I still walk and talk. Have a long cord on my phone.
I almost worked at Northwestern Mutual one summer as a freshman in college. The job/internship would have just been basically cold calling people all day and people that I might possibly have some connection with. Which do you think is harder? Selling life insurance or stock to a person.
I’ve sold both to people and think it is the same. The biggest challenge is getting them to sit down in front of you and listen to you pick apart their financial lives.
Chuckrox8 Wrote: ------------------------------------------------------- > I almost worked at Northwestern Mutual one summer > as a freshman in college. The job/internship would > have just been basically cold calling people all > day and people that I might possibly have some > connection with. Which do you think is harder? > Selling life insurance or stock to a person. In the late 90’s (98/99) I can tell you from experience that insurance was a tough pitch. Selling insurance is still a tough gig compared to pitching stocks or mutual funds. An insurance salesman wants to sell you something that creates another monthly bill. A broker is trying to pitch something that can make you money. Who is going to get a better response? Both are very hard, but I think insurance is just a bit more so.
“Both are very hard, but I think insurance is just a bit more so.” Agreed, anytime you have to compare something to “buying a cup of coffee…” You’re in for a tough sales call.
I have to disagree with alot of what’s being said here. After having been in direct sales (both as a salesperson and as a manager) for many years, I’ve observed only 2 kinds of salespeople: the natural talent and the rest of us. The natural talent aren’t nervous, handle objections deftly, connect to their leads instantly (cold, warm, whatever) and generally take rejection less seriously than the rest of us. I don’t know who, but someone here threw up a number of 1 in 1,000 and I think that this statistic is pretty much on the money. Anectodately, in Toronto there are 75,000 real estate agents at any one time. Every year, 75% of them quit, usually within their first year! Rockstar, if you’re that 1 in 1,000 than you’ll have a great time in sales (ANY sales!). If not, than I’m afraid you’re doomed to a life of pergatory if you stay in this racket.
The ratio of 1/1000 seems reasonable odds to find a superstar. Every firm seem to have a handful of rainmakers, but have to sift through thousands of rookies. Hence, exactly why these rainmakers make ridiculous amounts of cash. If I had the talent, I wouldn’t sit through the CFA exam nor would I get my MBA.
darkhelmet, I believe that a natural rainmaker will be successful in any sales environment, however, the rest of us would need to be pickier about the sales role. The spectrum of sales role is pretty wide (outside sales, creative selling, inside sales,). Within the scope of financial services specifically financial planning, an unnatural sales rep can be trained to do well at a bank brokerage, private bank, etc… where referrals from other parts of the bank can help you build your clientele. Eventually, his client base should be large enough where he reaches a tipping point, a point when his own base will generate referrals or warm leads. In short, if you’re not a gifted rainmaker, finding the right sales environment can be a little tricky and success very uncertain. However, once you can get over the hump (developing a large enough client base), you’re set.
A person may be great at cold calling but is he adding any value for his clients? I was in that business for a few years after college and actually did very well. But I never felt good about what I was doing and left the business. I came across the so-called “All-Stars” of the business on several ocasssions. Many of these guys were former car salesman or copier salesman, etc. It is fine to be a great salesman when you are selling a tangible product where the customer knows exactly what he/she is getting. Financial services inherently entail risk. When you mix quotas and bonuses with financial products, you have a conflict of interest. I’m not saying advisors shouldn’t be compensated for their efforts, but the focus should be more on client suitability and performance than on volume. Many of the veterans I came across in the business didn’t even understand a balance sheet and their clients never outperformed the general market. For all the fees they were paying, the clients would have been much better off in index funds as opposed to the junk proprietary products. From an inspirational perspective, the movie is excellent. I just think that salesmanship is more appropriate in industries other than financial services.
jimmylegs Wrote: ------------------------------------------------------- > A person may be great at cold calling but is he > adding any value for his clients? I was in that > business for a few years after college and > actually did very well. But I never felt good > about what I was doing and left the business. I > came across the so-called “All-Stars” of the > business on several ocasssions. Many of these > guys were former car salesman or copier salesman, > etc. It is fine to be a great salesman when you > are selling a tangible product where the customer > knows exactly what he/she is getting. Financial > services inherently entail risk. When you mix > quotas and bonuses with financial products, you > have a conflict of interest. I’m not saying > advisors shouldn’t be compensated for their > efforts, but the focus should be more on client > suitability and performance than on volume. I agree with that. financial products and conflict of interest. ethical issues at the min. Many > of the veterans I came across in the business > didn’t even understand a balance sheet and their > clients never outperformed the general market. > For all the fees they were paying, the clients > would have been much better off in index funds as > opposed to the junk proprietary products. From an > inspirational perspective, the movie is excellent. > I just think that salesmanship is more > appropriate in industries other than financial > services. I admire people with great sales skills.