Understanding Influence



The level of connections a client or provider has to your firm's existing clients or new potential business contacts is called influence. Tracking influence is important to building your firm's business and maintaining relationships with important contacts. This article outlines what influencers are and how they are segmented within Practifi.

What is an Influencer?

Your firm likely has connections with clients and providers that bring in new business or impact other relationships with existing clients. These connections are considered influencers due to their authority, knowledge, position or relationship with others. They are connections that your firm keeps an eye on due to their potential impact and importance. Influence is a different way of looking at your referrers and sources to better understand the relationship between parties and their involvement in your business. You'll encounter influence through client influencers, providers and centers of influence (COIs). 

Client influencers are clients who have connections to bring in new business to your firm or connections to your current book of business. They are an extension of your referrer list, and indicating their influence on their Household, Organization or Individual record allows your firm to better understand the impact they may have on your business. For example, let's say a client has referred several of their close friends and brought significant AUM into your firm. On their record, your firm may identify them as an Important Influencer by adding an influencer segment, allowing you to keep a close eye on their impact on your firm to ensure the maintenance and growth of your relationship. 

Your firm may also work with providers that have a level of influence. Providers are other businesses your firm has a relationship with that can also be a source of referrals. For example, your organization may work with a law firm that refers their clients to your firm. The provider is not a client of your firm, but it is essential to track their information and influence within Practifi to give your firm the ability to see the full impact the relationship has and the amount of business generated through the referrals they send your way.  

Another way to refer to influencers is as centers of influence (COIs). These can be either clients or providers that work with your firm, or your organization might have a more specific definition for a COI. However you define them, COIs work with or around the types of clients you want to serve. Referring to these entities as COIs captures their impact on your firm as they can potentially connect, introduce or refer you to new prospects or business streams. The two-way relationship your firm has with a COI can be beneficial for growing new relationships with other businesses or clients. Your firm might keep a close eye on these connections when a holiday season occurs to thank them for the business they have helped generate or reach out to them for connections when your firm is pushing for new business. Whether you refer to them as client influencers, providers or COIs, you can indicate their level of influence in Practifi by applying influencer segments.

Influencer Segments

It's up to the user to decide which segment makes the most sense based on the client or provider's situation with your firm. Depending on how your firm works, these levels can be defined based on total AUM, general sway in the marketplace or potential for your firm to join in business with another company. Influencer segments in Practifi come in three different levels: critical, important and standard.

Influencers can be managed and monitored from within your Practifi instance to keep a close eye on clients and providers likely to bring new business into your firm. You can also draw analytics from your influencer list to easily see the relationships between important parties.

Critical Influencers

Critical influencers are typically those most influential who can bring multiple opportunities to your firm. These are the households, individuals or organizations that are extremely connected and likely to bring your firm the newest business, whether through referrals or having important connections. They can also be providers that consistently and often refer high-value business to your firm. Critical influencers are the connections that you keep the closest eye on and have the most contact with due to their potential and importance to your firm. 

Important Influencers

Important influencers have several connections but are less influential than critical influencers. They are still likely to bring new business to your firm and have important connections, but less so than critical influencers. This means their connections could be fewer than critical influencers, less likely to bring revenue to your firm or less likely to sign to do business. Important influencers still need close attention and remain important in cultivating new business opportunities.  

Standard Influencers

Standard influencers are clients or providers with some connections to opportunities for your firm but have room for further growth in influence. They have fewer connections than important influencers and are less likely to generate opportunities for your firm. Keeping track of these standard influencers can bring growth to your firm as their influence grows and develops. 


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