| ="body"> | | | | their complete financial picture demonstrates more |
| Advisors are constantly looking for a marketing edge | | | | integrity and helps build trust. Understanding why they |
| to push them ahead of the competition. For many | | | | made certain investment decisions helps you |
| advisors that edge is right under their nose - tax | | | | understand how their 'money personality' works. All of |
| planning. Successful advisors focus on tax planning | | | | these insights will help you build stronger client |
| year around and here's why--in a recent CEG | | | | relationships. |
| Worldwide survey, one of the services most | | | | How do you communicate your new services? |
| requested by affluent investors was income tax | | | | Now that you understand the value in adding tax |
| planning. | | | | planning to your services, how do you communicate it? |
| "It turns out that even affluent investors have | | | | One of the best ways to communicate your new |
| substantial lack of understanding when it comes to | | | | service is through drip marketing. The concept is |
| avoiding taxes," said Catherine McBreen, managing | | | | simple, you send out several promotional pieces over a |
| director of Spectrem Group, in a recent issue of | | | | period of time to a subset of sales leads. Your |
| Financial Planning. "These investors may be missing out | | | | objective is to 'get your message out' constantly and |
| on important opportunities to save tax dollars because | | | | consistently! |
| they aren't up to speed on many of the best | | | | This concept was developed in response to the "Law |
| approaches, including 529 plans, annuities and in-kind | | | | of 29" in which many marketers believe that an |
| charitable giving," said McBreen. | | | | average prospect will not convert to a client until |
| Top Advisor Coaches Tom Gau and Ken Unger | | | | they've seen your marketing message at least 29 |
| pointed out a couple of years ago that less than 10% | | | | times. Of course this is not an exact science, but |
| of all advisors are currently offering their clients any | | | | converting prospects to clients and motivating current |
| tax planning. | | | | clients to reach their financial goals requires constant |
| Are clients confused about income tax planning | | | | and consistent contact. You will not get the job done |
| issues? Apparently. Is this an area where you can | | | | with a phone call or a meeting every now and then. |
| differentiate yourself? You bet. | | | | You must "drip" on them to reach maximum success! |
| Where to start? | | | | To effectively use drip marketing you must have a |
| Income tax planning begins with the tax return, the | | | | plan of action and follow it though. Don't just put one |
| form 1040. If you aren't familiar with how to read a tax | | | | together and push it out the door! Take your time to |
| return then you need to go to and download "Reading | | | | develop a strategic and measurable plan. For the best |
| and Using the Tax Return" training program. That | | | | results you should incorporate a drip marketing |
| streaming video and the accompanying handout will | | | | campaign into your yearly marketing plan. |
| walk you through a basic reading of a client's tax | | | | You can use drip marketing in your postcards, |
| return. | | | | newsletters, e-mail newsletters and any promotional or |
| Many advisors tell us that they don't do tax planning | | | | sales brochures. To get the best and most consistent |
| for clients because they are afraid to ask for the tax | | | | results, automate the process. Your cards and |
| return. Once you start asking you will be surprised how | | | | newsletters need to go out automatically and at |
| many clients gladly provide that information for your | | | | regular intervals. |
| review. If you need assistance with building a script to | | | | Seminars are a great venue to promote your new |
| help ask for the tax return, go to and you will find one | | | | service because you have a captive audience. People |
| there to download. | | | | have chosen to come hear you speak, so incorporate |
| What are the main benefits of offering tax planning to | | | | your tax planning service at a prime opportunity in your |
| your clients? | | | | presentation. |
| 1. Differentiation. Adding this overlooked service to your | | | | Highlighting your new service in routine client meetings |
| practice will steer clients to you and will drive away | | | | is a two-fold, good measure. Not only do you pass this |
| competitors. | | | | information to current clients, but you can ask them to |
| 2. The tax return is a cornucopia of information about | | | | do some word-of-mouth advertising for you. |
| your client's financial situation that you can use to | | | | Once you make the decision to increase your focus |
| make better recommendations. It opens the books and | | | | on income tax planning you will need an action plan. |
| shows you all the different types of investments in the | | | | Here's an introductory To-Do List: |
| client's portfolio. The Schedule D shows you the capital | | | | 1. Find the training on Reading and Using the Tax |
| gains and losses. The Schedule E shows you any | | | | Return. |
| self-employed income, and so on. | | | | 2. Start the positioning for your tax planning services |
| 3. Build stronger relationships. It's true that clients care | | | | with your target market. |
| very little for what you know until they know you care. | | | | 3. Decide how to handle processing the tax returns |
| When you walk through their tax return and discuss | | | | and reporting the observations and recommendations. |
| each item in their financial inventory you can't help but | | | | 4. Create the marketing pieces and strategies to |
| communicate concern and empathy. Your attention to | | | | announce and follow-up on tax planning leads. |