When the market takes a turn for the worse, advisors often focus their attention on quelling client’s concerns.
Some advisors dread a bear market and the “damage control” that comes with it.
But what if advisors saw a down market as an opportunity to grow their client base?
Here are four reasons why a bear market is the best time to grow your business:
1. New Prospects
During an economic downturn, people who previously neglected financial planning may suddenly become more interested in their finances This is a great time to identify and meet with prospects or reintroduce yourself to those who previously declined your services.
2. Quality Referrals
In a bear market, your current clients are much more likely to give you quality referrals. This is because your value as an advisor becomes increasingly apparent to clients during a time of crisis. When clients see you as their ally, they are more likely to pass along contact information to their closest friends and family.
3. Unique Marketing Opportunities
Take a down market as an opportunity to capitalize on unique marketing efforts, such as financial planning workshops. People are more likely to attend these types of events during an economic downturn, increasing your chances of attracting new clients.
4. Looking for Change
Some people currently working with an advisor will be looking for a change during a time of crisis. Take this as an opportunity to offer complimentary financial evaluations, attracting new potential clients.
While a bear market often means spending more time answering client’s questions and concerns, it can also be a great time to collect referrals, conduct workshops, and introduce yourself to prospects.