Build Trust and Confidence By Demonstrating Your Locus of Control
Editor’s Note: In part one of our series, we shared a quick and simple test to measure your Locus of Control. Now, in part two, we look at three ways to build client trust by using your Internal Locus of Control.
What does your Locus of Control Score Mean to You?
A score with mostly A responses indicates an External LC. A producer with an External LC may receive plenty of new business opportunities, only to be rejected time and again. He or she usually blame lack of ability or fate stating, “I can’t control this market,” “I don’t have access to the right underwriters,” or “The consumer doesn’t value my approach.”
When these same producers with an External LC find new clients who accept their offering, they usually tell themselves, “Gosh, today was my lucky day.” Sadly, these people believe they are helpless participants in the 90-day bidding cycle. Such producers make rationalizations rather than put in the time and effort to build trust with clients. They often blame bad luck for their failures rather than developing the necessary skills to serve as consultative, diagnostic advisors. They remain blind to their personal limitations and lack of effort.
The research of Beyond Insurance has shown that successful producers develop a mindset that encourages consistent achievement. They attribute their career success to their ability to control outcomes…to consult and diagnose risk issues facing their clients. Instead of blaming others when failure occurs, they maintain a fundamental faith in their own capabilities and are motivated to move ahead. Healthy, successful producers demonstrate positive attitudes and remain confident in their ability to enhance relationships with clients and prospects. By doing this, their self-esteem, motivation, and ability to serve clients grow exponentially.
Clients and prospects will not share their goals, passions and struggles with you until they feel confident and comfortable with you. Your credibility, integrity, authenticity – your Internal LC – creates a relationship based on trust. Building that perception takes time and energy. Be patient. The rewards are plentiful.
The following three strategies will help you demonstrate your Internal LC to clients:
- Value Proposition. Your value proposition represents the reason why a customer should buy your particular product or service, how it exceeds that of your competition and why it is worthy of the price they must pay. Your value proposition must appeal to your customer’s strongest decision-making drivers. A differentiated value proposition goes beyond functional product or service descriptions to express the results a customer can expect to achieve. The value proposition must not be about you and your firm. Rather, it must be all about the customer. Your ability to articulate confidently how you are uniquely qualified to help the consumer as a consultative, diagnostic advisor will distinguish you from others in the marketplace.
- Create a culture of creativity and innovation. Your ability to “think outside the box” is best supported in a flexible, open, nurturing environment. Creativity is the act of producing new ideas, approaches or actions while innovation is the process of putting ideas into action. Creativity is a benchmark of your Internal LC.
- Understand the customer. Consumers are willing to pay a premium, redefine the buyer/seller relationship, erect barriers to the seller’s competitors, and establish the seller as a trusted advisor when the seller reveals to the buyer an unrecognized problem and establishes for the buyer an unanticipated solution. Both are accomplished with a thorough understanding of the business and your internal LC.
An Internal Locus of Control has been empirically correlated with successful customer experience journeys. Research clearly substantiates that producers with Internal LCs have higher levels of performance as well as client trust, satisfaction, and respect. They have to come to understand that success comes from a sustained commitment to their unique process. Finally, these producers are always seeking to learn and to transform. Where are you on the Locus of Control continuum?