Learn how to position your TPA expertise around the business outcomes that recordkeepers tend to value most and make it easier for them to recognize when your firm is the right fit.
Quick takeaways
In Part I of this series, I discussed how TPAs can communicate their value to financial professionals by linking their expertise to the outcomes that matter most to both them and their clients. Let’s now discuss recordkeepers, as they often view value through a different lens.
TPAs typically invest significant time in building relationships with financial professionals and clients yet underestimate the influence recordkeepers can have on business opportunities. Recordkeepers often sit at the center of relationships with financial professionals and plan sponsors. They play an important role in helping financial professionals evaluate TPA service models and which fit a client’s needs. When TPAs clearly connect their capabilities to recordkeeper priorities, they may be better positioned for referrals, introductions, and future growth opportunities.
For recordkeepers, growth remains a top priority. According to Cerulli, more than half of recordkeepers view plans with $1 million to $25 million in assets as a major opportunity over the next two years.
Understanding these priorities provides important context for your partnership discussions. The better you understand how recordkeepers define success, the easier it becomes for them to identify opportunities where your expertise can contribute. TPAs that fail to make those connections may be overlooked in favor of other firms whose value is easier to understand.
TPAs and recordkeepers may serve different functions, but they work toward similar outcomes. When discussing your capabilities, connect them directly to recordkeeper priorities.
For example:
- Advanced plan design strategies can help recordkeepers differentiate themselves in competitive sales opportunities and support business growth.
- Proactive compliance guidance can help protect client relationships by addressing issues before they become costly corrections.
- TPA expertise can help improve operational efficiency through process improvements that enhance service delivery for plan sponsors and participants.
When positioned this way, your capabilities become more clearly connected to the outcomes recordkeepers care most about: winning business, retaining clients, and delivering strong service experiences
Because recordkeepers often work with multiple TPAs, clear positioning helps them quickly recognize when your firm is a good fit for a client's needs.
If a recordkeeper had to describe your firm to a prospective client in two minutes, what would they say? The strongest positioning is often clear enough to answer three questions:
- What types of plans do you serve best?
- What problems do you solve particularly well?
- What makes your approach different from other TPAs?
The easier it is for them to explain how your firm adds value, the more confident they may be in introducing your organization to prospective clients.
Specific examples are often more memorable than a list of services. Sharing stories that illustrate your firm's specialized expertise, ideal client profile, or unique approach can help recordkeepers quickly understand what differentiates your organization and when to introduce you to prospective clients.
Education can be an effective way to strengthen relationships with recordkeepers by contributing insights beyond day-to-day plan administration. When TPAs share timely perspectives on industry developments, they can support the recordkeeper's efforts to attract new business, deepen client relationships, and demonstrate ongoing value.
For example, TPAs can partner with recordkeepers on webinars, client events, or educational sessions that address emerging retirement plan topics. These can include discussions about participant personalization, participant analytics, or changes to engagement strategies, which can help plan sponsors better understand industry trends and evaluate new opportunities for their plans. These educational efforts allow recordkeepers to bring timely insights to clients while benefiting from the TPA's specialized expertise.
By contributing thought leadership and practical guidance, TPAs help create a stronger overall client experience. This collaborative approach positions both organizations as trusted resources and demonstrates how the partnership can support client success.
Technical expertise can be one of the most valuable assets a TPA brings to a recordkeeper relationship. Regulatory requirements, plan design strategies, and participant expectations continue to change. Staying current helps TPAs provide informed guidance, address complex challenges, and seek to support better outcomes for plan sponsors and their participants.
Professional designations such as NIPA
By consistently investing in professional development and industry knowledge, TPAs can reinforce the value they bring to the partnership and showcase their ability to contribute beyond routine plan administration.
The strongest partnerships often come from understanding how recordkeepers operate behind the scenes.
Recordkeepers manage complex systems, service teams, plan compliance requirements, conversion projects, and ongoing plan administration across thousands of clients. Decisions are often influenced by operational considerations such as service scalability, workflow efficiency, technology capabilities, and the ability to deliver a consistent client experience.
Taking time to understand how a recordkeeper's business operates can help you become a more effective partner. For example, understanding their onboarding process, service structure, escalation procedures, and technology environment may help you identify ways to reduce friction, improve coordination, and resolve issues more efficiently.
This broader operational perspective can also help you adapt your approach to better align with how the recordkeeper serves clients. When you understand the realities of their day-to-day business, you're often better positioned to contribute ideas, anticipate challenges, and strengthen the overall relationship.
What's next?
Recordkeepers often look beyond administrative support when evaluating partnerships. They want partners who can help them win business, retain clients, and deliver stronger retirement plan experiences. By clearly connecting your expertise to those priorities, you can help recordkeepers recognize where your firm is the right fit, which may lead to stronger referral relationships, more business opportunities, and growth for your business. Want to strengthen your relationships with recordkeeper partners and uncover new growth opportunities? Contact your TPA distribution director or local Principal® representative to discuss strategies for positioning your capabilities around the business outcomes that recordkeepers value most.
Contact your TPA distribution director (PDF) or local Principal representative today.