Walnut Creek, CA — While most financial advisors admit they don't have as much contact with their clients as they should, they also don't realize the statistical significance. According to an article in Harvard Business Review:
"Every minute you spend with existing clients is worth 500% more than time you devote to acquiring new clients."
"Raising customer retention rates by only 5% increases sales by 25-85%."
And Tiburon Strategic Advisors offers this graphic summary:
Many financial professionals desiring to grow their business pursue marketing to strangers while the facts indicate that time is best focused on contact with existing clients. For advisors who lack time to increase client contact, FAcontact (www.facontact.com)
FAcontact will contact the advisor's clients by phone once every three months and by personalized direct mail once every 3 months. The phone calls are designed to insure that the advisor knows of any client desires early, knows of opportunities for additional business, and knows of pending life changes. The calls also cement the client relationship with systematic contact and brings the advisor a significant increase in referrals.
Advisors may also supplement the high-touch program offered by FAcontact with a monthly email newsletter specifically designed to have the client contact the advisor. The 8 annual contacts using FAcontact plus the 12 annual email newsletters from Javelin marketing result in 20 "touches" per year.
Now, time-starved advisors have no excuse not to keep in regular contact with their clients.
