You can’t manage what you can’t measure, this has been one of our key messages ever since we launched Business Health in 2000. And while a lot has happened since then, this message hasn’t changed – it simply makes good business sense in our view to know your key metrics, track them over time and to know how you compare in the marketplace.
So, in an effort to contribute we thought we’d share with you our latest analysis of the key financial data provided by 300+ Australian practices – in a series of communications over the next couple of months. Hopefully, these will help you to paint a picture of your business – pretty or not. And, armed with this knowledge, we hope you’ll gain some insight and a few pointers towards a stronger, more sustainable practice. (<<Click here to receive a consolidated pdf copy of all communications – to be issued in December>>)
The following are marketplace averages. Factors such as the practice’s business model, development phase, size and location will impact your practice’s numbers.
Practice Management by the Numbers 5: Client satisfaction
Marketplace average: top quartile (rated by clients)
Without clients, you don’t have a business and, without satisfied clients your business is at risk. As such, it’s simply ‘best practice’ to regularly seek feedback from your clients in an objective, independent way – how satisfied are they with you and your practice? If you haven’t undertaken any client satisfaction survey within the last 24 months – we strongly suggest that you do so.
If your client survey results aren’t top quartile
Accept that your clients’ feedback is in fact your reality:
- Have you shared the feedback with your staff (they have played an integral role in the results)? What do they think, what ideas and suggestions can they offer as to why you’re not top quartile?
- Pay particular attention to the comments clients make, not merely the ratings they give – very often this is where the real insights are.
- The poorest performing areas as assessed by the 50,000+ Australian clients who have been surveyed through our CATScan process are: ‘communication’ and ‘the review process’.
- Ensure client satisfaction surveys become a permanent feature of your practice’s operation. It is important that you regularly ‘take the pulse’ of your most valuable asset (your clients).
If your client survey results are top quartile
Well done. Enjoy that warm inner glow (everyone likes positive reinforcement, right). And then:
- Fully leverage these results by sharing them with clients, staff and centres of influence alike.
- Positive client feedback is great marketing collateral – why not include it on your website and LinkedIn page for example?
The bottom line
Seeking feedback from your clients is ‘best practice’. The overwhelming number of positive responses tell us that clients truly appreciate their adviser and appreciate the chance to provide feedback. You will be giving your clients the respect they deserve but you will be required to; accept what clients tell you and be prepared to take action if the feedback demands. It remains a source of constant frustration to us, that only one in three Australian practices take the time to seek feedback.
If you’d like to discuss in a little more detail and discover how your own business stacks up (and what you can perhaps do as a result), let us know <<click here>>.
Yours in best practice,
The team at Business Health.