Practice Management TrendsettersApril 29, 2015

 7 / 7 / 7  Process for creating a unique Value Proposition

Part 2 of 2

Communicating the Benefits of Your Service Simply and Clearly

A unique value proposition will help your clients see the value of what you do and be willing to pay for your advice. As long as they understand how to value your advice, they will understand the costs. We eventually want to get the value proposition on paper, in the form of a powerpoint for clients and prospect discussions, and in a brochure and downloadable PDF document in your proposals. 

Trusted AdvisorIt helps your client understand your value by making it simple, specific, and help them solve a problem. It is a shift from selling products to providing advice. In the past you would complete a financial, retirement or estate plan and get paid to sell a product. In the future, the plan (or advice) is what the client will act on and becomes more valuable. In other words, how do you become a trusted and valued consultant? 

Last time we looked at the first 3 steps. They were:

Step 1: Client Feedback (the first 7)

Step 2: Preparing for CRM2 (the second 7 clients)

Step 3: Shift from upfront value to ongoing value (the third 7 clients) 

This time we're revealing Steps 4 and 5.

Creating a Unique Value Proposition in 5 simple steps

Know your competitors 

Keep on thinking from the perspective of your clients, and ask: 

How does your company create more value than competing ones? Do some homework and ask other advisors how they demonstrate their value? What is their value proposition, investment philosophy and process? Some of your competitors focus on their process, some focus on the experience and the top advisors focus on both. Study groups are a great way to explore this further. 

Step 4: Articulate and illustrate your new unique value proposition

Unique Value PropositionCreate a document (Powerpoint, brochure, pdf ) that puts your value proposition in writing. This may include your process, your investment philosophy, your client communication commitment or other relevant documents. When you actually put it in writing, you become the expert. As most firm advisor account opening checklists suggest, review your value proposition, investment philosophy and approach including how frequently you will meet with and /or contact your clients for future meetings. Present this to 7 people and see how they react to it. 

Step 5: Testing it and pulling it all together 

When some clients see their statements in the future, (as it relates to CRM II) it will illustrate the fees they pay along with the rates of return. When they see this, will they ask, what am I getting for and what I am paying?  What should it cost? Is the value worth it or should I look elsewhere where there may be more value? Value is perception in your clients mind. You have to make sure your perception is simple, specific and solves their problems. A key piece in your reviews with clients is a one page document listing ALL of the services (advice) you offer and how you will communicate this to them. Consider completing case studies to tell the story of an ideal client, expectations and outcomes. 

In the next year, you should be able to shift from an upfront value (For new clients) to an ongoing value (existing clients, what do I get for the money I pay each year) by re-engaging clients about the services you have to offer. Become client centric by feedback and focusing on what people value and your client’s experience. 

To do list of ideas in writing to consider are:

  • Ideal client profile
  • Unique Value Proposition in writing PDF and power point (Based on client and staff feedback about their “experience”)
  • Investment philosophy in writing
  • Client experience document  
  • Review agenda with a summary of past, future and present plans in writing
  • List of all your services you offer or mind map
  • Cost of advice chart

If you would like to discuss how to build your unique value proposition, contact to learn how to outsource this task.

Advisor Practice Management’s goal in all of our initiatives is to elevate standards of practice for financial advisors and their teams. Remember, any marketing initiative should include communication with your compliance team.

Let’s work on your business. Start by emailing us. Why not? 

Enthusiastically yours,

Grant Hicks, CIM, National Director Practice Management
Advisor Practice Management

909-17th Ave SW, 4th Floor
Calgary, Alberta  T2T 0A4
Tel  587 390 3148
Cell 403 970 8895

PS Where do you want to be in 3 years?

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