| When it comes to marketing financial services | | | | "guests". That's a true distinction in everything |
| there is no shortage of options. From cold calling | | | | from the invitations, to the room arrangement, to |
| to direct mail, to attending local networking | | | | the content of the presentation. |
| events, advisors have lots of choices in their | | | | In this particular instance the content of the |
| ongoing pursuit of new prospective clients. | | | | presentation matched up well with the audience. |
| Among all of the options, hosting marketing | | | | Not surprisingly, a seminar targeted at investors |
| seminars remain a key method for getting known | | | | with $15,000 to invest, attracts a wide diversity |
| to prospective clients. Which raises the question, | | | | of prospects. Since it's virtually impossible to |
| "When marketing financial services-Do seminars | | | | customize a talk to such a group of |
| still work?" | | | | modest-investors, there's no real point in trying. |
| Recently I had the opportunity to attend a | | | | However if one were targeting the affluent |
| seminar hosted by a well-known financial advisor. | | | | market, one would want to take a different |
| Lets take a look at what went well, as well as | | | | approach. Remember that they key to marketing |
| where the missed opportunities were that | | | | to the affluent is to make sure they feel that you |
| perhaps would have made it an even more | | | | are catering specifically to them. Open with the |
| successful event. | | | | issues of commonality that this affluent group |
| Location. At first glance the venue for the location | | | | faces. This would be even better if you |
| was great. A private meeting room in an upscale | | | | sub-niched your marketing to "affluent women |
| golf club in a wealthy community was "pitch | | | | business owners" or some other more targeted |
| perfect". Unfortunately no one checked what | | | | segment. This would enable you to open your |
| would be going on next door. As a result, the first | | | | presentation with specifics that make the guests |
| 30 minutes of the presentation were | | | | feel that they we truly listening to an advisor who |
| overwhelmed by a terrifically loud movie that | | | | understood their unique needs. So overall I'd give |
| involved much shooting and screaming. | | | | this presentation a good solid "B". |
| So what's the lesson? Although it seems obvious, | | | | However it does beg one important issue. These |
| a quick check on who your neighbor is going to | | | | financial advisors are expending a great amount of |
| be and what they're going to be presenting, can | | | | effort to attract very small investors. At the |
| help avoid these situations from occurring. I realize | | | | $15,000 investment level (and yes I realize that |
| that this sounds basic, but as they say, "the | | | | some-but probably not a lot-have more than |
| Devil's in the details". | | | | $15,000 to invest) you would need to get 34 of |
| The seating arrangement was theater style with | | | | them to equal one investor with $500,000. |
| about 150 chairs, most of which were filled. While | | | | There's an old saying in marketing that unless one |
| it's a great testimonial to the sponsoring | | | | can automate and remove the human labor |
| organization's ability to fill the room, we did feel a | | | | element from the process, it takes just as much |
| bit like sardines. Now was this necessarily a bad | | | | effort to attract a small fish as it does a big |
| thing? Not really when one considers who the | | | | whale. Unfortunately, hosting marketing seminars |
| intended audience was. | | | | are highly labor-intensive endeavors. Focusing on |
| According to the firm's marketing materials, they | | | | the small investor isn't necessarily the best use of |
| were seeking investors with a minimum of | | | | money time and effort. Granted they "small fish" |
| $15,000 to invest. That's really not a lot of | | | | is easier to attract, but you have to get a lot of |
| money. Thus the program was primarily directed | | | | them to equal one affluent investor. |
| to new investors or those with relatively modest | | | | When one contrasts the results that come from |
| amounts of capital. So the seating was probably | | | | events that cater to the mid-market compared |
| not viewed as a negative. (However there is a | | | | to the affluent, there is no doubt that the latter |
| psychological disconnect between having the | | | | yields much more substantive results. Granted, |
| event take place in a very elegant setting, but | | | | attracting the affluent requires a different |
| having the seats jammed so close together.) | | | | message and approach. The reality is that many |
| However, if the firm were focusing on affluent | | | | advisors are less comfortable approaching the |
| and ultra-affluent prospective clients, the seating | | | | affluent, although they all verbalize a desire to get |
| arrangement would definitely be a turn-off. | | | | more of them as clients. If one is serious about |
| Upscale programs I've attended usually cap the | | | | marketing to the affluent one needs to be willing |
| guest list at 30-35. And I use the word "guest" | | | | to create events that are different than those |
| deliberately. The event I attended recently had | | | | that cater to the mid-market. |
| "attendees". Programs targeting the affluent have | | | | |