This weeks’ podcast guest is Steve Wershing. Steve is a practice management and marketing consultant for financial advisors, with a particular focus on how to generate more referrals to grow your business.
But what’s unique about Steve, though, is his approach to referral marketing, which starts with a simple statement: Stop. Asking. For. Referrals. And instead of asking for referrals, focus on how to make yourself more referraBLE in the first place – by having a clear niche. Because as Steve puts it, “a Niche is simply a need”, and if you can fulfill a clear need, then people with that need will be referred to you… without even asking for it. Or viewed another way, Steve finds that the best way to get more referrals is not to hunt for them one at a time, but to plant the seeds for a large number of them, and then harvest them over time.
In this episode, Steve talks about the 6 different types of niches that financial advisors can form – including technical, educational, experiential, psychosocial, affinity, and values niches – with great examples of each. And based on his own experience as a financial advisor and former broker-dealer executive, Steve talks about how advisory firms can interview their clients and leverage a client advisory board to better understand what they’re most valued for and then formulate a niche around that value over time. Because the reality is that, while it’s not required, it’s still usually easiest to build into a niche where you already have some initial connections or solution.
And be certain to listen to the end, where Steve talks about how to manage a niche practice over time, and why it’s OK that your clients may eventually move on from or outgrow your niche – because even if they came and picked you in the first place for your niche, once they’re working with you, they’ll stay for the service and the relationship they have with you as their financial advisor.
So whether you’re struggling to figure out what niche you should go for, are looking for ideas on how to create a greater focus on your niche, or are simply looking to better understand how to get more referrals (without just asking for them more often), I hope you enjoy this latest episode of the Financial Advisor Success podcast!