You send out direct mail pieces. You work your database or purchase a list. You believe the people you mail to are a good fit for the products and services you have to offer. And you know that seminars give you sales leverage -- plus, you only have to do the introductory pitch once. You choose your targets carefully because you know you need to have good attendance to make it worth your while.
So what else can you do to increase the potential for folks to show up? You offer free food. Food, after all, is the universal language.
The problem is, when using food to lure in vulnerable senior citizens, state regulators and the SEC might think you are trying to take advantage of your elderly audience. The SEC and state regulators have recently announced they're expanding a program started in Florida that targets producers who take advantage of seniors by luring them in with free meals and then trying to sell them inappropriate products. They are on to us insurance agents, because there has been more than an appropriate amount of churn in the industry. We have sold unsuitable products and swapped out old policies to fund new ones, with little regard to the long-term cost of ownership or the best interests of the policyholders. Of course, we still get our commission.
Shame on us.
But there is good news: It's easy to successfully offer a selling seminar to seniors without getting in trouble with the government. You just have to follow the law. Is that so hard? Here are a few tips to make sure your efforts don't go to waste.
1. Free lunch appeals to both the frugal and the poor. In your invitation, be sure to clearly state that the seminar is about selling (annuities you cannot outlive, or reverse mortgages for example), and that light refreshments (as opposed to a gourmet lunch) will be provided. Or give them a really nice lunch and charge them a small amount for it. That reduces your risk of people coming just for the food.
2. Make sure the market you are targeting is a good fit for the services you wish to talk about. Share how your topic is of particular interest to and appropriate for seniors, and you'll provide powerful value to seniors in all economic brackets.
3. Make sure your seminar skills are strong. If this approach appeals to you but public speaking is not your forte, consider using a professional speech coach. I have seen some really bad seminars presented by knowledgeable financial planners. When people sleep through the disclaimers, you leave yourself open to charges of inappropriate manipulation just as if you had done it on purpose.
4. Be authentic, be real, and let seniors know both the pros and the cons of whatever you are selling. All investments and insurance policies have risks. Explain them. Letting potential clients know the advantages and disadvantages of any approach will quickly save you from scrutiny.
5. Tell people if they are not a good fit for a particular investment vehicle or insurance plan. Do not sell something to someone if it is not in their best interest, even if you can. The integrity required to do this will show your clients that you really do have their best interests at heart and are not just out to make a buck.
6. Document what you do. Have handouts. Have checklists. Have lists of folks who attend. This provides protection if you happen to cross a regulator's radar, so you can defend your ethical, high-integrity sales practices.
There are those who deserve the scrutiny, who deserve the oversight and the punishment. As in every occupation, there are unscrupulous people in our industry who take advantage of their clients. But it's not difficult to avoid being that person. Follow the rules, be honest, and keep your clients' and prospects' best interests in mind. You will be rewarded.
Nan Andrews Amish, MBA, CLU, is a management consultant and professional speaker/trainer who works with financial services firms in areas of leadership development, strategy, and marketing. She also offers speech coaching for executives and sales professionals in a wide variety of industries.
