Advisers can go a long way to eliminating their competition by using a three step process when assessing a client, according to a financial planning practice principal.
The importance of the “sale before the sale” was discussed by Pax Financial Group principal Guy Mankey in a presentation at the Million Dollar Round Table (MDRT) roadshow in Sydney.
The term refers to the idea of putting a client into a position where the financial planner is not going to run into trouble at a later stage if the potential customer ultimately buys from someone else.
“We’re just trying to get all the potential hazards, problems and objections out of the way before we actually get in and do the hard work,” Mankey said.
The process starts with ensuring that the client is happy to let the adviser help them, according to Mankey.
The second component he believes should be in place right from the start, is ensuring that the client will buy the product.
“If the client is absolutely happy with what I have advised them to do, I simply ask that they buy the product that we supply through us, so we get paid,” he said.
An adviser proceeding in this manner can effectively knock out the competition right from the start on the basis of this agreement, Mankey added.
The final step in Mankey’s process was for advisers to ask clients before they deliver the advice to refer them to friends if they are happy with the advice.
Pax Financial Group is a specialist risk business based in North Sydney consisting of two advisers and four staff.
MDRT is an international, independent association representing approximately 35,000 successful life insurance and financial services professionals.
