RESO U RCE ED G E TM
Building Your Pipeline
Cultivating Affluent Prospects
INVESTMENT INSIGHTS
FOR INSTITUTIONAL USE ONLY/NOT FOR PUBLIC USE
Use of these materials is subject to your individual firm’s home office approval.
PRACTICE BUILDING SOLUTIONS
RETIREMENT RESOURCES
reso u rce ed g e TM
FOR INSTITUTIONAL USE ONLY/NOT FOR PUBLIC USE
Table of Contents
Niche Marketing | pg 4
Referral Marketing | pg 5
Event Marketing | pg 8
No business can exist without clients. A healthy client base and a
constant influx of new clients are essential to growing your practice.
It’s not just the quantity of new clients that matters, but also the
quality. To obtain a sufficient number of high quality clients, you
need a marketing strategy that will fill your pipeline with high
quality prospects.
FOR INSTITUTIONAL USE ONLY/NOT FOR PUBLIC USE
|
3
reso u rce ed g e TM
Niche Marketing
The most successful advisors build their practice with niche marketing –
focusing their prospecting efforts on a particular segment of the population
versus trying to be all things to all people. Of course, not every segment of the
population will make a great niche. To be successful, a niche should have a high
number of affluent people and ideally should be specific enough for you to do
the following:
Differentiate Your Practice – If your marketing message is telling people you offer
retirement planning, it does nothing to differentiate you from just about any other
financial advisor. Having a more focused and personal message will help you stand
out to those people in your targeted niche. Small business owners, for example, will be
drawn to an advisor who says they specialize in helping entrepreneurs with retirement
income planning after a liquidity event.
Develop Expertise – When you have a good niche, you will find many of the people
in that niche have similar problems or concerns. This commonality allows you the
opportunity to become an expert on the most pressing issues facing that niche. For
example, if you focus on working with executives of publicly traded companies, you
will likely become an expert in how to deal with executive stock options. This expertise
perpetuates itself by allowing you to market yourself as an expert.
Build Efficiencies – The more similar your clients are, the more you already know, and
the less time you need to spend researching their situation. All of the doctors that work
for a particular hospital will have the same employee benefits. Less time spent reading
summary plan descriptions means more time available for revenue generating activities.
Oftentimes a niche falls into one of three categories:
1. Profession – People who work in the same industry, job type, or employer
(i.e. dentists, franchise owners, employees of a law firm).
2. Passion – People who share the same hobbies, interests, and other extracurricular
activities (i.e. sailing enthusiasts, art collectors, tri-athletes). This is most effective
when you share the same passion.
3. Personal Situation – People who are in a similar stage in life or have common
family circumstances (i.e. elderly widows, parents of special needs children,
recent retirees)
Your Niche(s):
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
4 |
FOR INSTITUTIONAL USE ONLY/NOT FOR PUBLIC USE
Referral Marketing
Once you’ve identified the niche(s) you would like to focus on, you need a
way to meet these potential prospects. One of the cornerstones of building
a successful advisory practice is having a consistent and active process of
cultivating referrals from existing clients and from other professionals such as
accountants and attorneys.
Client Referrals
Since you know the type of prospects you’re looking for, it should be easy to paint that
picture for your clients. The more specific your description is of your ideal prospect, the
higher the quality of the referrals. Ideally, you have clients who are already a member of
the niche you want to focus on, or at least know people who fall into that niche.
Before you start asking every client to introduce you to people they know, it’s important
to keep the following in mind – the best referrals come from satisfied clients. These are
the clients that recognize the value you bring, they trust you, they like you, and they feel
like they get great service.
There are a number of techniques to get referrals from existing clients:
1. Rule of Reciprocity - It’s human nature to want to help someone who has helped
you in a similar way. If your client is in need of some sort of referral, jump at the
chance to help them. They will feel compelled to do the same for you. This works
whether your client is searching for a baby sitter or clients for their family owned
business.
Example Script: “Mrs. Client, l’m glad to hear that the attorney I referred to you was
successful in helping you resolve your legal dispute. I’m wondering if I could ask you
for a similar favor. I would really like to work with more people like you who share my
passion for collecting first edition books. Who fits that description and would benefit
from what I do?”
2. Put them at ease – Some clients will be hesitant to give referrals if they’re not sure
how you will come across to the person they’re referring. Put their mind at ease by
telling them that you will handle the situation with the utmost care.
Example Script: “Mr. Client, I understand that some people are hesitant to provide
referrals because they’re afraid of damaging the relationship if I come across too
pushy or aggressive. Please rest assured that I value you as a client and I would
never want to put you or anyone you refer in that situation. Any referrals I get are
handled in a professional and courteous manner. I will simply offer to review their
financial situation and see if there’s anything I can do to help them. If they decline, I
will simply thank them for their time and offer to stay in touch. If you’re comfortable
with that, I would love to help more retired physicians maintain their standard of
living. Who do you know that I could potentially help?”
FOR INSTITUTIONAL USE ONLY/NOT FOR PUBLIC USE
| 5
reso u rce ed g e TM
3. Ask for their advice – A great way to ask for referrals is simply to refrain from
calling them referrals. Instead, ask for their advice on how they would find other
prospects like themselves. Clients will be much more willing to provide useful
information when approached in this manner.
Example Script: “Mr. Client, over time we’ve developed a specialty in helping
successful business owners like you who want to use their wealth to accomplish
philanthropic goals. We’ve decided to focus our practice on working with more
people in the same situation. What advice can you give to help us find other business
owners with similar intentions?”
No matter which technique you use, the ideal result is for your client to arrange a
personal introduction. Either have the client put in a good word for you and let the
prospect know you will be calling them in the near future or, better yet, have them
arrange a face-to-face introduction.
Professional Referrals
Most affluent people have an estate planning attorney and/or a tax accountant.
Furthermore, people tend to trust their attorneys and accountants to a much higher
degree than other service providers. For example, a referral from one of these trusted
professionals will carry more weight than a referral from their real estate broker.
To properly cultivate relationships with accountants and attorneys, it’s better to develop
deeper relationships with a few strategic partners, rather than weak relationships with
many. Two or three of each type is the most you should have. You must be selective
when choosing the right strategic partners to make sure the referrals you receive are
the ones you want, and the referrals you provide them will be well taken care of.
Step 1: Find out which accountants and attorneys your existing clients use.
Establishing a working relationship with these professionals should be relatively easy
since you have at least one common client and it makes sense to work together to
coordinate their affairs.
Step 2: Once the initial relationship has been established, find out as much as you can
about the types of clients the professional works with. Your objective should be to find a
professional who works with the same types of clients you want in your practice.
Step 3: After you’ve identified the professionals you want to receive referrals from,
it’s important to develop the relationship to the point where you both have had the
opportunity to show the other how you work with clients and the types of clients you
both are looking for. If they are not familiar with what you do for your clients, there’s little
chance they will refer anyone to you.
Step 4: Maintain a strong relationship with the professionals by keeping in regular
contact. Some examples of contacts are to share pertinent information about a mutual
client, educate them about investment topics, offer seminars for continuing education
credit, and invite them to social events to build a personal connection.
6 |
FOR INSTITUTIONAL USE ONLY/NOT FOR PUBLIC USE
Keeping Track of Potential Sources of Professional Referrals
Write down your top 25 clients and ask who they use to prepare their tax returns
and estate planning documents. Use this as a starting point to find two or three
professionals you can build a strategic partnership with. If you have some clients
who don’t have an accountant or attorney, these can be clients you refer to your new
strategic partners to show you’re willing to reciprocate with referrals.
Client Name
Tax Accountant
Estate Planning Attorney
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
22.
23.
24.
25.
FOR INSTITUTIONAL USE ONLY/NOT FOR PUBLIC USE
| 7
reso u rce ed g e TM
Event Marketing
Many successful advisors conduct events throughout the year to market their
practice. We’re not suggesting you buy a mailing list, send a thousand invitations
to total strangers, and pitch them products over a steak dinner. Not only is this
inefficient, but it paints you as a salesman rather than a professional advisor.
The best way to conduct event marketing is to make them one part client appreciation
event, and one part prospecting event. Your invitee list should consist of your best clients
and any prospects already in your pipeline. Ask your invitees to bring any friends they
think would be interested in attending. Conduct a raffle so that you can capture names
and phone numbers of all guests and allow you to follow-up after the event.
Always make sure to control any seating or grouping arrangements so that clients and
prospects can interact with each other. This will give your prospects the opportunity to
ask your clients about you and will give your satisfied clients an opportunity to tell them
how great you are.
It’s important to remember the objective of an event is not to talk too much about your
product or service. At most, a five minute opening remark should cover the following:
1. Thank them for coming.
2. Who you are and what you do (if applicable, introduce the other members
of your team).
3. Housekeeping items (i.e. location of restrooms, review agenda, etc.)
4. Introduce the speaker or kick off the activities.
During the event, if you’re asked about a particular product or service, provide a quick,
general response and offer to schedule a private meeting to discuss in more detail.
It will help to come prepared with a quick response to some of the most common
questions people ask, such as your view on recent market events, etc.
Educational Events
Also known as seminars, educational events are a great way to address hot topics or
present interesting information that people will find useful or entertaining. While you
or someone on your team might be willing and able to deliver some of the content,
the most successful events are conducted by a guest speaker that is an expert on the
topic (either a resource at your firm, or an outside expert). This lends credibility to the
content and positions your firm as having a breadth of resources available. Examples of
topics could include: market or economic update; maximizing social security benefits;
teaching financial literacy to children; how to avoid becoming a victim of identity theft;
and charitable giving strategies.
8 |
FOR INSTITUTIONAL USE ONLY/NOT FOR PUBLIC USE
Recreational Events
A recreational event is a great way to build a deeper relationship with clients and
prospects alike. Ideally, these events should be geared toward passions and hobbies
that comprise your niche market(s). A wine tasting event at a vineyard for wine
enthusiasts or a fishing expedition with a group that enjoys fishing provides a relaxed
atmosphere that creates a bonding experience. Hold a variety of events during the year
so you reach the majority of your best clients and prospects. Don’t be afraid to turn
some of these into annual events. That’s a great way to give people something to look
forward to each year and lets you build upon the prior year’s success.
Proper planning is critical to successful event marketing. Allow plenty of lead time so
your compliance department can review any materials you plan to use and your guests
can hold dates on their calendars, etc.
6 – 12 Weeks Ahead
• Determine Event Type
• Establish Budget
• Identify Target Audience / Guest List
• Select Speaker or Activity
• Select Location
• Outline Event Details
• Determine Marketing Communications/Touchpoints
• Decide on Required Program Materials
4 – 6 Weeks Ahead
• Send out Invitations (secure RSVP’s 1 – 2 weeks prior to event)
• See to Event Details
1 – 2 Weeks Ahead
• Confirm Final Attendee Numbers
• Firm Up Event Details
• Touch Base with Speaker(s) As Needed
• Ship Materials to Event Location
1 Day Ahead or Day of Event
• Site Walk-Thru
• Approval of Set-up, Audio/Visual Check, Verify Final Details
FOR INSTITUTIONAL USE ONLY/NOT FOR PUBLIC USE
| 9
reso u rce ed g e TM
Once an event is complete, be sure to follow-up with each attendee by phone to thank
them once again for attending. If the event was well received, your clients should have a
favorable impression of you. This is a great time to tee up a referral conversation. Don’t
forget to address any issues or concerns brought up during the event and attempt to
schedule a one-on-one meeting with any of the prospects that attended.
Paying for all of these events yourself can be an expensive undertaking. Leverage the
relationships you have with your professional referral partners by asking them to speak
on a topic they specialize in or ask product providers to sponsor the events in exchange
for giving them a few minutes to talk about their firm. Many times your product
providers can provide speakers for educational events as well.
10 |
FOR INSTITUTIONAL USE ONLY/NOT FOR PUBLIC USE
FOR INSTITUTIONAL USE ONLY/NOT FOR PUBLIC USE
Contact your American Century Investments Sales Manager
at 1-800-345-6488 for more information.
At American Century Investments our commitment is rooted in focusing
on delivering superior investment performance and developing long-term
relationships with our clients. Our track record of performance, our business
model and the legacy of our founder set us apart in the industry.
Who we are:
• Performance focus for over 50 years
• Pure play business model
• Privately controlled and independent
• Profits with a purpose
What we offer:
• A broad array of highly rated investments
• Depth and breadth of performance across six investment disciplines
Our commitment to you:
• Consultative approach
• Resource Edge™ value-added tools
• Genuine dedication to your success
Our Resource Edge™ value added programs and tools for financial professionals are designed to help
you grow and manage your business by providing investment insights, practice building solutions and
retirement resources.
P.O. Box 419385 | Kansas City, MO 64141-6385 | 1-800-345-6488 | americancentury.com/ipro
FOR INSTITUTIONAL USE ONLY/NOT FOR PUBLIC USE
IN-BRO-73979 1111
Use of these materials is subject to your individual firm’s home office approval.
American Century Investment Services, Inc. ©2011 American Century Proprietary Holdings, Inc. All rights reserved.