Matt Anderson – The Referral Authority Walks His Talk

Matt Anderson – The Referral Authority is someone that truly walks his talk.

Matt and I met as fellow speakers at the Vancouver 2010 MDRT, we have kept in touch and are helping each other understand how our different and unique coaching programs work.

Over the weekend, Matt referred me to four speaking opportunities for ( NAIFA-IOWA ) The National Association of Independent Financial Advisors-Iowa Chapter Sales Caravan and I’m happy to confirm that I will speak on the following dates at these locations;

• November 9–Iowa City

• November 10–Des Moines

• November 11–Sioux City

• November 12–Waterloo

I joke that Canada is 5000 miles wide and an inch high with less than the population of California spread out over the 49th Parallel. So speaking in Canada in a niche market is a stretch with Canada having 8 people per square mile. In the USA the population is 88 people per square mile and for more perspective, the UK has 880 people per square mile.

I’m conscious that Canada, while serving a niche market is a big little country population wise. If I was serving anyone that could fog a mirror then things might be different, but unspecialized and unfocused.

With having spoken at over 20 of the biggest Advocis Chapters coast to coast that put on financial advisor conferences and a 2010 speaking resume that may be impossible to re-create again in Canada in 2011, I have been developing a vision of speaking further afield in the UK and the USA.

Matt has helped that vision with his referral to NAIFA and I will make best efforts to do an outstanding job for NAIFA-IOWA generating referrals from other states.

Here is an article from Matt as an introduction and click here for Matt Anderson – The Referral Authority.

The 6 Steps to a Fearless Referral Conversation – Matt Anderson

Most insurance and financial professionals are still looking for a way to ask for referrals that feels comfortable. Granted, many of the first concerns people have about asking are mental. They are false beliefs that get in the way, such as “I might come across as pushy” or “it will make me look needy.” This would be a fair concern if you haven’t brought much value or if you’ve simply done your job.

But once you are clear that you have earned the referral (see Step 2 below), your focus needs to be on developing the skills to ask effectively and on knowing what to say that works with the 21st century consumer. I repeat: getting good at bringing in referrals is a learnable skill. It is about developing a conversation you can get comfortable with that becomes a natural train of thought.

Your brain connects the dots as you talk: a) you hear that your client is happy; b) you figure this person cannot be the only human on the planet that would want to feel this positively; c) YOU identify specific people/doors for your client to open for you and d) you coach them what to say so you get a warmed up referral. Here’s how these dots connect in the 6 steps:

1. Acknowledge your client

GALLUP research in the US has found conclusively that we are starved of positive recognition. Lack of it is the main reason people choose to leave their jobs. It’s the primary need we have after food, clothing and shelter. So take some time towards the end of a meeting to give specific, sincere reasons why your client has made some smart decisions and what impresses you about them. Consider using statistics that demonstrate how few people are as wise as they are. Remind them of the pitfalls they are now avoiding. After all, you’re selling peace of mind.

Just be aware that commending others is a skill and most advisors need time to practice this. Most of us do a pretty weak job of this. Lastly, pause to let your compliments sink in.

2. Value Conversation

Now your client is feeling pleased, you request positive feedback. Ask an open-ended question along the lines of: “What have you gotten most out of our work together so far?”

You will hear in the tone of the client’s voice whether you have earned the referral or not. Do not go to Step 3 if the response you get is flat. Simply ask what you can improve on and address that.

Feel comfortable digging. Many people need more time to think, so after their first response, say: “I appreciate the feedback. Anything else that’s been helpful?”

3. Get specific

This is the most important step. It does NOT work to ask: “Who else might benefit from my work?” Most people do not talk to others about what you do so they will shake their heads and tell you they can’t think of anyone.

It is YOUR JOB to figure out ahead of time who you would like them to introduce you to OR which door you would like them to open for you (maybe they can get you into a company/organization/workshop/event/center of influence meeting). You identify these opportunities by having curious conversations to ‘fish’ for important people/groups in their life that they LIKE (otherwise they won’t be comfortable asking for you).

Either ask directly about a specific person or ask the expert (them!). “I’m really glad that you’ve found our work so valuable. And I know you’ve mentioned that you work with numerous other retirees/special needs families/owners of assisted living centers/physicians. I’m guessing you don’t spend much time talking about the kinds of things we’ve discussed (!) (see STEP 4), but how would YOU recommend finding out if some of them might be open to hearing from me?”

Try this a few times and you will be really glad you read this article. Your clients will respond so much more positively to being asked for their expertise and given ownership of this than you telling them what to do. The worst-case scenario is they are unsure and you feed them some suggestions. But most of the time your end outcome will be better as they become your advocates helping people they care about.

4. Reduce the client’s resistance

Weave into your referral request an acknowledgment that you don’t expect your client to know all about the other person’s financial/insurance situation. This is a subtle yet valuable point to make. Most people do not know what others do with their finances or how they are protecting their assets. Their doubt and sensitivity with the topic is one key reason why you sense pushback. This can also apply to how you will follow up.

5. Coach the client how to warm up the referral

If you just have the name and number of someone not expecting your call, it will only lead to business about 15% of the time. If you get it warmed up so your prospect has agreed to hear from you, your chances of business go up to 50%. It’s worth taking the extra step.

It is your job to put yourself in your client’s shoes and figure out with them what the most effective and comfortable way will be for them to open the door for you. Personal introduction? Face to face conversation? Email? All of them can work IF your referral source is comfortable.

“All you need to tell her is what another client of mine tells his friends: I don’t know how happy you are with the planning you’ve done so far but Matt’s a great guy. He’s well worth at least having a quick conversation with. Would you be open to hearing from him some time?”

6. Keep control of the process

Ask: “When should I get back to you to see if she might be interested?” Do not change the wording on this! Let your client verbally commit to you. Following up is easier and far more effective when it is their idea.

Practice these steps until they flow for you and become automatic pilot. You will get results.

Matt Anderson, of the Referral Authority, has grown his business exclusively by referrals and now speaks and coaches not only across North America but also in the UK. He specializes in training and coaching insurance and financial service professionals how to build referral-based businesses. He is the author of Fearless Referrals, which Brian Tracy, author of The Psychology of Sales, says “teaches you the “Golden Rules” for developing a continuous chain of high quality referrals for any product in any business.”

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Advisor.ca Name That Visionary

What do Simon Reilly, Mark Carney, Jim Flaherty, Moshe Milevsky and Terry Zavitz have in common?

Voting for Advisor.ca ‘s  Name That Visionary will commence on September 7th 2010 (just after Labour Day).

If you previously voted you’ll receive an email voting reminder on September 7th.

Round One is over. Your votes have been cast and tabulated. Advisor.ca’s expansive list of candidates is now down to just 20 entries displayed below. It is your turn to pick the Top Ten for the next phase of Advisor.ca’s poll to determine Canada’s greatest financial visionary. In the Second Round, you can only cast one vote so read the bios carefully, familiarize yourself with the candidates and make your pick.

Your votes will be tabulated and Advisor.ca’s first round of judging will determine the top ten finalists. A second round of judging will determine the order of the Top 10 nominees and an overall winner.