Evidence-Based Persuasion Secrets

by Dan Solin, 9/4/24

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Dan’s new book for millennials, Wealthier: The Investing Field Guide for Millennials, is now available on Amazon.

Successful advisors are persuasive. They understand persuasion is critical to converting prospects into clients and keeping them as clients.

Is it a rational analysis of evidence or an emotional reaction that triggers a change in an opinion? That varies, depending on the prospect.

The power of personal relevance

Persuasive messages are most effective when they resonate personally with the recipient.

Researchers (discussed here) discovered a pattern by asking people to write their thoughts while reading persuasive messages. They found messages connected to the participants were more successful at changing their opinions.

You can harness this finding by sharing personal stories about your clients’ experiences. If you’re advising a young family on college savings, share a story about how you managed your finances to save for your children’s education. It will make your advice more relatable and impactful.

Neuroscience and persuasion

Advancements in neuroscience have allowed researchers to delve deeper into the mechanisms of persuasion. Modern techniques like brain imaging have provided a window into how our brains process persuasive messages. One particular area of interest is the ventromedial prefrontal cortex (vMPFC), a brain region involved in self-referential thinking and evaluating the world around us.

Research led by Dr. Emily Falk and her colleagues has shown that the vMPFC plays a crucial role in persuasion. In one study, smokers were shown animated anti-smoking advertisements while their brain activity was monitored. The findings revealed that higher activity in the self-reflection areas of the brain correlated with a more significant reduction in smoking habits, underscoring the idea that messages prompting self-reflective thinking are more persuasive.

There’s additional evidence that tailored messages “activate the same focused brain areas that we know enhance persuasion.” Here’s how to use this finding:

Instead of discussing generic retirement plans, tailor your discussion to show how a specific strategy would work for their unique situation. Use phrases like, “Imagine you are retiring in five years with enough savings to travel the world. Here’s how this plan can get you there.”