What’s Most Important for Client Retention?
Client loyalty is getting harder than ever to achieve. Clients are bombarded with options when it comes to financial advice and they know they can switch to another advisor in the blink of an eye if they are dissatisfied. So it’s essential to understand how to ensure your clients remain loyal and stick with you for the long term.
Clients have two sets of expectations
Clients expect their investments to work – but just as importantly they expect you to care. They expect good performance as a bare minimum. They expect their investment plan to deliver what was agreed – whether it’s to get the kids through college or pay out sufficiently when they retire.
But over and above this they want to be taken on an exceptional customer journey. They don’t want to sign up with you and from then on simply receive cursory attention. They require a consistently high level of personalized attention from you over the long term.
Concentrate on delivering first class client service
If you want to improve client satisfaction, get more referrals and reduce client churn make sure your superior service gives you a competitive advantage.
To increase loyalty and gain advocates focus on maximizing the ‘whole’ customer experience. It’s not enough to focus on individual interactions. Look at the big picture instead. The entire journey needs to be consistently and exceptionally well serviced across all touch points. Focus on the entire experience and you will alleviate the lack of client loyalty.
Differentiate yourself from others by giving your clients a uniquely superior experience. They will soon come to recognize that they may not get this level of service elsewhere. Make sure your service is so good it goes viral.
Price is not the real reason clients leave
Price is not the reason clients fire their advisors – it’s overall poor client service. They move on because they are seeking a higher quality of service rather than lower prices. So forget cutting prices and focus on giving clients a more personalized service. Segment your client base and give a different targeted service to each sector.
Clients aren’t generally looking for information either; they don’t want or require a ton of complicated data regarding the numbers. Instead, they are looking for someone they can trust. It can’t be reiterated enough: Clients need to like you and trust you. So be likeable, and take the time to understand and empathize with your clients.
Become an A1 communicator
If you don’t establish a strong personal rapport with your clients, you are setting yourself up for failure. Listen to your clients, and take the time to learn each and every client’s needs and wants so you can develop a tailored solution. Be a world-class communicator. Simplify their lives and tell them how you are going to achieve their goals. Make what’s difficult easy to understand and use storytelling.
Have an unrelenting focus on your clients and their goals as you walk them through the financial minefield ahead. And always respond promptly to clients. This is an essential. How quickly you respond is often as important as what you say.
Play a part in your clients’ lives
Take an active role in your clients’ lives whether it’s helping them buy a new car or attending their children’s’ graduations. Be a networker. Become friends with your clients. Lots of people fire their Advisors. Nobody fires their friends.
Survey your clients to find out if they’re satisfied or dissatisfied. Use short questions and make it easy for them to answer. Then use the feedback to improve your business. Ask them how they feel they’re being treated. Don’t worry about the negatives – their pain-points are positive for you since they tell you what you need to do to improve the relationship.
Anticipate your clients’ needs and emphasize that you genuinely care about them. Reinforce that you are seeking a long-term approach. Clients are naturally concerned about performance but poor short-term performance can be mitigated by initiating and maintaining a good flow of communication.
Offering great client service is something you can do whether you’re just starting out or you’ve been in the business for ever – and it’s the one sure-fire way to ensure you build a strong and loyal client base.