According to marketing consultant Dan Allison, president of Feedback Marketing Group, advisors lose out on 80 percent of potential referrals because their clients can’t properly articulate the services their advisors offer. Recent studies from Absolute Engagement showed that 82% of high net worth clients don’t refer because they claim to not know anyone who they thought needed an advisor OR because they didn’t know who to refer. On top of this, surveys show that only 1 in 10 advisors are proactively asking for referrals.
Beyond the hum of your business development engine there can be heard the hum of time ticking away. There’s no mistake about it that for most advisors, administrative activities can literally make time evaporate right before their eyes. Studies show that in reality, advisors spend 21.2%—or more than one-fifth—of their time on administrative activities and LESS THAN 20% of their time with clients. And unfortunately, advisors only tend to spend an average of 10% of their time on bringing in new business.
So what does the rhythm of your financial practice sound like today? Do you like what you hear? Or is it time for there to be a different tune floating through your hallways?
For example, how satisfied are you with your referral process? Business development is the one thing that keeps your lights on. Without new prospects coming in the door transitioning into new clients not much else matters. If the statistics show that most of your clients really don’t know how to refer you, perhaps it’s time that you teach them. And if your clients don’t know how to refer you, can you be sure that others, such as COIs, friends, family, etc., know how to do it? Chances are they could use your help, too.
While things outside of your office are changing with the season, why not take the hint and make some changes inside your office as well. Listen closely to the hum in your office. Take an inventory of what’s working and what’s not working. Analyze how time is being spent in your practice and evaluate the cost/reward. Refocus your priorities and make the necessary changes to enable you and your practice to flourish rather than become part of alarming statistics.
If you feel stuck never hesitate to call us. At Productivity Uncorked, we help advisors gain control of their time and build profitable referral processes to uncork their full potential. Find the rhythm of your financial practice today!