Take A Values-Based Selling Approach To Charitable Giving

These studies magnify the opportunity factor in the charitable giving market. And one of the best ways to tap into this opportunity is to ask the right questions by returning to values-based selling. This article will review a values-based selling approach to the charitable giving market, the changing face of the market, questions to ask, and charitable giving tools to consider.

When discussing charitable giving, as with other delicate matters in estate planning, your best bet may be to focus less on product solutions and more of your efforts on values-based selling. This is a shift from talking about what youre selling to instead concentrating on what the product accomplishes for the client. For example, providing funds for research of childrens cancer, heart disease or other causes that theyve grown close to over their lifetimes.

This type of selling is based on identifying the clients values. Its about discovering whats important in their lives–how they think, what they feel, what they want to accomplish. By taking this approach, youre going beyond just providing financial advice. Youre helping your client focus on their values and the role those values should play in their financial decisions.

This selling approach lends itself perfectly to the charitable giving market. As mentioned, sometimes clients havent been asked all of the right questions yet. When it comes to leaving a legacy, it all boils down to the question: "How do you want to be remembered?"

This is a question that your affluent clients might not think to ask themselves. But when you ask these questions, you might find that you are really getting to the heart of what they hold dear.

In his book, "The Seven Habits of Highly Effective People," Stephen Covey offers as Habit 2 that you "begin with the end in mind." This is based on the principle that all things are created twice; first, theres a mental creation, and secondly, a physical creation.

To accentuate his point, he describes a scene at a funeral. After standing in line to pay his last respects, the visitor realizes that its his funeral. The visitor then sees that there are to be four speakers: a family member, a friend, a co-worker, and someone from a church or community organization. The suggestion is: What do you want them to say about you?

For some people, this type of exercise may make it easier to bring a focus to their desired legacy. More importantly, you can be the guide to helping your client mold that legacy. See Figure 1 for a list a potential conversation starters.

The discussion that will follow from these types of questions in Figure 1 may be very passionate. It gets to the heart of what the clients life is about. This reflection on ones life can create a gut level reaction to want to give beyond ones lifetime. Oftentimes the overwhelming response from a client is, "Show me how I can do this."

Now that you know the types of questions to ask, whom do you ask?

The first step is to target existing clients for this values-based selling approach to charitable giving. As they get older and the need for estate planning gets more prevalent, the annual review is a good time to broach the subject.

The next step is to identify new prospects. Studies show that the stereotype of people looking for this kind of financial advice has changed over the years. The market no longer consists exclusively of older clients with inherited money. Todays givers are young entrepreneurs. Many of them are successful women or minorities. Theyre goal-driven, engaged and want to work together with an advisor on venture philanthropy. Theyre looking to give money to an organization from a business point of view.