The Drip Marketing Approach
As my business grows, I have come to recognize that I need an efficient way to “drip” or keep my name in front of clients as well as prospects. Although I write a monthly newsletter and e-mail it to clients and prospects alike, I find there is a need, at times, to send a more specialized or targeted message. In other words, I need to effectively convey my value proposition to the individual.
For example, I have a client for whom I created a comprehensive plan almost two years ago. Having done this, I know a great deal about him. I do not manage his assets; he does. However, since planning doesn’t require the same frequency of contact as asset management, I am not in touch as much as I’d like to be. I’m only in contact with him when we need to update his plan. How do I keep my name in front of him, so that when he’s ready to hand off the task of managing his accounts, he will think of me?
Another case is found in the individual for whom I do manage his assets and have done a financial plan, but who is not as motivated to update it. Even though I believe it is in the client’s best interest to update the plan annually, if the client doesn’t agree, then it doesn’t happen.
One more situation is found in the client who has assets with me, but for whom I have not created a financial plan. How do I get them “on board” with the planning process?
Then there is the task of managing current clients: making sure you do account reviews at the right time and making sure you update financial plans on schedule. Keeping track of all of this is important and requires a systematic approach.
Here’s how I intend to keep track of it all and it centers on my contact management system. I use ACT. I have categorized clients as either A or B. I conduct portfolio review meetings with A clients quarterly and with B clients semi-annually. I have also established queries so I can easily pull up the following clients: financial planning clients, portfolio management clients, and clients for which I do both. Then, I can easily send an e-mail to targeted groups. I will also follow this same process with prospective clients.
I’d be happy to hear your reaction to my process, and for you to share your own.
I have not updated my version of ACT in a long time because our IT people do not like the newer versions.
What version do you use and do you like it?
Kind regards,
Jim Moore
Email me directly and we can discuss.
I’m sorry Mike, but I have to ask… can you take a better photo next time? I mean, the stubbles and casual clothes thing – that was yesterday. Actually, I don’t think it was ever “in” in the field of advice. A slightly more professional appearance might help you with some of your business development goals.
But thank you for sharing.
Jim,
I use Act 2008 version 10.0. I like the ease of adding tabs and fields and customizing reports. My only complaint is that sometimes it runs a bit slow. It also integrates with Excel (I seem to use that a lot), but I haven’t used this functionality yet. There may be better CRM’s, but ACT is inexpensive and suits my needs. Like anything else, you have to learn it to fully utilize it.
Did you learn to you ACT on your own or did you have any specific training on ACT? Are you using the ACT for Financial Professionals version or the generic ACT? Any suggestions on how to better learn/get started with ACT?
ACT 10.0 with ACT4Advisors as an add-on has additional fields and a layout that I have found useful. ACT4Advisors has an interface to be able to use Laser App. If you are opening accounts or updating accounts and that is a real time saver. Your applications will look more professional as well. The ACT For Financial Professionals from ACT does not enable you to use Laser App and if you are trying keep on top your clients accounts you should look at both products. Once you are hooked on ACT4Advisors and Laser App it is almost impossible to let go of either product.
Jim,
Many of our clients have taken this strategy to the next level by
using both database fields and conditional logic within the body of their emails.
This allows the advisers to write a newsletter for example, that can be sent to
all clients but can focus on specific topics. As a consequence, clients see contents
and information that suggests that the email has in fact been written specifically
for them (rather than just a en masse email).
Thomas,
I learned to customize ACT on my own. In the past, I used Goldmine which is much more difficult to customize and, in my opinion, you would need someone to program it. ACT is much easier. I think (as I recall) that ACT4advisors is imply the basis ACT with some additional tabs and fields. I think the reports were the same as the basic version.
Dwight, I’m interested to know more about the Laser App application. How does it work, exactly?
Jim, The conditional logic…how do you use it?
Mike
I have read all of your entries back to March 2007 and I am interested in your early Marketing efforts. I am just starting out and getting the word our about my practice – press releases, mailings, website, etc. How did you get your intial clients and what do you suggest for the newbie independent?
peter
Hi Peter,
When I started out, I had two people who committed to do a financial plan with me and one had assets for me to manage. I remember thinking how I could eat for at least two months! Past that, I received a referral here, a referral there, one from an attorney and one from an accountant I knew. All this helped. I would suggest “lining up” whatever you can before you make the leap. There’s a lot for you to do with creating your brand, marketing your services, etc. Fun sure, but also will keep you very busy. I decided not to do seminars or any other “mass marketing” efforts and to concentrate on acquiring a few “good” clients.
Hope this helps and I wish you well.
Mike
Mike
Last December your wrote about selecting Trade PMR. I am also a new RIA and I am considering TradePMR. My book will be 99% mutual funds and ETFs. I would be interested in your responses to Carol in December and also your take on how they would view my book.
I have talked to them and got all the right answers but I am afraid of the “Carol type questions” that I didn’t ask or misunderstood their responses.
Peter
Peter,
I’ll try and address your concerns about TradePMR. In December Carol discussed 3 things, 2 of which I will address.
Account Aggregation Tool
Yes. it’s true that they said this would be ready in 60-90 days from the date of their conference last Feb and it hasn’t materialized yet. I don’t know why, but can only speculate that it involves compliance and is perhaps more involved than they thought it would be. I’m not trying to make excuses for them and would certainly like to see this happen. The fact is, I have had many other, more urgent items on my plate in the past 6 months.
Performance Reporting
Yes, their current version is very clunky. I don’t use it, but I do understand they are planning to roll out a much improved version at their next conference next Feb. We’ll see.
I suppose they need to learn not to promise more than they can deliver. That would go a long way. While I do understand your concerns, I guess it all comes down to focusing on what they do have. Sure, they have failed to deliver on some really great tools, but they are also a small, growing company and it will take time for them to “put everything together.” Until then, we will all have some growing pains. I do think (at least so far) that they will eventually have all of these wonderful tools for us. If they don’t then some advisors may decide to move. I’m planning to stay put and give them some more time.
I hope this helps.
Mike
Mike, we switched our CCS from ACT to Red Tail and are much happier with it for drip programs and practice management. It is web based and can be used with handheld devices. The company imported our data from ACT for free. We find it much easier to use and we don’t have to update our software. They charge a monthly fee for one data base which can serve multiple users. It took us about six months to get comfortable with it, but you can be up and running with it the first month. We intended to keep our old and new CCS running until we did not feel insecure with the new system. We quit using both systems within 30 day. We have four advisors and two assistants.
David,
Thanks for the comment. I’ve heard of Redtail, but have never used it. At some point I will probably consider changing, but for now I need to stay put,
Thanks again for the info!