ask open-ended questions Archives - Don Connelly & Associates

Beyond Demographics: Finding Your Niche Through Psychographics and Client Values

/ by Don Connelly / Marketing Yourself / 0 comments

We’ve posted several times why advisors have a greater opportunity for success when they narrow their focus and concentrate on developing a niche. It has been proven that trying to grow your business by casting a wide net to find prospects is a waste of time, effort, and resources. The crowded advisory landscape demands that advisors differentiate themselves and become more specialized to be recognized as the best-of-breed for a specific type of clientele that can be served effectively and profitably.

The challenge for financial advisors is identifying a niche in which they can thrive. Traditionally, advisors have relied on demographic factors to define their niche. However, while demographics provide a foundational understanding of who your prospective clients are, they don’t reveal their motivations—what truly drives their decisions. Enter psychographics—the study of values, lifestyle choices, and personality traits that shape financial behaviors.

When financial advisors tap into a target market’s psychographics, they can lead to deeper relationships, more targeted and effective marketing, and a more fulfilling practice. This article explores how you can find and serve niche markets by understanding your clients’ values, lifestyles, and motivations.

4 Scenarios Where Active Listening Transforms Financial Advisor-Client Relationships

/ by Don Connelly / Managing the Relationship / 0 comments

Some advisors are natural communicators with inherent skills for demonstrating empathy, telling relatable stories, displaying a natural curiosity by asking open-ended questions, and translating complex ideas into terms clients can understand. Many advisors are not and must prioritize skill development if they are to have a chance at success.

Active listening is the most critical soft skill that must be developed and exercised because it’s where highly effective communication starts. If you don’t master your active listening skills, your communication efforts will likely miss their target. Without them, you’ll have trouble fully engaging your clients, providing insights that resonate with them, and fostering trust.

This post explores four specific scenarios where active listening proves invaluable, highlighting its transformative potential for advisor-client relationships. These examples demonstrate how active listening leads to better client understanding, stronger trust, and actionable insights that benefit both parties.

The Power of Open-Ended Questions for Financial Advisors

/ by Don Connelly / Managing the Relationship / 0 comments

Effective communication is the cornerstone of enduring and trusting relationships. For financial advisors, it’s the key to meaningful client engagement that fosters deeper discussions and stronger connections. At the core of meaningful engagement is asking the right questions.

Open-ended questions, in particular, can transform a conversation, moving it beyond stunted yes or no answers to delve more deeply into what matters to a client—to understand the “why” behind their thinking. Unlike closed-ended questions, which tend to limit responses, open-ended questions encourage an open dialogue full of insights advisors can use to tailor their advice in a way that resonates with the client.

Mastering the art of crafting and asking open-ended questions is critical to pinpointing client needs, concerns, and priorities while building trust and driving more successful outcomes for your clients.

The Art of Active Listening in Financial Advising: Building Trust and Uncovering Client Goals Beyond the Numbers

/ by Don Connelly / Managing the Relationship / 0 comments

We’ve devoted a lot of space here to discussing the concept of “active listening.” Why? Because it’s essential for connecting with clients on a more meaningful level. Beyond merely listening, active listening is an immersive, empathetic approach that enables you to pick up unspoken cues, explore clients’ deeper motivation, and get to the crucial “why.” Active listening is critical to moving clients to take action.

Advisors who master active listening are able to transform the advisor-client relationship to understand and anticipate their client’s needs beyond the surface of financial data and gain insight into what truly matters to clients.

Unearthing the Buried Treasure: How Financial Advisors Can Uncover Hidden Objections

/ by Don Connelly / Prospecting / 0 comments

Financial advisors play a crucial role in securing a client’s financial future, but beneath the surface of numbers and charts lie unspoken anxieties and reservations—hidden objections that can derail even the most meticulously crafted plan. Unlike their vocal counterparts, these objections can linger beneath the surface, hindering progress and leading to missed opportunities.

However, by employing specific techniques and fostering a trusting environment, advisors can unearth these hidden objections and build stronger, more successful client relationships.

A Guide to Securing Second Meetings with Prospects: Turning First Impressions into Lasting Partnerships

/ by Don Connelly / Best Practices / 0 comments

It’s no exaggeration to say that the initial meeting with a prospective client is a make-or-break moment that sets the tone for the relationship and determines whether it will continue in a second meeting. The initial meeting is a crucial dance between the advisor and a naturally skeptical prospect who wants to know why they should work with you.

In a crowded field of financial advisors, the initial meeting presents a critical opportunity to differentiate yourself. Prospects are likely to meet with multiple advisors. You must make the prospect feel they’re making the right choice in working with you and that they should expect an advisory experience with you that they can’t get from anyone else. That’s a tall order.

But if you’re organized, practiced, and have the end in mind—a second meeting with the prospect—you can make each initial meeting a success.

Why You Need to Encourage Your Clients to Ask Questions

/ by Don Connelly / Best Practices / 0 comments

As a financial advisor, you occupy a position of trust, guiding clients through complex financial landscapes. While knowledge and experience are crucial assets, an advisor’s success hinges on another critical factor: fostering a culture of open communication where clients feel empowered to ask questions. This often-overlooked attribute can unlock a multitude of benefits, leading to more effective financial planning, stronger client relationships, and, ultimately, a brighter financial future for the client.

Decoding Doubt: 6 Non-Verbal Cues Clients Might Be Giving You That Signal a Trust Deficit

/ by Don Connelly / Managing the Relationship / 0 comments

Trust is the bedrock of any successful financial advisor-client relationship. But how do you know if a client truly trusts you, especially when they might not explicitly say it? Beyond the spoken word, clients often communicate their feelings through non-verbal cues. Learning to recognize these subtle signals can help advisors address underlying concerns and build stronger, more trusting relationships.

‘Why Should I Do Business with You’: Crafting a Compelling Response to a Prospect’s Critical Question

/ by Don Connelly / Marketing Yourself / 0 comments

For every financial advisor, the question, “Why should I do business with you?” hangs heavy in the air during initial consultations, whether spoken or not. It’s a pivotal moment, a crossroads where trust and value must intersect to convince the potential client to take the next step. While tempting to launch into a self-promotional monologue, a nuanced, client-centric approach is critical to unlocking that coveted “yes.”

It’s crucial to understand that a prepared, cookie-cutter approach, such as reciting your value proposition, won’t work. Every prospect is unique, so it’s essential to adapt your approach based on their specific circumstances and needs using the following framework:

Goal Setting: Not Just About the Numbers. It’s About Emotional Connections.

/ by Don Connelly / Managing the Relationship / 0 comments

Goal setting is the second step of the client data-gathering process —unquestionably the most critical step in solidifying the client relationship and the key to setting your clients up for success. Beyond offering the technical expertise to help clients navigate the complex realm of financial planning, the most valuable service financial advisors bring to the table is helping them align the use of their resources with the things that are most important to them.

Yet even though advisors are well-positioned in this stage of the relationship to have these critical conversations, encouraging their clients to discuss their financial goals and understanding on a deeper level why those goals are meaningful to them, is a significant challenge for many. They then wonder why the client later chooses to abandon their financial plan or the relationship.

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