It is a commonly used in mission statements and marketing agendas, what is ‘client centric’, why is important, and how can companies be ‘client centric’?
What is ‘Client Centric’?
It is a cultural driver.
Other cultural drivers may include the vision of the leaders or founders of the organization, even if the founder is no longer involved in the company. It may be an engineering and R&D cultural driver or employee relationships with their employers driver. There are various cultural drivers that are embedded in organizations and they can be difficult to change.
It is taking the client viewpoint.
By understanding the perspective of the client, organizations’ focus shifts from offering attributes of their products or services, to uncovering clients’ needs and matching a solution or benefit. Firms need to be building long-term relationships that add value to the client or future client – transitioning transactional-only buyers to long-term purchasers. Though an organization may provide an excellent service during the specific transaction they are not necessarily solving the client’s problem. Your product or service is a means to an end – think what the end is, it will help determine how and what you need to do to solve the problem. There is an analogy about a drill and a hole – customers don’t want the drill, they ultimately need the hole (for whatever use-which is really the need).
Taking the client viewpoint also enables you to understand how well they require serving. Sometimes we can over-serve clients that would be quite happy with a lower level of service. It also means that organizations may need to make a tough choice by dropping clients if their profitability (or future profitability) is low – make sure that profitable clients are not underserviced as this can lead to attrition.
6 Reasons why is it important to be ‘Client Centric’
- It can be a differentiator in a competitive market.
- Increases client loyalty – being a clients partner or advisor provides an increased exit barrier.
- Increases referrals – become ‘raving fans’.
- Promotes long-term business.
- Can increase profitability.
- Provides focus for marketing and business development efforts.
Attaining a Client-Centric Culture
It is a continual cycle that involves four key elements relating to your clients or your prospects:
- Understanding them
- Meeting their needs
- Building relationships with them
- Retaining them once they become clients
Understanding Clients/Prospects
- Voice of the client
- Marketing strategies to specific market segments to increase interest and draw future clients to the firm
- Client-centric brand and positioning
Meeting Needs
- Provide a solution to the need rather than selling a service
- Match your company’s services to clients rather than trying to match clients to your services
Building Relationships
- Every client is a client of the company not individuals
- Team approach to building relationships
- Strength of the relationship matters
Retaining Clients
- Provide outstanding service
- Exceptional client satisfaction, ‘raving fan’
- Continuous improvement
Consistency in approach is central to the 4 main elements, and support and training internally is necessary for your company to succeed.
