Making More From Your Existing Clients
In “Mastering Client Retention & Growth in Your Agency,” Karl Heasman, an accomplished agency mentor and business coach, delves into strategic approaches for not only retaining existing clients but also cultivating relationships that drive sustainable growth.
Karl emphasises the cost-effectiveness of retaining clients over acquiring new ones, citing studies by Bain & Company and the Harvard Business Review. He provides 20 practical tips, including client segmentation, profitability analysis, and proactive idea generation, while underscoring the significance of celebrating successes, surprising and delighting clients, and aligning team members with clients.
Download The Agency Growth Book'24 to access Karl's article and 20 tips for agency leaders.
Customer Retention Over Acquisition
In the fast-paced world of agency dynamics, it’s crucial to recognise a fundamental business truth: acquiring a new client can cost far more than retaining an existing one.
Several studies and research reports substantiate this, shedding light on the cost-effectiveness of customer retention over acquisition:
Customer Acquisition Costs:
According to research by Bain & Company, acquiring a new customer costs six to seven times more than retaining an existing one.
Profitability of Repeat Customers:
The Harvard Business Review has reported that increasing customer retention rates by 5% can elevate profits by a staggering 25% to 95%.
In the pursuit of agency success, it’s vital to strike a balance between the excitement of acquiring new clients and the enduring value of retaining existing ones.
20 Practical Tips For Agency Leaders
Many of you will already be doing some of the activities Karl recommends, but hopefully, there will be a few gems here you’ve not considered that you can implement to enhance your client retention and unlock the full potential for sustained agency success. Don’t forget to download your free copy to unlock the framework behind Karl’s top tips.
Identifying Your Perfect Clients: The 5F Framework
Client Segmentation: Gold, Silver, Bronze
Define Your Perfect Client
Analyse First Services Bought
More Services Sold Equals Greater Retention
Client Risk Assessment
Profitability Analysis
Ask For Feedback
Post Campaign Evaluation
Strategic Client Meetings
Client Development Plans
Proactive Idea Generation
Testimonials, Reviews, and Referrals
Surprise and Delight
Team Alignment
Celebrate Successes
Client Retention as a Goal
Become a Customer of Your Client
Induction Days
Junior Clients Matter
“Track your referrals and make sure you express gratitude. Keep them up to date with what is happening at the agency and what your perfect client looks like. There’s nothing worse than being introduced to a potential client that you don’t want to win!”
