Is Your Marketing a Revolving Door?

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When I hear of advisors spending $80,000 on marketing and getting zero clients, as one advisor shared with me recently, I envision a revolving door. Prospects cycle through and exit as easily as they come in.

Most advisors accept an average conversion rate of prospects-to-clients of 10% to 40%, which they think is normal.

But I point out to new advisor clients that for every two clients they convert each month, there were eight potential clients who came in but went out... and if their average annual client value is around $10,000, then they’re losing $300,000 every five years. They quickly see the size of their conversion gap and its hidden opportunities.

How do you stop the revolving door from spinning, where prospects come in and go out?

Target your ideal high net worth clients only.

Instead of targeting ideal clients, most advisors use “be seen” general marketing, which attempts to create awareness or consideration for your business merely by promoting its existence.

The basic marketing message boils down to: “We are X financial advisory company and we can provide Y advisory services for all of your financial advisory needs. Please consider us.”