Many business development strategies focus on tactics for prospecting and gaining new business from outside sources, but often neglect to stress the importance of maintaining and building your relationship with current clients. Keeping a strong and healthy relationship with your current base is particularly important in a recession when budget cuts and loss leader offers from competitive suppliers make your agency more vulnerable.
Another point to keep in mind is that when looking to gain new business, you should not forget that the low-hanging fruit if often already on your client list. A recent study for the CMO Council found that 92% of respondents did not feel they had maximized the potential of their current client list. So here are seven important steps you should take to build your relationship with your current clients.
Step #1 - Identify your most important clients to prioritize your efforts.
You have limited time and resources, so it is important for you to focus your efforts where they will be most valuable to your agency. As a general rule, your largest client(s) should head this list, but not always. A detailed cost accounting analysis may reveal that our number two or number three clients are more profitable based on work load requirements and the type/quality of work you do for them. You should also make an objective evaluation of the strength of your relationship and the potential for growth. You may find some surprising insights on where and how to focus your client nurture efforts.
Step #2 - Develop a marketing plan for each client.
How many times do we stress the importance of developing a plan to our clients but fail to write one for ourselves. Take the time to develop customized objectives and strategies for each client and share the responsibility by giving specific assignments to senior members of your organization. Strengthening and growing your current clients is too important a task to rely solely on lower level account managers to do the job.
Step #3 - Get visible at multiple layers of client management.
If your primary contact and exposure is limited to only one level of line management, you are much more exposed than if you have a working relationship at the EVP or C-level. Most budget directives and hire-fire decisions are top-down, not bottom-up. We all know this, but the lackadaisical approach many agency heads take to keeping a high top-of-mind awareness and appreciation with client senior executives never ceases to amaze me. Many times the direct client contact discourages multiple contacts, but this is something you must not allow to happen. Don't go over your direct contact's head without his knowledge, but find ways to get others involved or face the consequences.
Step #4 - Promote yourself to your clients to reinforce your value and ROI.
Don't assume that the client recognizes and acknowledges your value just because the program is working. Do you think the marketing director is giving your agency all the credit? You should regularly look for ways to promote the quality of your agency and how your programs are adding value to the client's business and marketing goals. In today's soft economy, a focus on how your work is helping your client weather the recession is a good place to start.
One strategy that is helpful to many agencies is to generate a regular flow of program analyses, competitive and category updates, relevant articles and white papers on current or future areas of interest for the company. I always encouraged my account managers to read and search industry publications and websites for articles to forward to the clients, and to regularly screen competitor websites for new items that the client may have missed. This simple act can often make your direct contact a hero in the organization by keeping him informed and demonstrates the commitment you have to their business.
I also recommend that agencies develop two versions of press releases -- one to distribute to the media and a second version for clients and friends. The clients and friends version can go beyond the "just the facts" approach desired by reporters to include more acknowledgment and praise for the agency.
Step #5 - Conduct a Client Satisfaction Survey to identify opportunity areas and uncover potential problem areas.
If you aren't asking your clients regularly and formally if you are meeting or exceeding their expectations, now is the time to begin that process. Client needs are constantly changing, and a formal survey provides a platform for the agency to make changes and recommendations to meet those needs. Take the opportunity to talk about the economy and ask if there is any more you can do to help them in these difficult economic circumstances. Become part of the solution to the recession in their mind, not part of the problem. This is also an excellent way to build your knowledge and relationship with multiple levels of client management.
In some cases, it may help to outsource the survey to an independent party in order to gain the most candid feedback. But even if you take that route, there is an opportunity for senior management to meet with the client to confirm what you heard and how you plan to respond to that information.
Step #6 - Take your client to lunch.
As simple as that sounds, I see too many agencies that fail to appreciate the value of face-to-face contact in building a professional and personal relationship. As business has evolved in our 24/7, on demand world, many business relationships have become too impersonal. While voice mail, e-mail and text messaging are certainly more time efficient, they can never replace the value of reading the client's body language and visceral reaction to a recommendation. And you should never forget that it is more difficult to fire a friend than a vendor.
Step #7 - Offer a steady stream of insights and recommendations on ways to grow their business or improve their profitability.
The need for proactive thought-leadership as a relationship tool cannot be stressed enough. Your agency must be seen as more than a vendor of ads to have a long-term client relationship.
An obvious area to explore is the fact that many clients are simply overwhelmed by the complexity and pace of change and need guidance on how to take advantage of new media alternatives and technology tools. But keep in mind that the ultimate need is not just how to effectively use email, blogs, podcasts, mobile marketing, viral marketing, pay-per-click, user-generated content, Twitter, etc., but how to mix them with traditional media to create the most impact.
Clients also need help in understanding how their target audience attitudes, needs and motivations are changing as they adapt to new economic and social conditions. The Internet doesn't just change how we communicate with each other. It is having a profound impact on our shopping and buying habits, as well as our understanding of the world around us and how we relate to each other. The more real insight and information you can provide the client for his unique business situation and needs, the better your chances to be seen as an invaluable asset to their business.
In a recent post, I referenced a study by Rain Today that found only 42% of clients said they were "very satisfied" with their marketing/advertising/PR agency. Only 42%! That means that over half are not satisfied and are vulnerable to leaving their agency. The time to act is now! Building a stronger relationship with your current clients may be your best chance to avoid becoming a casualty of the recession.
What do you think? Do you agree or disagree that building current client relationships is just as important, if not more so, than gaining new clients? I would love your feedback to this post.
Another point to keep in mind is that when looking to gain new business, you should not forget that the low-hanging fruit if often already on your client list. A recent study for the CMO Council found that 92% of respondents did not feel they had maximized the potential of their current client list. So here are seven important steps you should take to build your relationship with your current clients.
Step #1 - Identify your most important clients to prioritize your efforts.
You have limited time and resources, so it is important for you to focus your efforts where they will be most valuable to your agency. As a general rule, your largest client(s) should head this list, but not always. A detailed cost accounting analysis may reveal that our number two or number three clients are more profitable based on work load requirements and the type/quality of work you do for them. You should also make an objective evaluation of the strength of your relationship and the potential for growth. You may find some surprising insights on where and how to focus your client nurture efforts.
Step #2 - Develop a marketing plan for each client.
How many times do we stress the importance of developing a plan to our clients but fail to write one for ourselves. Take the time to develop customized objectives and strategies for each client and share the responsibility by giving specific assignments to senior members of your organization. Strengthening and growing your current clients is too important a task to rely solely on lower level account managers to do the job.
Step #3 - Get visible at multiple layers of client management.
If your primary contact and exposure is limited to only one level of line management, you are much more exposed than if you have a working relationship at the EVP or C-level. Most budget directives and hire-fire decisions are top-down, not bottom-up. We all know this, but the lackadaisical approach many agency heads take to keeping a high top-of-mind awareness and appreciation with client senior executives never ceases to amaze me. Many times the direct client contact discourages multiple contacts, but this is something you must not allow to happen. Don't go over your direct contact's head without his knowledge, but find ways to get others involved or face the consequences.
Step #4 - Promote yourself to your clients to reinforce your value and ROI.
Don't assume that the client recognizes and acknowledges your value just because the program is working. Do you think the marketing director is giving your agency all the credit? You should regularly look for ways to promote the quality of your agency and how your programs are adding value to the client's business and marketing goals. In today's soft economy, a focus on how your work is helping your client weather the recession is a good place to start.
One strategy that is helpful to many agencies is to generate a regular flow of program analyses, competitive and category updates, relevant articles and white papers on current or future areas of interest for the company. I always encouraged my account managers to read and search industry publications and websites for articles to forward to the clients, and to regularly screen competitor websites for new items that the client may have missed. This simple act can often make your direct contact a hero in the organization by keeping him informed and demonstrates the commitment you have to their business.
I also recommend that agencies develop two versions of press releases -- one to distribute to the media and a second version for clients and friends. The clients and friends version can go beyond the "just the facts" approach desired by reporters to include more acknowledgment and praise for the agency.
Step #5 - Conduct a Client Satisfaction Survey to identify opportunity areas and uncover potential problem areas.
If you aren't asking your clients regularly and formally if you are meeting or exceeding their expectations, now is the time to begin that process. Client needs are constantly changing, and a formal survey provides a platform for the agency to make changes and recommendations to meet those needs. Take the opportunity to talk about the economy and ask if there is any more you can do to help them in these difficult economic circumstances. Become part of the solution to the recession in their mind, not part of the problem. This is also an excellent way to build your knowledge and relationship with multiple levels of client management.
In some cases, it may help to outsource the survey to an independent party in order to gain the most candid feedback. But even if you take that route, there is an opportunity for senior management to meet with the client to confirm what you heard and how you plan to respond to that information.
Step #6 - Take your client to lunch.
As simple as that sounds, I see too many agencies that fail to appreciate the value of face-to-face contact in building a professional and personal relationship. As business has evolved in our 24/7, on demand world, many business relationships have become too impersonal. While voice mail, e-mail and text messaging are certainly more time efficient, they can never replace the value of reading the client's body language and visceral reaction to a recommendation. And you should never forget that it is more difficult to fire a friend than a vendor.
Step #7 - Offer a steady stream of insights and recommendations on ways to grow their business or improve their profitability.
The need for proactive thought-leadership as a relationship tool cannot be stressed enough. Your agency must be seen as more than a vendor of ads to have a long-term client relationship.
An obvious area to explore is the fact that many clients are simply overwhelmed by the complexity and pace of change and need guidance on how to take advantage of new media alternatives and technology tools. But keep in mind that the ultimate need is not just how to effectively use email, blogs, podcasts, mobile marketing, viral marketing, pay-per-click, user-generated content, Twitter, etc., but how to mix them with traditional media to create the most impact.
Clients also need help in understanding how their target audience attitudes, needs and motivations are changing as they adapt to new economic and social conditions. The Internet doesn't just change how we communicate with each other. It is having a profound impact on our shopping and buying habits, as well as our understanding of the world around us and how we relate to each other. The more real insight and information you can provide the client for his unique business situation and needs, the better your chances to be seen as an invaluable asset to their business.
In a recent post, I referenced a study by Rain Today that found only 42% of clients said they were "very satisfied" with their marketing/advertising/PR agency. Only 42%! That means that over half are not satisfied and are vulnerable to leaving their agency. The time to act is now! Building a stronger relationship with your current clients may be your best chance to avoid becoming a casualty of the recession.
What do you think? Do you agree or disagree that building current client relationships is just as important, if not more so, than gaining new clients? I would love your feedback to this post.
