Ray Henderson says clients need to know when it’s happening.
If I were to ask you the question,“Do you have a consistent client review process?” I’m sure most of you would say yes – and that most of your peers do as well. However, the 40,000-plus Australian clients who have completed our CATScan client survey make some interesting comments when it comes to the client review process.
Broadly speaking, their comments fall into three categories:
1.“What review process?!”
Although most advisers would say they have a consistent process, there are a disproportionate number of clients who don’t recognise that there is one. Why is this case? We’ll address this question later.
2. “Is that when my investment returns are discussed?”
We hear some concern/frustration at times from clients that mainly what they get is a statement and discussion on the returns for the last period of time, and the strategy for the next period of time. Some are crying out for a lot more.
3. “I’m very happy, my adviser is not only interested in my investments and risk cover but is also genuinely interested in my life and objectives for the future.”
While some clients make this sort of comment, unfortunately the first two comments are far too common. So what do we need to do to make sure our clients fall into category three?
In simple terms, based on the client feedback we have received, there are some basic principles and practices, which should improve client satisfaction in this important area.
• Document your process and make sure it is followed by all advisers in your business. Write it down and make sure it becomes a process that everyone follows. Where there has been a change of adviser, clients often comment negatively about the change. This is because one adviser handles the relationship and review process differently from another. Clients are looking for consistency within the business. The adviser may change, but if the process is consistent, client satisfaction is generally higher.
• Once documented, clearly communicate your process to your clients on a regular basis.
This can be done verbally and in writing. Constantly reinforce that, whatever may happen, your consistent process will ensure you stay across any changing circumstances and objectives and your clients will continue to receive excellent service.
• Use an agenda for each meeting. Many advisers already do this, but it is often limited to topics about investments or insurance. Make sure that the agenda includes items related to changes in personal/business circumstances, family issues, objectives and aspirations et cetera. I can hear some of you saying that “we already do this”, but remember many clients don’t recognise it. This isn’t our idea – it’s what clients say they are looking for.
• Send the draft agenda to the client well before the meeting. By doing this you can say: “Here are the things I would like to discuss with you during our upcoming meeting; is there anything you would like to add?”
And, if you go to the trouble of doing this, make sure you follow the agenda in the meeting; and ensure a follow-up is sent after the meeting outlining all of the actions decided in line with the agenda discussion.
By implementing a consistent review process with an appropriate agenda, a more consistent and professional service is provided to clients. And while the benefits of this approach apply to the client predominantly, it will also assist all of the staff involved (including the primary adviser).
The process is not just about the clients’ investments or risk products (although this is obviously a key part) but also any changes in your clients’ lives and their aspirations for the future.
Oh, by the way (back to question 1), the reason clients say “what review?!” is generally that it’s not communicated and it’s not consistent.
What would your clients say about your review process?
Ray Henderson is a partner and director of Business Health – www.businesshealth.com
