Financial advisors would close more business if they could better address how prospects could break up with their current advisor.  But breaking up is hard to do.

A recent Nasdaq study says since 2020, 47 percent of people using an advisor considered switching advisors…and 22% have actually switched.

So if you think you could close more business by helping people understand why they should choose your firm over their current one here are some things to think about:

Have a handle on WHY people want to make an advisor switch in the first place…most studies show that the top 5 reasons for leaving are:

  • Poor or infrequent communication
  • Poor or little use of technology
  • They don’t understand your specific personal goals
  • Don’t follow up quickly enough…people expect faster service than ever and time kills deals
  • Fees are too high
  • These are all things that could water test within your own firm.

Do things to help them articulate what their problem and define your path forward.
During your first meeting address your prospect’s relationship with their current advisor from the start…ask them questions like:

  • What brings you here today?
  • Are there things that you wish you were getting today that you’re not?
  • What do you like about your current advisor relationship?
  • What’s most important to you in making this decision?
  • What is your time frame?

These are basic questions that are necessary to help you bring to light WHY they are considering a change.  Now you can address them.

With nearly 50 percent of the market in some manner shape or form looking to make an advisor switch…think about how you are specifically making it easier to come over to you!

About the Author: John grew up in Schenectady, NY & received a scholarship to Norwich Academy. He began his broadcast management career at WOR, learning spoken word marketing from the best in the business with a specialty in financial and long form. John managed broadcast sales for some of the best known sports teams in the world, at the most legendary stations. However his true passion is in the world of direct response advertising to baby boomers and their parents. In this space he has worked with some of the best brands in America. John lives in Boston with his wife, Melissa who is also a broadcast executive, and French Bulldogs Lou and Sal.