These are the five stages of grief a PR agency (or any business for that matter) goes through when a good client takes their business to a competitor. Each of the five stages were detailed in a recent post in which I promised a follow-up with a few ideas on how an agency can beef up its existing client retention program (you have one, right?).
The problem some agencies and other organizations have is this: a short memory. What often happens once the initial jolt and after shocks of losing a good client subside and everyone gets back to business, or perhaps even begins work on behalf of a “replacement” client, is that they revert to some of the same bad habits that got them in trouble in the first place, like ignoring the obvious signs of a failing business relationship.
While many of the keys to client retention in the “new normal” are second nature to many organizations and are seamlessly rolled into how they conduct business on a day-to-day basis — like proactively managing and measuring client expectations, the overall health of the relationship and the value that is being delivered while saying “no” to non-aligned business — there are above the rim ideas that can help lock in a client for life.
For example, how about setting a new standard for quality performance? Name it whatever you want (TQM = total quality commitment?). Pull your senior client-facing managers together once a month for a couple of hours to probe and to get to the root of client issues and problem areas. Don’t talk about staffing or utilization or new business at this meeting. Just focus on the organization’s top clients and use the time to share best practices. Chances are you or one of your peers is facing a client relations issue another had already experienced and successfully resolved. It’s amazing how many important war and success stories aren’t shared in real-time due to the hustle and bustle of the average work day in a typical agency. Set time aside for this.
Secondly, consider retaining an independent auditor — someone familiar enough with your business to add real value — to call on your clients a couple of times a year to nip little problems in the bud. Quarterly reviews and a relationship management tool like the balanced scorecard can take care of the bigger business issues. But a five or ten minute call or email questionnaire every six months from an independent professional will solicit from clients the type of complaints they might not normally share with their account team.
And how about a customer advisory board? A board can be challenging to assemble (and a bit tricky regarding which clients to leave in and which to leave out) but can be well worth the effort. A customer advisory board can accomplish a few critical goals as part of a broader customer retention program:
- the board should be composed of execs from your biggest customers (customers who deliver the lion’s share of your organization’s revenue). Even if they don’t want to commit the time, any client will be flattered you asked and just by doing that you have deepened your relationship with them.
- board members can provide your organization with early warning shifts in their needs as well as emerging opportunities and feedback on new services your firm is providing (or should be providing). And for board members, membership gives them an opportunity to share best practices, network and build new relationships with other executives in and outside of their industry.
- By following through on customer advisory board recommendations, you’re ensuring client satisfaction, building customer loyalty and reducing attrition among your biggest revenue generators.
I’m always on the watch for innovations in customer retention programs so holler back.