One of the most effective ways to grow your advisory business is to increase the number of high-net-worth and ultra-high-net-worth clients you serve. Not only do these types of clients have more investable assets, but they may also be more focused on their goals which can make your job as an advisor easier. Attracting high-net-worth clients is often easier said than done, however. You can’t simply start hanging around golf courses and yacht clubs to reel in deep-pocketed clients. But fine-tuning your approach and knowing which strategies to implement can help you get closer to your target when expanding your client base.
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Understanding the Needs of High-Net-Worth Individuals
If you’re interested in transitioning your focus to high-net-worth individuals, it’s important to start by understanding what they need and expect from you. Some of the most common topics of discussion for higher net worth investors can include:
- Retirement planning
- Estate planning
- Charitable giving
- Tax management strategies
- College planning
- Succession planning for business owners
- Investing
Additionally, affluent clients may present more complex situations that require a specialized skill set to deal with. Their expectations for you may include being attentive yet discreet, offering customized solutions and communicating regularly so they always feel in the loop concerning their portfolios. They also might desire opportunities that feel exclusive to them. This could be anything from unique investment opportunities that they qualify for to exclusive deals or networking opportunities in their area of expertise.
8 Strategies for Attracting High-Net-Worth Clients
Acquiring high-net-worth clients can be challenging as you may be competing with other advisors who share the same goal. It’s vitally important that you find ways to improve your trust and credibility in as many ways as you possibly can. What’s most important to remember, however, is what makes your business unique. Understanding that can help you gain a competitive edge as you work on attracting clients with a higher net worth.
1. Choose Your Focus
As mentioned, high-net-worth investors can have a broad range of needs and concerns. One element to consider is who you’re most interested in serving and whether to take a specialized or comprehensive approach.
Some investors who cater to higher-net-worth clients may tailor their services to a handful of areas. For instance, you might specialize in estate planning and philanthropy. Others choose to traverse the full range of wealth management services.
Niching down is something else to weigh if you’d like to work with a specific type of client. For example, you might be interested in offering services to medical professionals or attorneys. Thinking along these lines can help you to identify your ideal high-net-worth client.
2. Clarify Your Messaging
Once you know whom you’d like to focus your attention on, the next step is defining your message. It should be readily apparent to prospective high-net-worth clients who you are and how you can help them to manage their wealth.
This is where you’ll need to think about what you have to offer and what kind of value that translates to for your clients. Your messaging should speak to what makes you unique, whether that be specialized knowledge in a particular area of estate planning or a reputation for being responsive to client questions and maintaining open lines of communication.
3. Target Your Marketing Efforts
Ideally, you’re able to reach a point where you’re attracting high-net-worth clients to your business on a steady basis. Until you get there, however, you may need to spend time actively marketing your services in the places those clients are most likely to be. This is why every financial advisor needs an established marketing plan. Focusing on your target clientele can help you utilize the right marketing budget to reach the right clients and there are plenty of opportunities to do just that.
If you’re looking for high-net-worth clients in their 50s or 60s, for example, you might focus on email marketing, Facebook or LinkedIn as those may appeal to an older demographic. On the other hand, if you want to work with investors in their 30s who are part of the FIRE movement, those channels may be less effective than Instagram or TikTok.
When looking for proven marketing strategies that work, it’s also important to consider your visibility in search engines. Google can be a powerful marketing tool for driving traffic to your website, however, you have to give investors a reason to click. Ensuring that your site is easy to navigate and clearly reflects your messaging while optimizing for search engines can help you find your way to the top of the results.
4. Refine Your Referral Strategy
Referrals can be a powerful tool for attracting new clients but there are right and wrong ways to obtain them. If you’re hoping to attract high-net-worth clients through referrals, your existing client base is a good place to start. You can simply ask your clients if they know anyone who might benefit from their services.
Creating an incentivized program could help you earn referrals from other financial or legal professionals. For example, you might institute a revenue-sharing model for estate planning attorneys or accountants you know and trust who send prospective high-net-worth clients your way.
5. Make It Easy for High Net Worth Clients to Find You
The internet has become an invaluable tool for helping investors connect with prospective advisors. Lead generation services, for instance, can increase your visibility while allowing you to receive targeted leads based on the details you provide. When your online profile is set up correctly then your leads will find you more easily and provide you with multiple ways to bring in the clients you seek.
6. Streamline Your Business
One of the things that can easily get in the way of targeting the right marketing efforts is managing your business. From administrative tasks to compliance or even employee management, it can take a lot of time. The more time these activities take, the less time you may have to focus on finding high-net-worth clients, because it takes a lot of focused effort, as discussed above.
7. Offer Services and Investments That Fit the Target
The types of investments you specifically market on your website or in your Form ADV are important to potential clients. If you are only offering investments on the “safe” side then it might be a good fit for this target group. This group may want to see that you have experience managing those with a high net worth and you can easily handle their very unique needs and broad investment appetite.
8. Host Educational Events
This target group of potential clients often seeks out new educational opportunities so that they can invest their money better, or find ways to access types of investments they may be interested in. Additionally, the group often leans as well-educated so they see the value in learning new things and finding ways to expand their own knowledge or to stay abreast of important rules or laws regarding their finances or retirement.
You can do this in many ways. You could host in-person events in your area or launch webinars on several topics that this target group finds interesting. By providing ways for this client base to improve their own knowledge, they will trust you more and it could lead to many opportunities to work with new clients.
Bottom Line
Attracting high-net-worth clients with proven marketing strategies is a solid goal to aim for if you’re ready to take your advisory business to the next level. It’s also important to think about how to retain those clients once you have them. Focusing on adding value, anticipating your client’s needs and being transparent with regard to fees can help you to nurture an enduring relationship that continues to benefit your business for years to come.
Tips for Growing Your Client Base
- Pre-screen for prospects that meet your client profile. SmartAsset AMP (Advisor Marketing Platform) is a holistic marketing service financial advisors can use for client lead generation and automated marketing. It’s an end-to-end marketing solution for fiduciary advisors who are looking to grow their practice. Sign up for a free demo to explore how SmartAsset AMP can help you expand your practice’s marketing operation. Get started today.
- Expand your radius. Clients are increasingly willing to work with financial advisors remotely. Consider broadening your search and working with high-net-worth investors who are comfortable connecting online, rather than in person.
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