"No thanks - I'm already working with someone now." When was the last time you heard this response from a prospect? Yesterday? This morning? Within the last hour? Anecdotal evidence suggests that this response, or something close to it, is the #1 Brush-Off that advisors will hear during introductory conversations.
Advisors will hear this brush-off for one of the following reasons:
- It is true. The prospective client has a satisfactory existing advisory relationship.
- It is partially true. The prospect has an existing account(s), i.e. they receive statements from somewhere. However, the advisory relationship is not satisfactory.
- Just barely true. The prospect has an existing unsatisfactory advisory relationship. However, they don't want to speak to a Complete Stranger (you) about it now.
- Not true at all. However, the prospect knows from experience that few advisors have a good counter to this brush-off...and this is a reasonably polite way to end the conversation and get the advisor off the phone.
In the first place, a brush-off is a reflexive response. We all do it. When was the last time that you were in a retail store and the clerk asked you, "May I help you?"...and you responded, "No thanks - Just looking"? Brush-offs are an instinctive reflexive response...and they work!
As a general rule, the best counter to a brush-off is to find a way to engage the prospect...and continue the dialogue. Here's a possible strategy:
- Prospect: No thanks - I'm already covered.
- Advisor: Of course, I do not want to interrupt any relationship that is meant to continue. But I do have one question.
- Prospect: What's that?
- Advisor: Why do you think that investors change advisors?
- Prospect: Uh...I don't know. Poor performance?
- Advisor: Actually not. Last year, in the J.D. Power Investor Satisfaction Survey, the top three reasons that investors changed advisors were: Lack of communication about the performance of their investments, piecemeal advice, and not being contacted when there is a major market development.
- Prospect: Oh.
- Advisor: Do any of these reasons ring a bell with you?
- Prospect: Well...maybe.
- Advisor: I often find that when an investor like yourself tells me that they are "covered", they are saying that the present relationship is the best that they've been able to find up to this point.
- Prospect: ok
- Advisor: As I said, I don't want to interrupt a relationship that is meant to continue...and I am not asking you to change anything. However, I would like a chance to build a relationship with you. Would that be OK?
At this point, if the prospect says, "Yes", you have permission to continue the dialogue. Your next steps could be:
- Continue the dialogue with appropriate questions.
- Schedule a time on the prospect's schedule to call back for a more extensive conversation.
- Ask to schedule an appointment.
This approach may, or may not, work for you. Either way, you should anticipate the brush-offs that you encounter the most...and write down your preferred response. Store it on a 3x5 card...and keep it handy. 51% of anticipating brush-offs is being prepared.
