Navigating Client Relationships: Attraction and Breakup

At the PLANADVISER 360 Conference in Scottsdale, Arizona on November 13, retirement plan advisers shared actionable strategies for attracting new clients, opening the dialogue with them, and identifying when it is time to part ways.

Kathleen Kelly, founding and managing partner in Compass Financial Partners, a Marsh McLennan Agency company, shared her success in securing new business by using LinkedIn. Kelly described how persistent, professional follow-ups led to a significant win with a client with whom Kelly had previously worked.

“This isn’t rocket science,” Kelly said. “I tracked my client’s career moves and reached out periodically on LinkedIn. After months of no response, I finally got the green light when the timing was right.”

Kelly noted that she uses LinkedIn during transitional moments, such as between meetings, and encouraged peers to share methods for maximizing the platform’s potential. She underscored the value of persistence and timing in business development.

Engagement Hook

Neal Stamper, corporate retirement director and first vice president at Graystone Consulting, a business of Morgan Stanley, said the SECURE Act 2.0 of 2022 can be a useful conversation starter with prospects.

“I’m leveraging the SECURE [2.0] Act to address issues the prospect hasn’t discussed with anyone,” Stamper said. “Most plan advisers aren’t specialists, so there’s a good chance no one has walked them through specific challenges or decisions they need to make months ahead of time.”

Stamper highlighted the need to align new initiatives with operational realities, such as ensuring payroll systems can accommodate changes. Stamper’s approach includes reconnecting with long-term prospects to revisit these issues, framing the conversation in the context of the evolving compliance landscape.

Breaking Up With a Client

While the session focused on strategies for finding and keeping clients, the experts also discussed circumstances under which there may not be a relationship fit with the client. For Douglas Stalter, vice president and sales leader at Oswald Financial Inc., the decision to end a client relationship often boils down to communication and mutual respect.

“If we have a non-responsive client, it’s not worth our team’s time to chase them,” Stalter said. “This week, we’re parting ways with a client who repeatedly ignored compliance requirements, despite warnings from us and their [third-party administrator].”

Stalter emphasized the importance of working with clients who value thought leadership and respect the team’s time.

“We’re not ‘yes’ people, and that’s clear on our website,” he said. “If clients don’t appreciate our expertise, it’s not a good fit.”

The advisers revealed a shared focus on fostering meaningful client relationships, leveraging regulatory knowledge for differentiation and knowing when to walk away.