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In my coaching practice, I help advisory firms convert more prospects into clients. When firms initially approach me, the first question I ask relates to their closing percentage. Some firms have no idea what it is. They don’t track that data. Firms that do, typically report a success rate ranging from 10% to 40%.
My second question is why they think they fail to convert a higher percentage of prospects. Most firms can only speculate because the best information would come from the prospects themselves, and no one has asked them.
This experience gave me pause. Is there a way to obtain valuable information from prospects who either were on the fence or had decided to hire another firm? I came up with the following process for doing so. It’s worked remarkably well, and has had some unintended collateral benefits. Consider whether you can implement it at your firm.
The process
My clients send an email to prospects whose feedback would be valuable. Here’s how the request is phrased:
Hi,
I have a favor I want to ask you. We retain an outside consultant, Dan Solin. Dan provides advice about maximizing our potential to increase our assets under management.
Would you be amenable to a brief call with Dan in which he will ask about your experience with us? His sole goal will be to elicit information that would help us in the future with others.
Please let me know if this is agreeable, and I will have Dan follow-up directly with you to arrange a time that is convenient.
Thank you very much for your consideration.
Note the following about the phrasing of this email:
It starts by asking for “a favor.” There’s support for the view that asking for a favor puts you in a positive position with the person who will be doing the favor. In fact, when you ask for a favor, it’s more likely the person would be willing to do more favors for you in the future.
While you can edit much of the balance of the sample email, it’s important to start it by asking for a favor.
The email then explains the reason for the favor. There’s evidence that providing a specific reason for why you are requesting a favor markedly increases the likelihood that it will be granted.
Response to requests
Clients were initially very skeptical of this process. They thought it was unlikely that many of their prospects would be willing to share their experiences with a stranger. I have been pleasantly surprised by the results.
I’ve found it’s rare that anyone turns down this request.
The reason for the favorable response is twofold: Most people will grant a favor, assuming it is not too onerous and they understand the reason for it. Also, people love to be asked for their opinions and to talk about themselves.
Input from prospects
When I contact prospects, after thanking them for their participation, I ask very open-ended questions. I start with this one: “Can you share with me anything you are comfortable discussing about your experience with the advisory firm?”
In some conversations, I’ve never had to ask another question. The prospects were eager to talk about their experiences. Even though they knew the advisory firm pays me, they provided remarkably candid input.
Here are some of the comments I received:
I liked them and felt comfortable with them, but it will take me more time to make a decision.
I didn’t agree with (or understand) their investment philosophy.
I wanted a larger firm.
I didn’t think that they understood my objectives.
One of the surprising trends I found was that, when there was good rapport between the advisor and the prospect, there was little or no discussion of investing strategy. One prospect told me he “could care less about investment strategy.” All that mattered to him was whether he had a “good feeling” about the advisor.
Unintended consequences
On several occasions, prospects told me they were impressed by the fact that the advisor “cared enough” to have a consultant contact them. One prospect informed me he was very committed to customer service in his own business, and he found this experience to be a great example of a firm that “really cared” about its clients.
Consider retaining a consultant to contact undecided prospects or those who went elsewhere. They can be an untapped source of valuable input.
Dan Solin is the director of investor advocacy for the BAM Alliance and a wealth advisor with Buckingham. He is a New York Times best-selling author of the Smartest series of books. His latest book is The Smartest Sales Book You’ll Ever Read. He limits his sales coaching practice to advisory firms that advocate evidence-based investing.
Read more articles by Dan Solin
Advisor Perspectives welcomes guest contributions. The views presented here do not necessarily represent those of Advisor Perspectives. 
