COIs: The Perpetual Prospect

Beverly Flaxington is a practice management consultant. She answers questions from advisors facing human resource issues. To submit yours, email us here.

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Dear Readers,

In a training session last week, advisors asked me about the best ways to gain referrals from centers of influence (COIs). They talked about the frustration of referring to accountants and attorneys but often not getting reciprocated. For this week’s column, I’ll share a few insights I have learned that will help with these relationships:

1. Remember that COIs don’t know the difference between what most advisors and planners do. They are focused on their clients and their day-to-day business and don’t spend time thinking about differentiation! When I do branding projects for advisors, often I will interview their COI relationships. Inevitably I hear, “I really like him/her/them so I work with them, but I can’t really say what their firm does or why it is different.” You have to continually remind your COI connections about (a) why you are different; (b) what exactly you can do to help their clients; and © how to best engage and work with you. Think of them as the perpetual prospect. It isn’t just one meeting here and there, presenting what you do, and then forgetting about it.

2. Expand your definition of “COI.” In many cases, I have worked with advisors to expand their new business opportunities by aligning with those other than accountants and attorneys. In one case, the realtor in a local, wealthy area, became a great ongoing COI. In another, it was a physical therapist who had worked with the advisor to heal from an injury, and they ended up partnering to do “wellness” projects with prospects. In another, an existing client with significant connections in the town where the advisor practiced became the biggest evangelist and best COI for the advisor. Think outside of the standard box: Who works with your target market? Who do you know that might also want to grow their business? How can you partner in a meaningful way?

3. Identify those COIs who are also looking to grow. Many of the advisors I talk to are working with accountants or attorneys in their 60s (sometimes 70s) and these are not people who need, or want, to grow. Find the young up-and-comers – the 30s, 40s and early 50s who still have bandwidth and are interested in expanding their own practice. Don’t just sell to them; partner with them for mutual benefit.