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AS A RETIREMENT
plan advisor, you play a critical role in a plan
sponsor’s success. Are you effectively conveying the
value you bring to clients and prospects? How are you
differentiating yourself and your firm?
By formalizing your competencies in a clear Value Proposition
Statement and outlining a unique advisory services
package, you will be able to demonstrate to clients and
prospects how and where you add value. Also referred to
by some plan sponsors as a “Service Agreement” or
“Service Contract”, your Value Proposition Statement
should define the benefits they receive by working with
an advisor, but specifically, working with YOU as their
advisor.
A well constructed value proposition can not only benefit you,
but the plan sponsor as well. Your plan sponsor clients
can utilize this as a way to:
-
Provide them with an illustration of your expertise
and special services
-
Set clear expectations of you, as their advisor
-
Formulate a basis of problem-solving discussions
with you
As a plan advisor, your benefits include:
-
Having a strong prospecting tool, highlighting your
value-added services
-
A
jumping off point to initiate conversation and
highlighting important issues
-
Clear way to show plan sponsors why they need you
-
A
differentiator for you from the masses of retirement
services advisors
As you begin to develop your value proposition, or refine an
existing one, analyze your business and where your
expertise lies. Questions to consider are:
What makes you stand out above other Retirement Plan
Advisors?
§
Your credentials – e.g. education, certifications, association
memberships, experience, and recognition
§
Your firm – e.g. ABC Financial Services, LLC (ABC) is a
diversified financial services organization focused on
prudent investing principles. Founded in 1962, the firm
currently has over $10 billion in assets under
management. ABC was voted one of America’s top 100
places to work for women by Leading Executive Magazine.
The 100+ financial professionals of ABC are dedicated to
delivering solutions that are designed to meet each
customer’s unique long-term goals and objectives.
§
Your services commitment – e.g. I am committed to providing my
clients with objective guidance regarding retirement
plan solutions. As an {investment portfolio strategist,
fiduciary review consultant, plan education specialist,
and provider due diligence consultant}, my
primary goals are to:
o
Provide guidance and assist you in designing your plan’s
investment program
o
Enhance your fiduciary review process
o
Offer your plan participants a comprehensive retirement
savings education program
o
Decrease your retirement plan administrative burden.
What will the plan sponsor gain in working with you?
(Note: These are examples of possible services
retirement plan advisors may provide. Be sure to design
you positioning statements based on your specific skills
and expertise)
Ø
Investment Portfolio Strategist
Combining my expertise in retirement services with your
specific objectives, I strive to help you design an
investment program structured around meeting your
business needs and helping your participants achieve
their retirement goals. Your services may include:
o
Investment Program Design
o
Investment Policy Statement
o
Monthly Performance Monitoring
o
Quarterly Investment Review
Ø
Fiduciary Review Consultant
A key measure of my success is defined by your level of
comfort with your role as a plan fiduciary. My thorough
fiduciary review program will encourage proper due
diligence activities in order to minimize the potential
for unforeseen liability. Your program may include:
o
Policy and Procedure Implementation
o
Bond and Insurance
o
404(c) Compliance
o
Plan Audit
Ø
Plan Education Specialist
Leveraging my many years of experience as well as the
latest technology and research, we will work together to
maximize your participants’ savings potential. Your
communications program may include the following:
o
Highly Interactive Enrollment & Participant Education
Meetings
o
One-on-One Consulting
o
Quarterly Plan Update Newsletter
o
On Call by E-mail
Ø
Provider Due Diligence Consultant
The quality and appropriateness of the plan provider’s
products and services are vital to a successful
retirement program. I will perform a thorough
assessment of your plan’s current product and service
solution. If deemed appropriate, I can help you conduct
a provider search and evaluation process utilizing
state-of-the-art benchmarking tools and resources. The
process may include:
o
Plan Sponsor Interview
o
Participant Survey
o
Benchmarking Analysis
o
Provider Selection Expertise
Finally, it is important that you are comfortable with what your
completed statement communicates to clients and
prospects. Is it an accurate reflection of you and
something you can deliver on?
We hope this has provided you with some ideas and concepts to
consider as you sit down to construct your Value
Proposition Statement. For a copy of some sample
statements, and additional business tools, please visit
our advisor website at
www.massmutual.com/powertogrow or call
866-444-2601.
© 2007 Massachusetts Mutual Life Insurance Company,
Springfield, MA 01111. All rights reserved.
www.massmutual.com
MassMutual Financial Group is a marketing designation
(or fleet name) for Massachusetts Mutual Life Insurance
Company (MassMutual) and its affiliates.
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