,"
said Rocco, "but by following the program, I took
service to a new level."
"During
the initial consultation, I started telling people, 'I
want to do a research interview to find out what they
like and don't like about the services we provide.' People
really respond to this positively - they like to give
their feedback," Rocco said.
He
also uses the research interviews to gather in-depth information
about his clients' hobbies, families, interests, and passions.
"One
couple mentioned their son was getting married, so we
pulled some great information off the Internet about planning
weddings and starting a savings plan for newlyweds,"
Rocco said. "Then we sent it off to them. My clients
were very impressed and immediately called me with a referral."
Rocco
says it's often the little things that positively affect
client satisfaction. If you show the client that, you
are thinking of them beyond the "financial planning
and money management" realms, they feel you care
and they care more for you.
His
strategies seem to be working. In the client satisfaction
survey, Rocco scored a 97% rating, the highest score in
a tough state, New York. In addition, 90% of his clients
said they had referred someone to him. "The Effort-Less
Advisor strategies I implemented helped boost me from
average client satisfaction scores to being number 24
in the nation out of 11,000 advisors," he said.
Rocco's
higher level of client engagement has generated referrals
and introductions to more than 40 new clients over the
past year- and this has given him the confidence to be
more selective with who he works with. Almost all of his
new clients now fit his ideal client profile.
FROM
"TOXIC" TO "IDEAL"
One
important move Rocco made early on was transferring "toxic"
clients to other financial advisors. Rocco says the way
he was trained to market attracted mostly "C"
and "D" clients. "I want to work with positive
people," Rocco told me. "Now if I meet with
a prospect that doesn't fit my ideal profile, I refer
them to someone who is a better fit."
In
all, Rocco transferred 35 of his 160 clients to other
advisors. And during the year-long Effort-Less Advisor
Program, he acquired nine new clients with investment
assets of more than $500,000 each. "Before I applied
your marketing strategies, I was great at acquiring clients
with $80,000 to $250,000 of assets, but just couldn't
break into the wealthier client segments," reported
Rocco.
He
also landed the biggest client of his career - a client
with $1.1 million in his portfolio. Rocco told me, "I
noticed that as I changed my outlook and the way I engaged
clients, more clients worth $500,000 and more were gravitating
toward me. It was, as the book says, 'effort-less.'"
But
securing ideal clients was only one part of the picture.
As Rocco learned, once ideal clients are on board, it's
also important to design a service strategy that will
encourage a long-term relationship and that generates
referrals, introductions, and endorsements.
A
NEW MARKETING STRATEGY
"With
my goals and client base changing, I knew I needed a new
marketing approach," said Rocco. "I had been
holding free dinner workshops and inviting random people.
But eventually I realized that almost everyone was coming
for the free food. One person even celebrated his birthday
with his friends at one of my dinner seminars!" That
was the last straw.
Now,
Rocco has replaced public seminars with special events
for his best clients and their friends. Last fall he organized
a dinner with the theme; "Celebrating the History
of America and a Prosperous Future." Rocco invited
his "A" and "B" clients and their
friends and encouraged them to wear red, white, and blue.
"A
Wells Fargo wholesaler sponsored it and did a great presentation
on history of world events from the Great Depression through
the World Wars, the Kennedy assassination, up to the present,"
said Rocco. "He explained that throughout history
there has almost always been a reason not to invest."
He hired a piano player who played God Bless America.
The endorphins were flowing and everyone had a blast.
The
event cost Rocco $5,000, but strengthened his relationship
with his best clients and he acquired two new clients
with more than $500,000 each. The financial planning fees
alone almost paid for the entire event. Now, he's planning
a regular schedule of special events that will keep him
in front of his ideal clients and their family, friends
and colleagues.
WORK/LIFE
BALANCE
As
a result of all of these changes, Rocco says his work/life
balance has improved immensely. He hired an assistant,
Jason, to help in the office and trained him in the principles
of Effort-Less Marketing. This has reduced stress in Rocco's
life and allowed him to take more time off.
"Last
year I spent more than 10 weeks away from work,"
he told me. "Among other things, I got married and
went on a long honeymoon to Italy. And with all that time
off, and all the changes I implemented, my gross revenue
of $276,000 was up over 12% from the previous year. Last
year was my best year ever. It was amazing." That's
not bad for an advisor's third year in the industry. Especially
considering the horrible market we are in.
Rocco
says his zest for life and his business has gone way up.
"I'm working fewer hours and I'm spending more time
doing the things that I love to do, like seeing wonderful
clients and helping them make progress towards their dreams
and goals."
ACHIEVING
MEASURABLE RESULTS
As
a result of the Effort-Less Advisor Program, Rocco raised
his financial planning fees and money management fees
substantially.
"In
2001 my planning fees were about $8,000. In 2002, my financial
planning fees increased to $15, 000 and in the first two
and a half months of 2003 we're almost up to $20,000,"
he told me. Rocco started with no money in fee-based accounts
and ended the year with over $4 million generating recurring
revenue. "I also raised my investment management
fees. I was initially charging about 75 to 80 basis points.
Now, nearly everyone pays 200 basis points."
He
says that for the 2 percent he's charging, he's delivering
more value, more emotional payoffs, and more client contact.
And, not one client complained about the fee increases.
EYE
ON THE FUTURE
With
his business reorganized around a clear vision of his
ideal future, Rocco is now focusing on upgrading his client
base even further. With his effort-less marketing strategies,
Rocco is confident he can increase the number of "A"
clients. In fact, he is in now doing a plan for his wealthiest
client ever. They have over $3 million of investable assets.
Rocco
said there is more positive energy and enthusiasm in his
office than ever before. Rather than dwell on tough market
conditions, he and his clients have productive conversations
about how money can help achieve their life goals.
"People
are struggling in today's marketplace, but I think this
is one of the best times to acquire clients, if you have
processes and systems in place to add value," Rocco
told me.
ADVICE
TO OTHER ADVISORS
Rocco
said that one of the most important lessons is to get
to know your clients hopes and dreams and to provide highly
personalized service. Rocco also noted that, because so
many companies offer the same products, it is critical
to differentiate yourself. He said, "I tell prospective
clients, 'We deliver a high level of personalized client
service. It's not for everyone. But, if you want a deep
relationship with someone who cares about you, then we're
the team for you.'"
After
implementing the strategies he learned in my book and
coaching program, Rocco says he is finally operating the
business the way he envisioned it when he started. He
now focuses on the higher purpose of money - how it can
empower his clients to live the life of their dreams.
He positions himself as someone who can help his clients
live a happy, fulfilled life, as opposed to "the
guy who just manages their money."
This
approach does indeed differentiate Rocco. His clients
are ecstatic and happy to pay for his services. "I've
had people say they thought my fees were cheap. Many clients
have said that going through my process and working with
me is the best thing they've ever done," he said.
"They really feel the value they receive is extraordinary."
That is exactly what creates raving fans. His clients
refer people to Rocco not to help Rocco, but to help their
friends.
He
adds that his business approach is a self-fulfilling prophecy.
As you figure out whom you want to work with, you find
more ideal clients. They really appreciate you and you
can charge them more so you can give them a higher level
of service. That delights them and inspires them to provide
more referrals and introductions.
"I'm very optimistic," Rocco told me. "This
year is still young, but so far things are looking even
better than they did last year." Rocco is on his
way to building a super-profitable business and a wonderful
life - effort-lessly.
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