Planners told to ditch sales pitch

Until financial planners shrug off their sales persona, they will not build trust rela-tionships with their clients, according to a keynote speaker at the FPA Convention.

Until financial planners shrug off their sales persona, they will not build trust rela-tionships with their clients, according to a keynote speaker at the FPA Convention.

US financial planner, author and motivational speaker Bill Bachrach argued that while Australian planners prided themselves on their professionalism, their sales training was still creeping into their dealings with clients.

He labelled sales training “anti-trust training” and said trusted advisers don’t use sales techniques “because they just don’t need them”.

Bachrach argued that the old sales mantra of finding a need, making it hurt then of-fering a bandaid solution was not the best way to get results.

“Trusted advisers don’t use negative emotions of any kind…behaving as a trusted adviser attracts more money. You can scare your clients, but that will pale in com-parison to how they act when you inspire them,” he says.

“I have a belief that one of the reasons people are managing their own money and investing via the Web is because they’re tired of being beaten over the head with statistics and negative crap.”

He also warned against over-promising. “If they (the clients) come to you and you promise the moon, they’ll leave when someone else promises more.”

And initial client interviews should follow the 5.55 ration — advisers should speak for five minutes, with the remaining 55 minutes being left over to the client to talk about themselves and their own needs. However, advisers should be wary of trying to create an artificial intimacy, which would pigeonhole them as salespeople.

“Frankly, I can’t think of anything more manipulative than pretending you’re someone’s friend to sell them stuff. I’m saying, be friendly, but don’t confuse rap-port with trust.”