Just like personal relationships, sometimes professional relationships also do not work out. No matter what the reason, losing a client can be financially devastating.
Team Cafemutual spoke to a few advisors to understand how to readjust if a client decides not to continue with your services.
Read to know how to bounce back after losing a client.
Say thank you
Make sure your client knows that you appreciate your experience with them. It is the right thing to do and is also a good way to end the relationship – on a positive note. Getting defensive or arguing about the decision, will not win you any favours.
Contact your existing clients
Engage with your existing clients to check further attrition. Call them to see how they are doing, if they have any queries and how you can help. Also, if the client who left had some negative comments about an employee, you can cross-check with them.
Khyati Mashru of Plantrich Consultancy feels that advisors should stay in constant touch with existing clients. She says, “Keep in constant contact with your client to understand if he has any queries and is happy with your services.”
Find out why
Sometimes an advisor loses a client because of poor services such as lack of communication, not answering to queries and not meeting deadlines. Figure out where you failed. Consider conducting a meeting with your team to understand what you can improve to serve your existing clients better.
Rajat Dhar, Cogent Advisory stresses the need to identify the reason for client attrition. He says, “Whether the reason is lack of communication or inefficiency in portfolio management, we need to identify and address the issue.”
You can also ask for feedback from the client. Vaibhav Rane, a Mumbai based IFA suggests that asking the client for feedback can help you understand your mistake. He says, “Instead of making assumptions on what went wrong, it is better to inquire about your mistake from client itself.”
Offer incentives
Offering referral incentives like a free health or dental check-up could help you gain a new client. Ask your existing clients if they know anyone else who needs assistance with their finances. Just because you lost a client does not mean you cannot gain a few new ones.
Keep your doors open
Let your estranged clients know that they can always work with you in future. Khyati says that she remains in touch with such clients even after they have discontinued her services. “I keep sending them market updates and wishes on special occasions. Also, I sent them reports on their portfolios every quarter as if they have continued with their investments with me. This helps them understand the value advisors create on their wealth creation journey.”
