At the very first stage of developing your business strategy, you defined your target market or markets by selecting the people who contribute positively to your practice and are pleasant to work with.

That information alone is not enough. Now, you must learn more about that market, according to Larry Distillio, the Toronto-based director of financial advisor business management with Mackenzie Financial Corp.

You should always be gathering information on the market you serve because it can evolve, change or even dry up, he says. You have to be prepared to handle those circumstances.

Distillio shares the next two steps in gathering and using market research:

1. Talk to insiders
The best way to gather more details about the groups that you want to serve is by asking individuals within those groups. So, get in touch with some of your favourite clients and offer to take them out for a meal. Begin by stating how much you enjoy working with them. You can then inform those clients that you’re interested in providing more robust services to people like them and you would like to ask them a few questions that can help you do that.

Says Distillio: “I think a client would be flattered that you’re asking them for advice.”

Some questions you want to ask are:

  • What are some of the challenges facing individuals like you?
  • How important is it for your peers to work with financial specialists?
  • Who do they rely on for advice?
  • Do they belong to any specific groups or cultural institutions? Do they read any particular books, magazines or websites?

This serves two purposes. You will gain reliable insider information and you will also motivate your clients to feel closer to your business.

“When they feel closer to your business, they’re more likely to provide you with referrals and be advocates for your business,” says Distillio.

2. Re-organize your business to attract this market
“A business is a constant evolving process. It’ll never be perfect, it’s about progress,” says Distillio.

So, put your insider information to good use and adjust aspects of your business in order to continue appealing to your niche.

This could include implementing new services, enhancing your education or finding new places to market your services.

For example, one client has informed you that she belongs to a country club that organizes monthly lectures on various topics. With her help, you can get in touch with the administrators of the country club and enquire about delivering a presentation that will provide useful information to its members.

This is the third article in a four-part series about developing a strategic plan.

Next: Communicating your story.