One of the great things about our business is that we get to work with some of the smartest minds in accounting, wealth management and estate planning. But all too often the “curse of knowledge” trips them up when they’re writing, presenting or being interviewed. Having encyclopedic knowledge of your subject area has many benefits – but sometimes briefer is better, and you don’t have to overwhelm your audience with every single thing you know about the tax code or investing or estate planning.
I’m not suggesting you dumb things down or
distill everything into 140 characters. But sometimes it’s better just to give
your audience a small sampling of what you know, rather than overwhelming them
with a firehose of information.
Many of you work in highly technical areas. One of the best ways I’ve found to
get your point across quickly without dumbing it down is to use two of the most
powerful word in credibility marketing: “For example.”
"For example" is a powerful communication tool because it acts as a
bridge between abstract ideas and real-world experiences your audience can
relate to.
Early in high school, I remember a young math teacher who seemed hell-bent on
putting a room full of freshman smart alecs in their place. When it came to
Pythagorean theorem, he went into a lengthy discourse about Euclidian geometry,
the evolution of the hypotenuse, with all kinds of convoluted lines and
squiggles on the blackboard. Like most of my classmates, I was baffled and
bombed the first quiz.
Fortunately, I took advantage of an after-school
tutor. Within five minutes she explained, Pythagorean theorem explains the
relationship of the two shorter sides of a right triangle, to the longer
hypotenuse (a2 + b2 = c2). For example,
in a right triangle, she said if the two shorter perpendicular sides are 3 feet
and 4 feet, then the longer hypotenuse must be the square root of 3 feet and 4
feet. [32 = (9 feet) + 42 = (16 feet)
= 25 feet]. So, the square root of 25 feet is 5 feet.
I could visualize the triangle’s shape and could certainly relate to
measurements in feet.
Here are some other reasons why “for
example” is so effective in getting your points across quickly and effectively:
1. Clarifies Complex Ideas. When
introducing abstract concepts, using “for example” breaks down the thought
process into easily digestible chunks. The example acts as a mental shortcut
for processing complex ideas.
Example: Explaining "opportunity
cost" in economics might be abstract for some, but if you explain it with
an example like choosing between buying a new car or going on vacation, it’s
much easier for people to grasp.
2. Engages the Audience. Instead
of simply stating "Effective leadership requires trust," showing how
a successful leader (for example, Oprah or Steve Jobs) gained the trust of
their teams makes the idea more compelling.
3. Builds Credibility. Using
examples shows that you have a deep understanding of a complex topic, say
tariffs, can apply your knowledge in practical situations. It lends
authenticity to your message.
Example: Citing a historical example, like how the U.S. handled tariffs in
the past (1930 Smoot-Hawley Act; 1980s US-Japan Steel Wars) helps reinforce the
validity of your argument and shows that your ideas are grounded in reality.
4. Makes Arguments More Persuasive. Why
it's powerful: By demonstrating a point with a specific example, you provide
evidence that backs up your argument. This can make your claims more persuasive
and difficult to dismiss.
Example: If you're arguing that a remote
work policy boosts productivity, you could use an example of a company like
Microsoft that has reported increased productivity from remote work
initiatives.
5. Fosters Better Understanding. Why
it's powerful: People remember and understand concrete examples much better
than abstract theories.
Example: Instead of saying "Investing early is crucial," showing
how someone who starts investing at age 22 versus age 42 has a significantly
larger return due to compounding interest can make the idea more impactful.
6. Encourages Action or Reflection. When
your reader/listener/client sees how an idea applies to a real-world scenario,
they’re more likely to think about how they can apply it in their own lives or
work.
Example: If you’re discussing the
importance of time management, providing an example of a successful person’s
time-blocking routine might inspire someone to adopt similar habits.
*** Here are more tips for using “For example”
effectively
Real world example
As investors and their accountants were grinding
through tax season earlier this year, a well-known financial services company published
an investor brief touting the benefits of tax-loss harvesting.
Here's an excerpt:
“Tax-loss harvesting is a tried-and-true strategy for
lowering taxes and potentially helping increase after-tax returns. When you
tax-loss harvest, you'll pay taxes on your realized capital
gains for the year, meaning you'll only consider your net gains—the amount
you gained minus any investment losses you realized. Learning how to harvest
tax losses is key to helping put your money to work. If you have realized
capital gains, you can offset them by selling securities from one of your
taxable accounts at a loss and reinvesting the money in a similar investment or
rebalancing, if needed. When reinvesting the funds, it's important to be aware
of the IRS wash-sale rule.”
Yawn!
Finally, about 14 paragraphs into the
guide, the had the courtesy to give us the first “For example”:
For example: Let’s say you
sell Investment A at a loss of $30,000, but later in the year you
sell Investment B for a $25,000 gain. Your losses from Investment A would
offset your entire gain from Investment B. That means you won't pay capital gains
taxes on the $25K gain from Investment B —and you'll have $5,000 in losses left
over. Under current tax rules, you can use up to $3,000 of that loss to offset
your ordinary income, and you'd be able to use the remaining $2,000 to offset
gains or income in future tax years.
Great example, but I bet most clients didn’t
make it that far. Introduce “for example” early and often into your client
meetings, presentations, blog posts and collateral materials. Your readers,
stakeholders, staff and followers will thank you and share you.
Conclusion
As humanitarian Albert Schweitzer famously said: "Example is not the
main thing in influencing others, it is the only thing." Tell me how
your firm is simplifying complex topics for your staff, clients and followers.
I’d love to hear more.
