Marketing Strategies for Tax Advisors: A Practical Guide to Help Grow Your Tax Practice

This guide is designed to help your tax practice build a marketing strategy around high-value clients, positioning your firm to meet the market’s demand for tailored tax advice. At Harness, our platform empowers tax advisors who serve business owners, employee equity holders, investors, and other individuals with complex tax strategy needs.

Free Planning Tool: Download this 1-page worksheet to leverage the 5 Ps of marketing to help outline your tax practice’s ideal client.

Table of Contents:

1. Tax Advisor Marketing 101: Introducing the 5 Ps
2. Identifying Your Ideal Tax Client
3. Breaking Down the 5 Ps of Marketing for Tax Advisors
4. Putting it All Together: Building Your Tax Firm’s Brand
5. Important Marketing Factors to Consider for Tax Practices
6. How Harness Helps You Grow

Tax Advisor Marketing: Introducing the 5 Ps

If you asked 10 tax advisors what marketing is, you might get 10 different answers. Marketing can be complex, and it can be difficult to know where to start.

For many, marketing is associated with running ads or sending mailers. But good marketing is far more than your tax firm’s promotions alone. At the end of the day, marketing is about influencing your audience—attracting them, satisfying them, and retaining them as tax clients.

To help you market your tax practice, we’ve put together this practical guide based on the “5 Ps of Marketing.”

• Product: Your product is more than tax advice, it’s the entire intangible experience you offer.
• Price: Your prices should reflect the value you provide your target audience.
• Place: Your distribution channels (online or in-person) need to align with your target audience’s needs and desires.
• Promotion: The client acquisition channels you use need to reach your target audience and make sense economically (these may or may not be paid advertising).
• People: You, your staff, and anyone else representing your business are fundamental aspects of how your target audience views your tax firm.

By using the 5 Ps of marketing as a framework, tax professionals can effectively attract and retain the clientele they desire.

Before we dive into the 5 Ps, let’s start with one of the most important details that will guide your firm’s marketing strategy: Your ideal tax client.

Identifying Your Ideal Tax Client

Before diving into the 5 Ps, it’s crucial to define who your target audience is. Identifying your ideal tax client will guide how you communicate, the services you provide, your pricing, and more.

Understanding your audience’s demographics, financial goals, challenges, and the level of service they expect is the first step in crafting an effective marketing strategy. Knowing whether your clients prefer more personal interaction or digital convenience, or if they value certain types of expertise will guide your decisions across all 5 Ps.

As you look to attract and retain high-value clients with complex financial situations, narrowing your expertise or niche may actually help grow your practice as it allows you to focus your time and energy on serving one specific type of client. As you market your firm and provide tax services, serving a defined type of client creates efficiencies across your practice. A narrow focus may also help generate referrals as your clients begin to recognize you for the specific solutions you solve for them.

Steps to Identifying Your Ideal Tax Client

1. Define your expertise. Start by assessing your firm’s skills, experiences, and interests in the field of tax advisory. Whether you’re a solo tax advisor or at a firm with dozens of tax advisors, consider what your tax practice is best at (and what you enjoy doing).
2. Identify your current best clients. Look at your existing clients to identify which clients are the most profitable, which ones you enjoy working with the most, and which ones use your full range of services.
3. Create ideal client personas. Develop detailed client personas based on your best clients. Include demographic information, financial goals, challenges, personal values, and behaviors. For instance, your ideal client persona might be a high-net-worth individual working in tech with complex tax situations around stock options. Having only one or two personas helps focus your firm’s efforts.
4. Size your market. Analyze the region you conduct business in, whether that is the entire United States or a local area. Attempt to estimate how many potential clients are in your ideal persona(s).
5. Adjust as needed each year. As you grow in your career and expand services, or as clients evolve, consider adjustments to your ideal client persona(s). Shifting focus too often can be distracting, but making calculated adjustments in the type of clients you wish to attract can help your firm grow over time.

Ideal Client Segmentation Exercise

Use the table below to review various types of potential clients. From career and life stage to industry type, there are numerous ways you can segment client personas to help you identify your ideal tax client.

Breaking Down the 5 Ps of Marketing for Tax Advisors

To create a comprehensive marketing plan, review each of the 5 Ps below and document a strategy on how your tax firm will attract and retain clients.

Product: It’s More Than Tax Advice

In high-value tax advisory, your “product” is not merely the tax return services provided. Your product is the comprehensive experience and expertise you offer. It starts with how you treat, and engage with, your clients and includes personalized tax planning, the ability to handle complicated tax situations, ongoing advice throughout the year, and proactive strategies to help minimize liabilities and aim to maximize wealth preservation.

Your product development should focus on creating a service that feels bespoke and highly personal, using the right mix of digital and human touchpoints to provide your services. Depending on the needs of your ideal clients, this could include offering regular updates on tax law changes, personalized check-ins, or workshops on tax and financial planning. These elements enhance the perceived value of your service, making it much more than just a commodity.

Price: Charging for Value

Your tax practice’s pricing strategy should reflect the premium service level expected by the high-value clients you serve. Unlike basic tax preparation services that might compete on price, high-end tax advisors can command a premium based on the value delivered through specialized expertise and personalized services. Consider having a minimum retainer that clearly represents the value of your annual services to clients. Your prices will attract certain types of clients, so set them strategically.

Your pricing should also consider the complexity of client needs. Tiered retainer or per-service pricing models can be effective, allowing you to offer different levels of service at different price points. For example, CPAs and tax attorneys may offer retainer services ranging from around $1,500 to $10,000 or more per year, depending on client needs. This allows clients to choose how extensive they want your involvement to be, which can be particularly attractive to newer clients who might scale up services as their needs grow.

Place: Optimizing Distribution Channels

Your tax firm’s “Place” in marketing is its distribution channels—how and where your clients engage with your services. For high-value clients, consider the balance between online platforms and in-person meetings. While many clients appreciate the convenience of digital tools for document management and communication, the personal touch of face-to-face meetings or personalized phone calls often plays a critical role in establishing trust and understanding. It all depends on what you and your ideal client prefer.

Keep in mind that how you serve clients—in-person or digitally—impacts your tax firm’s efficiency as well. A “100% digital” tax firm will likely be able to serve more clients than a “100% in-person” tax firm due to operational efficiencies. Additionally, the usability of your website and your presence on financial advisory platforms can also influence how accessible your services are to potential clients. Ensure that every point of contact is easy to use and reflects the high-quality, tailored approach of your services.

Promotion: Effective Tax Client Acquisition Channels

Promotion involves deciding how to communicate and advertise your tax services to your potential clients. Simply running local or digital advertisements without a strategy is an easy way to waste money. Your tax firm’s promotions need to be placed where your ideal clients are active. Effective marketing channels for reaching high-value clients may include:

• Content marketing, such as publishing articles or white papers on complex tax issues, showcases your knowledge and can attract clients looking for deep expertise. The content can be hosted on your website, but you can promote it in multiple ways, including on social media, mentioning it at events, sending it in client emails, or even partnering with other websites looking for guest authors. For example, at Harness we feature case studies and articles from tax advisors with expertise in serving startup founders, business owners, and investors.
• Digital marketing, including website SEO (Search Engine Optimization), social media, and highly targeted online advertisements, can also be effective when carefully implemented. Using video on your digital channels can also be an effective way to communicate and show the personal side of your tax firm. Finding an advertising agency that specializes in this type of marketing can help to avoid wasted advertising spend on channels where your clients are not active.
• Referral programs with other financial professionals, such as financial planners, attorneys, and investment advisors, can be particularly effective, as recommendations in this space are highly regarded.
• Joining digital marketplaces for high-end tax clients can help you acquire new clients already looking for comprehensive and/or complex tax services that you offer.
• Networking events and industry conferences can allow for personal engagement and demonstrate your expertise. Research the events your ideal tax clients attend, for example, conferences for small business owners or startup founders.
• Starting an email newsletter is an aspect of content marketing but one worth calling out, as it can help generate client leads and maintain relationships over time.

People: The Core of Your Business

The “people” aspect of your marketing refers to everyone who interacts with your clients—from the front desk staff to the tax professionals and even any staff from third-party partners that may have contact with your clients. Each interaction should reinforce the high standards and personalized service your firm strives to provide. This includes training your staff not only in customer service but also in understanding the specific needs and concerns of high-value clients.

Building a team that shares your commitment can significantly enhance client retention and referrals. Your team’s expertise and how they communicate that expertise are often as important as the advice itself. Be strategic when building your team and think through whether you need to hire CPAs or Tax Assistants to serve clients. Additionally, think carefully and honestly about your own strengths and weaknesses and hire individuals who fill in gaps where you may be weak.

Putting it All Together: Building Your Tax Firm’s Brand

After you review the 5 Ps of marketing and begin to document your strategy, your tax practice’s brand will begin to take shape. Your brand is the culmination of everything your firm does and how your prospective and current clients experience your firm. It sounds abstract but clearly documenting the 5 Ps of marketing for your firm will help you shape the brand experience you are creating for high-value clients. 

Use our free marketing strategy 1-page worksheet to help document your tax practice’s ideal client and the 5 Ps of marketing.

Important Marketing Factors to Consider for Tax Practices

When mapping out your marketing plan, consider how seasonality, competition, and technology impact your tax practice’s strategy.

Seasonality

For tax advisors, marketing can often take a backseat once the busy season ends. However, it’s crucial to focus on building and marketing your firm year-round throughout the off-season. This is an opportune time to engage with potential clients who may be evaluating their current tax planning strategies and considering changes for the upcoming year. Marketing efforts during the off-season can emphasize the benefits of proactive planning and comprehensive tax strategies. For example, the Harness marketplace can provide you with introductions to clients with complex needs year-round.

Competition

Tax advisory is a competitive field. Clients expect not only expertise in tax matters but also a seamless, personalized service that caters to their larger financial lives. Your tax firm can gain a competitive advantage by building a network of other trusted advisors, such as financial planners and legal experts. This network ensures that all the client’s needs are met efficiently under one umbrella, enhancing client satisfaction and retention.

Technology 

Incorporating modern technology into your practice can significantly enhance the client service experience, the product offerings, and your marketing capabilities. Effective use of technology, such as automated tasks, secure client portals, and marketing automation, can improve the efficiency of your services. This not only boosts your firm’s productivity but also enhances the client’s experience by providing them with easy, personalized, and interactive services. 

How Harness Helps You Grow

At Harness, we go beyond simply providing tax practice management software, enabling your firm to meet new clients, serve clients with our in-house concierge team, and connect your clients to additional wealth management experts.

Curated Client Leads

As you look to grow your tax practice, Harness can potentially pair your firm with high-value tax clients whose needs align with your areas of expertise. Our marketplace provides you with warm introductions to clients with complex tax needs who are seeking personalized tax advice for themselves and their businesses. (Case study: See how a solo advisor leveraged the Harness marketplace to gain 140 clients in a year.)

Concierge Support

Our Concierge team helps introduce you to potential clients from the marketplace, onboard new clients, and supports you with client renewals. The Harness Concierge team serves as an extension of your people, providing first-class service to your clients.

Time-saving Tech

Not only does our technology provide tax practice management software solutions to manage the internal operations of your firm, but we also provide client-facing tools to make their lives easier. The Harness Client Portal offers simple and secure completion of tax intake questionnaires and uploading of client tax documents, making it easy for you and your clients to collaborate. Plus, all of your tax engagements are organized in one easy-to-use dashboard.

Community of Tax and Wealth Advisors

To help your firm grow, you can leverage the Harness community for client referrals by gaining access to a network where advisors tap into each other’s expertise to serve their clients best. Additionally, the community provides continuing education, a practice coach, and a group of like-minded peers to answer tax questions.

Ready to Grow Your Tax Firm?

Schedule an intro with Harness today to see how our modern software, in-house concierge team, curated high-value client introductions, and professional community can support your tax practice.

Tax related services provided through Harness Tax LLC. Harness Tax LLC is affiliated with Harness Wealth Advisers LLC, collectively referred to as “Harness”. Harness Wealth Advisers LLC is a paid promoter, internet registered investment adviser. This article should not be considered tax or legal advice and is provided for informational purposes only. Please consult a tax and/or legal professional for advice specific to your individual circumstances.