Advisors: Set a Completely Unreasonable Business Goal

If you work in financial services, you’re familiar with the Pareto Principle: 80% (or more) of your revenue comes from 20% (or less) of your clients. This pattern is fractal in the sense that it applies very specifically to your day-to-day activities (20% of your actions create 80% of your results) and very generally to the industry in which you work (20% of advisors generate 80% of the revenue for their firm).

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Comments (2)
Great article........but it left me hanging. I was waiting for more details on the habits of the top 20%, and the article just kind of "stopped"! We all know the top 20% behave differently, otherwise there'd BE no top 20%. Maybe interviewing a few of those producers and gleaning some suggestions would add a bit more substance. Interesting read, though!
Posted by Steve R | Saturday, March 16 2013 at 1:35PM ET
As a retired advisor, and now an author and business coach, I ask my clients to name their most important business activities.The answers are always the same: marketing and selling.
It is possible to make huge leaps in your selling success -if you carefully scrutinize all aspects of your sales process, and change where necessary.
I don't see this happening very often.

Or, you could make some big changes in your marketing activity. It is here that I think you'll have much better luck.
Some simple(but not necessarily easy changes) you could make:

Commit to working with ideal clients 100% of the time, within a fixed number of years - say 2.
Commit to having a certain number of appointments every week - come rain or shine.
Commit to obtaining a certain number of referrals each week, to ideal clients.
Undertake a thorough analysis of all your clients and discover the profile of your best clients. Look for these types of referrals - incessantly.
Commit to identifying and working in your niche by a date certain.(which of course means you'll have to give up all those sales activities that are not in your niche).
What I've seen is that adopting any one of these goals in doable- but it takes more than a casual amount of courage. After all, we've all heard of some or all of these suggestions, yet they are usually not followed.

If you want to make any change- big or small- follow these three steps:
Identify a specific objective - and put a deadline on it.What by when.
Determine the strategies you'll use to achieve this objective.List two or three methods you will use.How.
Set up an action plan: implement your methods(strategies) by calendaring those things you have to do.Meet your deadlines.
The key is accountability- become obsessively deadline driven- excuses not needed or helpful.

Easy to understand - yes.Easy to implement: it depends . . .
Posted by Nick R | Sunday, March 17 2013 at 12:48AM ET
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