Transform friends into clients

Do you have friends who should logically do business with you, but haven’t taken the hint? You have an extended family and a large circle of friends. Not all will become clients. Some will be great surprises: “Why didn’t you ask me before?” Others will never pull the trigger. Here’s a comprehensive action plan for the rest.

• Build lists

The first step in cultivating friends as potential clients is building small lists that combine into one larger list. We know people in silos. Yours might include neighbors, college alumni, nonprofits you’ve joined, fellow parents at school, people you see at religious services and extended family members. Cast a wide net. Pretend you are building a Christmas-card list or planning your child’s wedding.

• Identify needs

On your first day in the business, someone probably said: “Identify a need your prospect has, then propose a solution that involves buying your product and becoming a client.”

You just established you know lots of people. A few are open books. They just retired after 40 years of receiving monthly paychecks. They wish retirement could be like that. They want a monthly check for the rest of their lives. An annuity might be the solution.

On the other hand, some needs might not have a financial solution. They might have been downsized. They need a new job. You have connections and might be able to help. No business comes your way immediately, but when they are settled into their new position, they may start to think about transferring their retirement assets away from their previous employer. You are top of mind.

• Divide the big list into three strategies

Imagine you sold clothing instead of insurance. You would know it’s not a one-size-fits-all world. Some want a tailored look, while others are casual. You need more than one approach. As you read through the next three steps, you will learn about three approaches. The first is increasing their understanding. The second, winning them over. Finally, you have asking for business. Assign each of the names on your big list to one of these three categories. Now you have three lists.

Read five more steps in the Round the Table article.