The Client Feedback Loop

Asking is good. Telling people about it is better.

Gathering client feedback increases loyalty. So when you gather feedback, make sure your clients know you are asking for it. You can even get some benefits from letting your prospects know.

When you do a client survey, all your clients will know about that. If you assemble a client advisory board, you can benefit from promoting that fact. Many advisors have told me that their clients and prospects are impressed when they hear about the advisory board.

Acting on feedback will push your clients closer to being engaged. The first step is to publish the results of the feedback you received. I am not recommending you actually distribute the full report of the survey – for many financial professionals that's probably against compliance regulations anyway. You can however, promote selected results. "When surveyed, our clients tell us that we consistently respond to their questions faster than they expect."

You might consider publishing a surprising result as well. "On our recent survey, you collectively gave our company newsletter a three on a scale of five. We will be looking into how we can improve it."

Include some of the results in your marketing. "We provide excellent customer service" will not differentiate you from any other advisor. Saying "when surveyed, our clients indicate that 85% of phone calls are returned within one business day" can.

Similarly, promote feedback from your client advisory board. Since only a few select clients can participate in the board at any one time, you may wish to have a communication plan in place to publicize the feedback. You can include a description of the issues discussed at the board in your company newsletters, e-mails, or posts to your website.

Indicate what you plan to do in response to the board's recommendations. Even more important, publicize the changes you make once they are in place. Changes to your office procedures, how you interact with clients, your marketing, or client events organized based on the request of the advisory board are all powerful ways to communicate that you are listening and willing to make changes to improve your clients’ experience.

The study Anatomy Of A Referral revealed that 74% of engaged clients report that they were asked for feedback, and 72% believed their feedback was important to the advisor. Communicate the feedback you received, what actions you took in response to them, and you can help get more of your clients to that coveted engaged status.