Why is client feedback important? Client feedback is linked to client engagement, says Julie Littlechild, CEO of Advisor Impact Inc. in Toronto. And that, in turn, is leads to growth.
There are various ways to ask your clients for comments about your services. A structured process can result in measurable data that you can use to build improvements into your practice. Your ultimate goal is better client service, more engaged clients and more referrals.
Littlechild offers the flowing advice to help you develop an effective client-feedback program:
> Create a feedback system
It’s human nature to want to ask for people’s thoughts when things are going well, says Littlechild. But hearing how much your client appreciates your services after his or her equity portfolio made big gains will not provide you with the information you need to continually improve your practice.
So, she says, choose a specific time of year when you can ask questions of your clients, regardless of market movements.
By asking the same questions, you can find out whether that feedback produces overall themes you should pay attention to. For example, if 85% of your clients say your quarterly newsletters are not useful, you know that is an area to look at.
> Choose a method of information gathering
You can gather client feedback orally or in writing. If you prefer to gather feedback through direct conversations, take some time at the end of client meetings to informally ask: “Is there anything we can do differently?”
For an interview that is more structured but still conversational, ask more specific questions about the services you provide.
A growing number of advisors are using of client advisory boards, Littlechild says. Advisory boards allow you to have a group of clients, chosen by you, provide more qualitative feedback in a formal setting.
You can also ask your clients to fill out an online survey. You can have a professional service write your survey questions. Or you can build it yourself using an online service, such as SurveyMonkey.
In your survey, use closed-ended questions, which tend to be easier to analyze. So, instead of asking clients to share their thoughts regarding certain aspects of your practice, ask them to rate your services on a scale of one to five, or stick with questions that would produce “yes” or “no” responses.
> Use broad survey cycles
Littlechild recommends leaving 18 to 24 months between your client-survey periods.
This gap gives you time to survey your clients and analyze the results, while giving your clients time to respond, with a break before your next survey period begins.
You may decide to make exceptions if you have a new client. Feedback could be particularly important early in that relationship, Littlechild says, because you will want to make sure everything is going well. Send a brief survey to your new client, asking if the transition has been positive and if there is anything else you can do to help him or her. This survey should occur two or three months into the relationship.
Says Littlechild: “You are demonstrating commitment right away, and are also flagging any potential problems.”
This is the first instalment in a two-part series on client feedback. Next: What to ask.