How to leverage your client base to grow your practice

As most successful financial professionals know, one of the keys to running a thriving practice is not only to attract and maintain a steady stream of clients, but to also tap into those clients to gain additional business. Two industry experts recently shared some methods advisors can use to successfully leverage their existing client base.

One event that Krueger Advisors held was a shopping event in late October, said MDRT member Terri Krueger, who is a senior financial advisor with Krueger Advisors, LLC. Small businesses were invited to offer their items at a single location. The event was free to vendors, clients, and the public. RSVPs were requested. The event brought in around 200 people. All were greeted by Krueger Advisors team members. A local 501(c)(3) organization was invited to sell water and coffee for a donation. Both water and coffee were supplied by Krueger Advisors at no charge to the 501(c)(3) so that the organization could get 100% of the funds donated.

Another event that the company hosts is "Thirty-One" gifts, added Krueger. For this event, the firm works with a director of the gift company to gain reduced pricing for the gift. For certain clients, the company “special orders” a tote bag with an embroidered front panel. “We'll have the bag created with their initials or a symbol of their favorite hobby, e.g., a horseshoe for equestrian friends,” Krueger said. “Blank 'Thirty-One' bags are available as referral gifts. The idea is that when someone asks our clients where they got their tote, the clients are talking about their financial advisor without the stress of talking about money.”

Every six months, the company also holds a drive-through Shred Event, which is blasted via email to its clients and is also open to the public. Attendees are encouraged to RSVP to the invitation since they will receive a goodie bag on the day of the event. Since the office typically needs to call the shred company (a fee is charged per time spent), the company has turned the need into an event. Clients and their friends can participate. Some people attend with only a large envelope full of things to be shredded. “We are fairly certain it's to receive the specially made chocolates from a local chocolatier more than it is because of a need to shred their documents, “Krueger said.

Start the client relationship on the right foot

Bill Cates, president of Referral Coach International, said that one way of getting more business from existing clients is to start the relationship with them by letting them know about the multiple products and services you offer. “If you start your relationship with your new clients based on a single product, you run the risk of being pigeonholed into being an expert only in that product, and then, you might miss future opportunities to serve them with more processes and products,” added Cates.

“The key is to 'frame' the work you do from a more holistic perspective,” he said. “You may start with one product, but you need to show how that is part of a bigger picture. In this way, when it comes time to discuss other ways in which you can serve them, they will be open to that discussion because you have talked about those ways in previous meetings and conversations,” he said.

Know as much as possible about your clients

It is also a good idea to know as much as possible about your clients by spending time with them, including spending time in a social setting, such as sharing a meal like breakfast, lunch, or dinner, having a drink, or enjoying activities like golf or other sporting events.
Cates shared the following benefits of “breaking bread” with clients:

• You learn things about your clients that might not come up in a business meeting. And since money intersects all aspects of one’s life, you often discover additional ways to serve your clients (advice, perspectives, and products), he said.
• You learn about the other people in your clients’ lives. Many of these folks are candidates for introductions. “Be careful not to jump on those opportunities, but don’t forget about them either,” Cates said.
• You increase client engagement. Satisfied clients are loyal and willing to provide referrals, and engaged clients are the ones who follow through and make effective introductions, he said.
• You can learn more about their families and other important relationships. “Good financial planning should never be done in a vacuum,” Cates said. “Many clients make decisions that impact others, and other people make decisions that impact the clients you serve. This type of conversation can bring great value to your clients, and some of these family members should probably be working with you.”
• You learn more about their professional and/or community involvement. “Again, the more you learn, the more value you can provide,” Cates said. “Your clients’ professional and philanthropic relationships can lead to speaking opportunities and one-to-one introductions.”

Ayo Mseka has more than 30 years of experience reporting on the financial services industry. She formerly served as editor-in-chief of NAIFA’s Advisor Today magazine. Contact her at [email protected]. 

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