FAQs

As many if not most banks are focusing on needs-based selling solutions, versus a more historic product orientation, how does the NAO Cross-Selling Process integrate with this reality?

The NAO Cross-Selling Process perfectly integrates with consultative needs-based selling and does not contradict the financial needs analysis profiling that many banks have been implementing for years.

In this regard, it is essential to clarify needs-based selling as it is often misconstrued

Needs are either known by customers/prospects or unknown to them. It is the bankers’/banks’ responsibility to surface both known and unknown needs to fully assist customers/prospects in their current and future financial lives. Various methodologies to determine needs should address both known and unknown needs.

How do bankers actually determine customer and prospect needs? There are various ways:

a. The customer/prospect directly tells the banker about their needs.

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    For example, it is needs-based when a customer/prospect directly states they are buying a home, and/or that they want a mortgage. In this case, the banker had nothing to do with discovering the needs, other than listening to what the customer/prospect states and assisting them appropriately.

    Outcome: Highly linked to product/service sales.

b. A full or partial ‘financial needs analysis’ is implemented.

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    Financial needs analyses are the junior partners of financial planning, and common within most banks.

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    They are basically a series of probing questions with the intent of discovering customer/prospect needs which can then be satisfied by the bank.

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    The outcomes of these financial needs analyses can result in immediate needs-based sales or future sales based upon what is learned.

    Future sales are based upon proactive initiatives from the banker/banking institution.

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    Future financial needs analyses can be full or partial (let alone automated), but their merit in non-portfolio customer segments is not as great as within portfolio customer segments…especially with respect to following up and following through.

    Outcome: Unfortunately, not as highly linked to product/service sales as expected at most banks. This can be corrected.

c. Verbal and/or visual clues are revealed by customers/prospects during conversations with bankers.

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    Although these clues are not guaranteed to link to specific needs, once bankers/managers recognize clues that have a high propensity to be linked to specific needs, they should proactively surface what they have heard/seen during the conversation, and make proper suggestions/recommendations.

    Outcome: Logical, but not typically implemented effectively at most banks.

Assumptive Needs-Based Selling

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    This includes all methodologies where there is a presumption of needs, based upon market research, predictive analytics, segmentation analysis, etc. Any new product/service development is based upon “research-based” assumptions/experiential assumptions about what customers/prospects need and want.

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    This category includes proactive actions (in person, by telephone, via the web/mobile devices, etc.) based upon maturing financial instruments, customer/prospect life stages, etc… without necessarily having a pre-existing financial needs analysis as its foundation…although there could certainly be one.

    Outcome: Positive, but usually only resulting, at best, in single incremental product/service sales.

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    This category also includes needs-based selling based upon real world, experiential research/knowledge.

    This is the essence of the needs-based selling within the NAO Process.

    That is, from the industry’s and our experience, it is simply a fact that the majority of customers need a minimum of 6-8 financial products/services to run their financial lives…and 4-6 at NAOs. This does not require advanced algorithmic analysis, etc.

    Furthermore, the NAO Process combines assumptive, needs-based selling with logically-related product/service sales. Logically-related product/service sales are functionally “customized product bundling.”

    Additionally, our clients have used the NAO Process before a financial needs analysis profile, integrated within it, and after it. The results have been excellent in all three of these scenarios.

    Outcome: Extraordinarily positive.

    Evidence of the effectiveness and truth of this premise is the cross-sale numbers produced by the NAO Cross Selling Process and even more importantly, the positive customer/prospect reactions to the NAO Cross Selling Process.

    Therefore, the NAO Cross Selling Process will fully integrate with any bank’s focus on needs-based selling.

What does the NAO Cross-Selling Process target to produce the incremental results?

It targets helping customers acquire as many necessary additional products and services as appropriate at NAOs.

It focuses upon logically related cross-selling after an initial account is “opened”, such as a checking account. It also applies to NAOs that begin with other products and services.

The objective is to maximize the cross-selling of products/services that are logically related to each other during the same conversation, even if they are not “officially packaged/bundled together”.

Furthermore, the NAO Cross-Selling Process purposely does not address how to open checking accounts.

Will this focus on onboarding as well?

The NAO Cross-Selling Process exclusively focuses on cross-selling at NAOs and not on the entire account opening process and/or onboarding process.

All of our clients have account opening and onboarding methodologies in place before they adopt the NAO Cross-Selling Process. The NAO Cross-Selling Process can be used before, during/integrated with, and/or after these current methodologies.

Why should banks consider the NAO Cross-Selling Process as many believe that they are already doing this/know how to do this/have similar methodologies and technologies/we’ve heard it all before/we’ve had in-house training?

Of course, banks have heard something “like this” before.

However, something “like this” is not this. This training process is proprietary, unique and revolutionary. Furthermore, the issue isn’t if you’ve heard it, or even been trained in it, the issue is… “Are you consistently doing it at every opportunity and are you doing it vastly better than the competition?”

Specifically although banks may believe they are doing something similar to the NAO Cross-Selling Process, we respectfully state and are certain that these banks do not have a methodology equivalent to the NAO Cross-Selling Process. If these banks did, we would presume that their product/service sales at NAOs would be significantly higher.

Our proprietary NAO Cross-Selling Process is differentiated and world standard both in concept and in producing outcomes.

Why should banks consider the NAO Cross-Selling Process, when they are most assuredly extremely busy and already have locked in current agendas/plans?

This is a very logical concern. However, given that cross-selling is the single most important “forever” sales revenue generator in consumer banking that applies to all customers and all products/services, and all sales initiatives, it should be fundamental to all banks’ agendas and plans.

Furthermore, because of the simplicity of implementation of the NAO Cross-Selling Process, and because it requires just minutes of LMC per day, the NAO Cross-Selling Process will easily integrate into any current agendas/plans.