A significant segment of our business at McKain Performance Group comes from the financial services industry. And, as you might imagine, with the markets going crazy right now it is a volatile time for those in that business.
As I am working on my new book, I’m also doing a series of consulting assignments with multi-million dollar producers who are affiliated with the largest financial service brokerage in the country. In conjunction with the research developed by my good friend, Dr. Rick Jensen of the Performance Center located at PGA National Resort in Parkland, Florida, we know that the highest performing financial advisors have developed highly specialized practices where they have extraordinary clarity regarding their points of distinction in the marketplace.
In eight separate meetings I conducted yesterday as a part of this effort, I asked the question, “What differentiates your practice from those of other financial advisors?” Six times I received the response, “We provide great client service.” Twice, the answer was, “I don’t know.”
Consider that for a moment – these are successful professionals! Yet, somehow they have missed the point that if they want to achieve higher levels of success and profitability, the most important step they can take is to make their practice differentiated from the scores of others in the same business.
Do they really think that “great client service” is a differentiator? Does that mean that everyone else is saying they provide “pretty awful client service” to their investors? I doubt it!
I then asked them to describe a profile of what their “best client” or “most likely prospect.” Some said, “surgeons,” other said “corporate executives,” or other positions of affluence. However, when I asked the advisors who stated that “surgeons” were the targets and specialty of their practice if they would also accept as a client a corporate CEO who wanted to invest $250,000, they ALL responded, “Well…we are that, too!”
The problem is, you cannot be “that, too!” and become differentiated and distinct in your field! The top financial advisors I have worked with are highly specialized. They only work with surgeons – I’ve even known one that works with only polo players – and another that only worked with PGA golfers! If you had a million dollars, but don’t play polo, they would refer you to someone else! Their view is that they cannot provide the kind of clarity and intense differentiation required for ultimate success if your focus is diluted.
Why should you focus to such a significant degree on being VERY clear about who you are — both as an organization and an individual professional? Obviously, one reason is to create the differentiation that every organization and professional desires – but, here’s another: You simply do not have enough time or energy to create highly distinctive customer experiences for a widely varied assembly of wildly diverse customers!