Client Retention

Increasing Customer Loyalty

If we don’t take care of our customers, someone else will. - Anonymous

Our greatest asset is the customer! Treat each customer as if they are the only one! - Laurice Leitao

Customers are an investment. Maximize your return. -PeopleSoft Ad

You’ve probably heard this a thousand times, but it’s worth repeating: It would cost you more money in marketing to attain new clients than it would to retain the clients you currently have. Each and every client on your rooster represents an income stream that you wouldn’t want to loose. In fact, increasing customer loyalty could help increase that income stream as your clients come to you for more and more of your valuable services. But that won’t happen if you don’t practice a few simple rules of client engagement. Here are five tips in increasing customer loyalty in order to retain your current client base:

1. Improve their performance.
Peter Drucker once said, “Quality in a service or product is not what you put into it. It is what the client or customer gets out of it.” If you’re able to improve a client’s performance, you become a valuable asset within their business plan. This is one way to ensure client retention because when you improve their performance, especially if the client is a small business owner, you increase their profitability.

2. Reduce their costs.
This is a great benefit in being a tax preparer; if you encourage clients to have you perform tax planning services, you can save them a considerable amount of money in taxes. However, you must tell them that in order to save them the most money you need to work with them throughout the year and not just a few months before the filing deadline; you can’t save them much money after the tax year has ended. But you can help them maximize their tax benefits as you consult with them year-round. Once a client recognizes how much money you’ve saved them, you’ve increased your value, and thus, increased customer loyalty.

3. Provide good customer service.
This is the good ole standby. You won’t inspire much loyalty if you don’t treat each and every client with the utmost respect: return correspondence in a timely manner, respond to questions and concerns quickly, be courteous, and attend to their needs.

4. Maintain regular contact.
Clients will think better of you if you maintain regular contact. When you don’t contact your clients often they may see that as a lack of interest or concern on your part. Regular contact can be accomplished a number of ways; regular emails, phone calls, e-newsletters or regular mailers, or even a frequently updated blog. Regardless of the method you choose, your attempts to contact clients on a regular basis will help them feel valued which is a great way to increase client loyalty.

5. Encourage feedback.
Often your best ideas will come from your clients. Remember that you’re trying to service their needs; they’re the best ones to tell you how to accomplish that. It’s best if you can devise a means for them to make suggestions whenever they feel so inclined. One way to accomplish this is by establishing an open and non-threatening relationship; when this is in place your clients will always feel comfortable giving you the feedback you need. You can also have them complete a survey or answer a short questionnaire.

Your clients are your most valuable resource. To retain them, you must constantly be nurturing that all important relationship. When you don’t, you’ll quickly find that they’ll look to another tax preparer to fulfill their needs. And loosing clients is costly.

References
“Improving Customer Loyalty.” Bnet.com