Bryan Stevenson, a lawyer dedicated to fighting poverty and racial discrimination, delivered a talk in March 2012 that earned the longest standing ovation in TED’s history.

Stevenson delivered an 18-minute and 4,000-word talk about injustice and human rights. Throughout his presentation, he was able to keep his audience at the edge of their seats.

His talk was so moving that Stevenson was able to convince his audience to donate a million dollars to the Equal Justice Initiative (EJI), a non-profit organization that provides legal representation to those who do not have effective representation, prisoners who were wrongly convicted, and individuals who were denied a fair trial.

It’s not easy to talk about human rights, injustice, and fair legal representation since those are sensitive topics that require complex discussions.

Even though that was the case, Stevenson was able to discuss those complex matters to his audience… and persuade them to donate to his cause.

As we will discuss below, Stevenson’s story offers an important lesson to financial advisors.

But before we go any further, what was Stevenson’s secret?

Storytelling!

Photo from Unsplash

Storytelling As A Powerful Persuasion Tool

When asked about his March 2012 TED talk, Stevenson attributed much of its success to storytelling. According to him:

“You need data, facts, and analysis to challenge people, but you also need narrative to get people comfortable enough to care about the community that you are advocating for. Your audience needs to be willing to go with you on a journey.”

Interestingly, according to Carmine Gallo, author of “Talk Like TED: The 9 Public Speaking Secrets of the World’s Top Minds,” Stevenson spent 65% of his presentation telling stories.

No wonder a great majority of Stevenson’s speech contained words that appealed to his audience’s emotions.

According to Gallo, storytelling is the “ultimate tool of persuasion” since those who tell emotional and genuine stories are able to connect with their target audience in a far more meaningful way.

From a scientific point of view, Gallo’s argument holds true since it was discovered that human brains are more active when actively listening to stories.

In other words, if you truly want to win people over with your words, you need to tell them a story.

… and you know what?

The same principle applies to financial advisors as well, especially when it relates to persuading prospects and retaining clients.

Storytelling is a powerful tool because it “forges connections among people, and between people and ideas.”

A great deal of a financial advisor’s client-facing work involves persuasion… and since stories serve as a bridge between individuals and ideas, it is one of the most effective tools an advisor can use to attract prospects and even persuade longtime clients to take a particular course of action.

This leaves us to the next question: What are the kinds of stories that you can tell to prospects and clients?

• Personal stories

  There’s nothing more powerful than letting other people know your story since it makes you relatable and credible in front of your listener.

  Think about it: How can your prospects allow themselves to hear you out if you don’t open yourself up to them?

  The stories you tell can be about your successes, past mistakes, or anything else under the sun. Just make sure the tales you share are appropriate and relevant.

  Don’t be stingy with details as well. Your story should be descriptive enough to allow your prospects to put themselves in your shoes.

• Stories about other people or events

  The stories you share don’t always have to be about yourself.

  Narratives about other people or events can be just as powerful if you share the right story to your audience.

  Sharing stories about the experiences of others is a powerful way of capturing your prospects’ attention. It also puts you in a position to share your perspective and financial expertise.

• Testimonials

  Behind every successful brand or service is a story worth telling.

  A well-told story about client success can inspire confidence among your prospects.

  When prospects see client testimonials about your service, they’re much more likely to listen to what you have to say or offer because they already have an idea of what you’re capable of doing.

  To sum up, testimonials not only reveal client success, but they also tell a story about your effectiveness as a financial advisor.

The Power of Storytelling

Overall, stories are meant to illuminate, inspire, and build a rapport with your prospects and clients.

The choice is yours to determine which type of story you’ll tell. What matters is you share stories that resonate with your audience.

Remember: Today, everyone is bombarded with messages and narratives from different sources daily. This makes your prospects (and sometimes, even clients) much more skeptical, making it harder to capture their attention and convince them.

To truly capture their undivided attention, you need to give them something to relate to and root for… and that is best achieved through storytelling.

Best regards,

Joel Litman & Rob Spivey
Chief Investment Officer &
Director of Research
at Valens Research

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