Effective Networking: how to ensure long-term Customer Relationships

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Networking in the financial sector is about more than just making new contacts. It is about building stable and long-term client relationships based on trust and real added value. However, many financial advisors find it difficult to fully exploit this potential. The difference between a successful network and simply collecting contacts lies in the strategy and authentic cultivation of these relationships.

In this article, you will learn how you can secure your client relationships in the long term and advance your career through targeted and strategic networking. We give you practical tips for efficient networking – online and offline.

The most important things at a glance

• Networking is the key to long-term success: you can win and retain customers through targeted contact management and relationship building.
• Quality over quantity: A successful network does not consist of a mass of contacts, but of valuable, sustainable relationships.
• The 70-20-10 rule: 70% of your networking time should be spent helping others, 20% on self-marketing and 10% on seeking support.
• Combine online and offline networking: Take advantage of platforms such as LinkedIn and supplement them with face-to-face meetings at industry events.
• Strategy and preparation are key: Networking must be targeted and have a clear strategy to be successful.

Problem: Why does networking often not work?

Many financial advisors face the challenge of turning their networking efforts into measurable success. Often these efforts fail because fundamental mistakes are made that significantly limit the potential of networking.

A common mistake in networking is the assumption that more contacts automatically lead to more success. But this is a fallacy. Rather, it depends on the quality of the relationships. A small but valuable network of authentic and well-maintained contacts brings more in the long term than a large number of superficial connections.

Many financial advisors make the mistake of focusing their networking efforts mainly on direct sales. This often leads to the actual goal of networking – building trust and relationships – being neglected. Effective networking is based on genuine interest and a willingness to offer added value without expecting anything in return immediately. Networking should be seen as a long-term investment where trust is paramount.

Another problem is that many consultants do not have clear goals and strategies for their networking. Without a clear idea of what they want to achieve with their networking efforts, many get bogged down in random contacts that bring little benefit.

Successful networking requires precise planning:

• What kind of contacts should be made?
• How can added value be created for both sides?
• Which networking events or platforms are most promising?

Without clear answers to these questions, networking is often ineffective.

Reading tip: Customer acquisition for financial advisors – how to win new customers

The 70-20-10 rule: give more than you take

The 70-20-10 rule is a proven strategy for effective networking that aims to find the right balance between giving and taking. The rule states:

• 70% of networking time should be spent helping others
• 20% of time should be spent on self-promotion
• 10% of time should be spent asking others for support

This approach fosters trust and creates the basis for long-term, valuable relationships.

So how can this rule be put into practice? An example:

70% – Helping and providing value – most of the network should be focused on giving. This can be done in different ways:

• Sharing industry knowledge, providing helpful contacts or answering questions to help a contact with a current problem.
• In the financial sector, for example, a financial advisor could help an entrepreneur with tax optimization or recommend a competent tax consultant.

20 percent – self-marketing – part of the networking efforts should be devoted to self-marketing. This means putting yourself and your expertise in the foreground – without appearing pushy.

• A financial advisor could share successes in this context, for example an optimized investment strategy that has brought a client high returns.
• This moderate amount of self-marketing helps to raise your own profile and strengthen the trust of your contacts.

10 percent – asking for support – the smallest part of networking is accepting help from others.

• Financial advisors can ask their contacts for help in recommending new clients or partners.
• An example would be getting a referral for a potential new client because you are known as a trustworthy contact.

By consistently applying the 70-20-10 rule, financial advisors can build valuable, long-term relationships based on trust and reciprocity.

Recommended reading: How to start your career in the financial industry

Small talk: from icebreaker to deeptalk

Small talk is a valuable tool for getting a conversation started and creating a relaxed atmosphere. Especially when networking, the right small talk can help to build bridges and gain initial sympathy.

But which icebreakers are best suited and how do you master the transition from a casual conversation to in-depth topics?

• Specialist topic: At networking events in the financial sector in particular, it is a good idea to address a current, industry-specific topic. An example could be a new regulatory change in Switzerland or current developments on the financial markets.
• Current (non-political) topic: Current and neutral topics such as new technologies, a major sporting event or developments in the area of sustainability are often safe conversation starters.
• Funny, light topics: Humor can help ease tensions and create sympathy. However, make sure that the humor remains respectful and unobtrusive.

A relaxed and friendly attitude is important when starting small talk. Open questions are particularly suitable for drawing the other person into the conversation and making it easier to get started. Bringing up a neutral topic gives the other person the opportunity to relax and answer freely.

• Observations: “I have the impression that everyone here today is full of energy. Did you find the keynote so inspiring?”
• Compliments: “I’ve just listened to your presentation. The way you got to the heart of the topic was impressive.”
• Event-related questions: “How did you come to this conference? Is there anything you are particularly looking forward to today?”

Once the small talk has facilitated the introduction, it is perfectly legitimate to steer the conversation towards more in-depth topics – especially if the setting is suitable. This can be done in the context of a business meeting or in a confidential conversation.

You can use small talk to create a relaxed and positive basis for the rest of the conversation. Remain authentic, respectful and flexible in order to respond to your counterpart.

The right demeanor

Networking is not just about what you say, but also about how you present yourself. Authenticity, friendliness and competence play a key role in how you come across to others and whether you succeed in building long-term relationships. Your appearance should always be appropriate to the position without coming across as pushy or inauthentic.

Regardless of whether you are just starting out, an experienced consultant or an established figure in the financial sector: Authenticity is the key to success. You should never try to present yourself as someone you are not. People can sense when someone is not authentic and this can undermine trust and respect. An early career professional should emphasize their curiosity and willingness to learn, while an experienced consultant can highlight their expertise and achievements. Be aware of your role and behave accordingly.

Networking is a delicate balancing act between proactive engagement and restraint. The right timing is crucial: don’t start a conversation too brashly, but give your counterpart space. Choose topics that are of interest to both sides and make sure you don’t fall into selling or self-promotion too quickly. The trick is to offer added value without expecting anything in return.

Likeability is the door opener for any successful relationship. A friendly smile, genuine interest and a pinch of humor can work wonders. Make sure you always listen attentively and show interest in the person you are talking to. Humor – used in the right way – lightens up the conversation and makes you appear human and approachable. But don’t overdo it, because too much humor and lightness can come across as unprofessional.

It is important to know your own professional boundaries. Avoid addressing topics that you are not sufficiently informed about or say so openly. Otherwise this could undermine your credibility. Instead, look for topics where you can present yourself confidently and offer genuine insights. In the financial sector in particular, sound specialist knowledge is a confidence-building factor. Also, be prepared to listen and engage with the topics your counterpart raises.

A successful networker is always a good observer. Pay attention to the other person’s body language and reactions. Is the conversation pleasant or does the person feel uncomfortable? Show empathy by responding to the person’s mood and reacting flexibly to the conversation. This not only shows respect, but also helps you to steer the conversation in the right direction.

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Personal networking at events

Networking at trade fairs, conferences and industry events is one of the most effective ways to build long-term client relationships. Here you have the opportunity to get to know business partners and potential clients personally, build trust and demonstrate your expertise in a direct exchange. To ensure that networking at such events is successful, there are a few points to bear in mind.

• Before the event, make a list of the most important people or companies you would like to meet. Research in advance which topics and speakers will be represented at the event and which contacts could be relevant to your goals.
• Small talk is the door opener for further discussions. Start with a neutral topic such as the event itself, an interesting keynote or an industry trend.
• Once the small talk is underway, you can steer the conversation towards specialist topics . Be careful not to get into detailed technical discussions too quickly. Listen to the person you are talking to, ask open questions and slowly lead the conversation into greater depth.
• Only hand out business cards once a relevant contact has been made. Make sure that the exchange of contact details does not come across as intrusive, but takes place in the context of an appreciative conversation.
• After the event, it is important to keep in touch. Write a short, friendly message to the people you have met. Thank them for the conversation and follow up on a specific topic you discussed during the meeting.

Relevant trade fairs and industry events for financial advisors:

• FINANZ in Zurich: one of the largest financial fairs in Switzerland where financial advisors, investors and financial institutions meet. Here you can make valuable contacts and find out about current trends in the financial sector.
• Many companies regularly organize events for their customers or partners. These events are often more informal and provide an excellent opportunity to strengthen existing relationships and make new contacts.
• Local financial advisor get-togethers or similar meetings offer a relaxed atmosphere to connect with colleagues, exchange ideas and learn from each other.

Online platforms as a basis for networking

Social networks have become an integral part of networking in the financial sector. They enable connections that would otherwise not be possible, even across geographical borders.

A comparison of social networks

Platform	Contact person (professional/private)	Reach	Activity	Type of content
LinkedIn	Professional	Global, especially strong in international markets	High, especially for B2B	Posts, professional articles, LinkedIn Pulse, videos
Xing	Professional	Strong in the DACH region (Germany, Austria, Switzerland)	Medium, mainly active in DACH	Posts, professional articles
Facebook	Both	Global, particularly strong in the private sector	Very high, especially in the private sphere	Posts, group content, videos
Instagram	Both	Global, particularly strong among younger target groups	Very high, especially young users	Images, short videos, stories
TikTok	Private	Global, primarily with young target groups	Very high, primarily young users and trendsetters	Short, trendy videos

LinkedIn is the most important platform for professional networking, especially in the financial sector. It offers the opportunity to make targeted contacts, present professional successes and skills and share specialist knowledge. With its structured interface and tools such as the LinkedIn Sales Navigator, it is ideal for finding and cultivating potential customers and business partners.

Xing is particularly widespread in German-speaking countries. It offers similar functions to LinkedIn, but is more focused on the DACH region (Germany, Austria, Switzerland). Xing is a good platform for networking in specialist groups and finding locally relevant contacts. However, visitor numbers are developing negatively, so this should not be the focus.

Facebook is less suitable for professional networking, as it is primarily a private social platform. Nevertheless, it can be useful to be active in special financial groups or business groups. It also offers the opportunity to interact more informally with contacts and share less formal content.

Instagram is not a typical platform for networking in the financial sector, but it can be used to build a personal brand. Financial advisors can share content here that provides insights into their day-to-day work, for example photos of events or visual content on financial topics (e.g. infographics). This can be particularly valuable for addressing younger target groups.

At first glance,TikTok does not appear to be a platform for financial advisors, but it has become increasingly important for addressing young target groups in particular. It is suitable for short information videos, for example to explain financial topics in an entertaining and easy-to-understand way. It can be the first contact with customers who will be your customers in 10 years’ time.

Tip: Connect with our experts!

The most important Swiss networks

In Switzerland, LinkedIn is the most important platform for professional networking. Specialized networks and industry associations are also important for making relevant contacts in the financial sector.

What content is suitable for sharing expert knowledge?

• Specialist articles and analyses: Share articles that deal with new developments in the financial sector. This could be the latest regulations in Switzerland, market overviews or forecasts on economic trends.
• Success stories: Use specific examples to show how you have helped your customers. This increases your credibility and gives other potential customers an insight into how you work.
• Informative videos and tutorials: Create short explanatory videos on complex financial topics. This content is not only easy to digest, but also offers added value for your network.
• Avoid too much self-promotion: Be careful not to advertise your services too much. This can act as a deterrent and weaken trust. Instead, concentrate on offering added value. Remember the 70-20-10 rule mentioned at the beginning.
• Factual and helpful comments: Interact with your network, offer added value, respectfully add more details and provide insights into your experience and expertise.

Through the targeted use of online platforms, you can expand your network and build valuable, long-term relationships.

Nurturing relationships for the long term

Building a network is only the first step – maintaining long-term contact is crucial to consolidating and expanding customer relationships. Active and thoughtful contact management ensures that you are remembered and that your connections are successful in the long term.

Stay in regular contact with your contacts without being intrusive. A good tactic is to remember important events or developments in the contact and use these as an opportunity to make contact. These can be birthdays, professional milestones or changes in the market environment. A short message on a topic that concerns your contact can also be very effective.

Avoid mass mailings. Instead, send personalized messages that address the contact’s specific interests and needs. An easy way to do this is to refer back to previous conversations or specific topics to pick up the conversation again.

Make sure every interaction adds value. This can be done by sharing a relevant article, offering a useful tip or inviting them to an interesting event. This way you will be remembered without giving the feeling that you are only looking for something in return.

Comment on and share your contacts’ posts on platforms such as LinkedIn. This shows interest and support for their activities without you having to send a direct message.

Long-term relationships need active and thoughtful nurturing. Use a mix of email, social media and face-to-face meetings to strengthen your contacts and always offer added value to be remembered positively.

Conclusion and FAQ

Long-term and trusting relationships are the key to success in the financial sector. Networking should not be seen as a purely tactical measure, but must always be based on genuine interest and mutual exchange.

The customer and their needs are the focus – not your own interest in closing a deal quickly. An honest and trusting network brings significantly more success in the long term than a superficial collection of contacts. Financial advisors should view their network as a long-term investment that is about building and maintaining valuable relationships and offering real added value.