One of the biggest pitfalls many financial advisors make is assuming that prospects will know advisors are an expert at what they do. Even if advisors think they are the smartest and best in their particular field of specialization, that doesn’t mean prospects are going to perceive them in that same light. And when taking in consideration that only 15% of Americans trust financial advisors; the way advisors communicate can end up giving off the wrong message and result in a loss of business. So here are some ways that financial advisors can establish rapport and credibility without losing business.
First Impressions Matter
Despite the age old adage, “Don’t judge a book by its cover” multiple studies have found that Americans do just that. In fact new research has shown that people find it difficult getting over the first thing they know about someone. This means that the notion of a first impression is crucial; being arrogant or cocky can portray the exact opposite message and impression you want prospects to remember you by. Instead of trying to impress prospects by being bold and arrogant, try instead to put them at ease and open up a friendly dialogue about the prospects concerns and interests; make the conversation about them, not you.
Put Yourself in a Position of Authority
Having authority is an important trait when it comes to both establishing trust and being considered an expert in any particular field. But getting in position of authority is a delicate and often a complex process for many advisors. One proven way that financial advisors take advantage of authority (although it can be expensive) is by hosting seminars. Seminars allow advisors to take center stage, immediately putting them in a position of authority. Not only that, but because there is a group of prospects involved, the phenomenon of social proof takes hold (social proof is a psychological phenomenon where an individual is influenced by seeing others take part in something, whereby it becomes more reassuring or credible.) By hosting a seminar and disseminating specific information on a particular subject that the prospect is unaware of; you will become an expert in that specific domain from the prospects point of view.
Don’t Oversell Yourself
Without knowing it many advisors oversell themselves to prospects, and in doing so, look desperate. Your prospects shouldn’t get the impression that you need them; instead they should be thinking that they need you. For this reason try not to be aggressive while still being assertive, treat them with respect while still valuing your own time. If a particular subject or product wasn’t brought up in your discussion, or if it’s not relevant to what the prospects particular needs may be, don’t push them on it. The key takeaway is that you don’t want the prospect to feel like they are being sold to.
In summation it’s important that advisors portray themselves in a way that puts them in a position of authority and respect in the prospects mind. That process involves being mindful of both your time and the way you communicate with your prospect. If you have any questions about what we do, or how we help financial advisors please feel free to contact us today.