Thoughts on Client Retention: Can’t Strangle ‘Em, Can’t Let ‘Em Go

Client retention strategies – the underlying current at any sales-centric organization. After all, it’s easier (and less expensive) to further cultivate an existing client than it is to acquire a new one. But honing client retention strategies is a tough cookie. Like I said in the title, you can’t strangle them and you can’t just let them walk out the door. So where’s the happy medium in the whole “keep the client” scheme?

It really doesn’t matter if you’re a single-person LLC or a multi-million dollar corporation. There are essential evaluation criteria that sound go into any client retention plan you decide to implement:

• Communication
• Conversion (to additional services)
• Client preference

Since we can’t hold out customers hostage, let’s explore what these three things mean for our get a client/keep a client goals.

Communication

It’s not just about staying in touch with a client – it’s about having a reason to do so. If the only time a client hears from you is for the next sales pitch, how excited do you think they’re going to truly be to hear from you? Establishing a client retention communications strategy is imperative and in my opinion, your best advice will come from your most successful sales staff AND clients. Don’t be afraid of asking your clients WHEN they want to hear from you and why and then cull the same information from your top sales staff or sales professionals you know in your network.

Conversion

The goal of any client retention strategy is to keep your revenue stream flowing. Many times this is a result of new products and services and deepening your existing clients’ level of engagement. When you hone all of the efforts that will go into your client retention strategy, assessing a client’s potential for engaging deeper should be a key criteria. However, something that’s often overlooked (in my opinion) is that client’s ability to refer new business. While they may be a single product account, they may have an alliance with the potential to become a new account or multi-product client. Think about that.

Client Preference

It’s how we want to be reached – and we have to understand our clients have the same preferences. Maybe they have email but never check it. Maybe they’re “that guy” who never checks his voicemails but he’ll fire off an email response in 2.5 milliseconds. If you ask your clients this question once, you’ll likely never have to ask it again. Never assume they communicate the same way you do.

Posted by: John Cushman on July 22nd, 2010 // View Comments
Posted in: News
Tags: Client Rentention, Leadership, Management
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