Posts Tagged "superannuation"

Superannuation: Why Alan Kohler has the story right

October 8th, 2015 |no comments

Each night on the ABC News, finance reporter Alan Kohler gives a small insight. It might be how a drop in the Yen against the US $ is directly related to increasing the value of the Nikkei.

These small tidbits of information are visual, not readily available to the average viewer and show a level of insight. When we see them, they explain a small piece of the economy. In, and of themselves they are not very useful, they are memorable, and they show his insight. He can see what I can’t. He sees this because he has access to the data and the understanding of how to interpret it.

Most of this information is trivia to the viewers watching at home. They won’t be able to apply it to any meaningful money making venture, but it is an important and a regular part of his 2-minute segment. So why does he include it?

He includes it to position himself as the person who knows. Every time he can show us a small bit of insight, we see him as ‘the man who knows’.

There is one further element that makes these bits of information stand out. We can take them and share it at a BBQ on the weekend, and feel informed. We repeat the information without acknowledging its source, we use it, and we own it as our own. This is Social Object Theory, and it is at the heart of ideas that go viral.

As an expert in superannuation, you want your workplace presentations to have high Social Object value. You want your members to share what it is you present in your workplace presentations, and pass it off as their own. When they do this, three things happen:
It’s proof to your members that your presentations are interesting and memorable. This will make them want to come back to your next presentation and even bring a friend.
It gets them mentally engaging with their super via the memory of your message. (McDonalds repeats their ads to us all the time. This is your version of the happy meal jingle.)

It positions you as the expert who knows. When they take your message and repeat it as their own, they secretly acknowledge you as the source of the message. This builds your credibility in their eyes.

Superannuation is an important part of every Australians life. Making your message more memorable will enable your members to engage mentally with their super and have the retirement they are after.

Superannuation: What members want to know about this weeks bloodbath.

September 30th, 2015 |no comments

With over $55 Billion wiped from the markets this week, what is the one thing that your members are thinking as they go into workplace presentations regarding Superannuation?

Are your planners equipped to explain what has happened and why it happened? Will they be able to offer insight into the likely knock-on effect of the fall, and what it means for the wider economy?

Or will they continue to run the same presentation they ran on Monday – explaining the returns achieved over the last 12 months, and asking for appointments for financial planning sessions?

If your planners are not focused on discussing, and explaining this week’s news, then you know why your members are not engaged with their super. Members are more engaged with what has happened this week, over what it will mean for three decades down the track.

To have the ability to ditch the standard presentation, and speak on the current movements, your planners need three things:

Insight from your investment team. Not just data, but insight – what will all this mean for today, and my retirement savings.
Ability to explain. Your planners need the ability to ditch the slides, and explain what has happened. If all your planners can do is read slides, they are just a talking brochure. They need to be leaders within their field of expertise.
Reassurance. Showing that your fund understands the machinations of this massive movement. They need to relay how your fund is set up to handle these shocks, and how they are prepared to make even better returns off the back of it.

At the base of this, is your planners ability to share their message without a powerpoint slide deck. If they cannot, they will never be relevant to the member and what is engaging them today. This entrenches member disengagement and their connection to your fund and their Super.

I show financial planners how to get an extra 2-10 financial planning appointments per week to generate an additional $5,000 to $15,000 per month in fees.

Superannuation: Bored Members Don’t Book

September 21st, 2015 |no comments

Superannuation is one of the greatest assets anyone can have. Yet it is sold in the most boring of ways.

A highly qualified and skilled planner stands at the front of the room and reads slides to the audience. They talk of great returns and retirement lifestyle while the audience nods off. The presentation has valuable content that is hidden by an inability to engage and inspire.

In the most part, this is caused by planners having to stick to a rigid format to present. They are provided with a slide deck from the Member Services Department that Marketing has approved. The font is the right colour and size, and looks good on the corporate PowerPoint template. The legal disclaimer is comprehensive and prominent. The ensuing slides explain in detail, the average of history, so that members can walk out informed, and who will be excited to book a financial planning appointment. Unfortunately, this rarely happens.

Member disengagement with superannuation is stubbornly high. It shows no sign of abating. While the workplace presentation will always be an important part of member engagement, it needs a make-over so it is more relevant to the member.

Better Presentation Skills All Round

Having good presentation skills is not only about being nerve-free when standing at the front of the room. It is also about engaging the audience with relevant material delivered in an appealing manner that motivates the member to become involved. Only when this happens, will members be drawn to the message that your fund sells.

Being more engaging starts with these three steps:

Ditch 80% of the slides. The planner is the source of the information – not the slides. When members spend their time reading the slides the planner becomes superfluous. This detracts from their positioning as a leader within their field. If the planner is an expert in their field, why do they need to read their message?

Tell stories. Humans are hardwired for stories – every culture, religion and society is based around stories. There is a reason for this. Tap into this hardwiring and people will become engaged.

Explain today. The return that you present, is a single digit representation of the last 12 months. It’s the average of history. More-over it does not represent what could happen in the future. To become relevant to the member, explain what is happening today. Explaining why the Chinese market lost 10% in 2 days is far more relevant and exciting to TODAY than the average of the last 12 months. This engages members.

When members are engaged in your message, they are more likely to book planning appointments. They will value the insight you offer and the skills you bring. When they value this it will be easier to engage them in their superannuation.

Bored members don’t book. Engaged members do.

Would love your thoughts on this, please leave a comment in the comment section below.

Cheers

Darren

Superannuation: Why Members Always Seem Disappointed With Their Returns.

September 15th, 2015 |no comments

The returns you report to your members in workplace presentations, will always leave them disappointed. They will always want more.

It does not matter how well your fund performed, they could have made more money. It’s not a reflection on your investment strategies, but rather member bias to the situation.

When we see the return from the last 12 months, our first reaction is to find meaning in the result. Does it meet my expectations? Is it good or bad? How does it compare to other investment strategies within the fund? How does it compare to other funds? Without something to compare against we don’t know how to react to the situation. This is the members search for meaning.

But this search for meaning can only ever lead to a feeling of missing out. It’s not missing out from what your fund has done – it’s missing out from what could have been.

Greed Over Gratitude

Compare two different returns ~ 2% and 20%. The member reaction will always be the same – just on different levels.

If there is a 2% return, the member will compare it to other strategies. If 2% is the best return in the market, they will be glad they were with you, but disappointed that they made no money. If it’s not in the ball park for what other funds have returned they will be furious!

If they make a 20% return they will still compare – it’s the natural thing to do. If 20% was the best in the market they will be ecstatic, but they’ll still have a twinge of disappointment. They’ll be disappointed that they did not invest more – even if they didn’t have the money to invest.

This reaction is the clashing of two human traits – greed and loss. Greed is well understood – we always want more.

What is less understood is that we are more likely to mourn what we have lost before we celebrate what we have won. This forces our greed to appear before our appreciation of growth comes through. It’s a human trait that we must learn to deal with. This is the triumph of greed over gratitude.

When we compare we are always seeing what we lost.

What does this mean for Super Presentations?

If comparisons induce disappointment, be judicious in how you share them. Know that every time you share a comparison you create a sense of disappointment within your audience. This can be a good thing if you have the right strategy to engage them for a planning meeting.

However, if you are just asking people to make an appointment you will be left with an empty diary.