Clients are like customers of any other business. They don’t have a problem paying for goods or services, but they want to know there’s some value attached to what they’re paying for.
With that in mind, it’s no wonder that airlines, health insurance and basically anything related to consumer communication (cable, cell phones, etc. ) are usually among the worst-rated industries in terms of customer satisfaction. Airlines and health insurance are particularly egregious offenders. The former nickel-and-dime customers to death while providing little in the way of memorable travel and if the experience is memorable, it’s usually for all the wrong reasons.
Health insurance is equally villainous, perhaps more so. Customers pay exorbitant deductibles and are often still confronted with huge bills when they use the insurance and none of that leads to increased quality of care.
For advisors, the lessons are clear. First, don’t be an airline, cable company or health insurance provider when it comes to customer service. Second, take the necessary steps to ensure your value proposition is being clearly articulated to clients. Not only does that create reasonable client expectations, but it can improve client retention.
Why Clearly Defining Value Is Vital
Advisors that have been in the game for extended periods of time know that how clients perceive value has evolved over time. Indeed, there was a time when a client would’ve thought they were getting “good value” when an advisor provided estate planning and investment services under roof. There’s still value in multi-service convenience, but today’s clients want more.
It’s not that they’re overly demanding, but customers want bespoke guidance, higher levels of interpersonal connection with advisors and trust that’s built on being seen AND heard. Value can be born out of creating such an environment. Brie Williams, global head of advisory solutions and wealth intelligence at State Street Investment Management, highlights four pillars of improving the value proposition for today’s choosy clients. Those are consistency, being outcome-based, personalization and thinking strategically.
“When successfully done, this kind of value proposition does more than describe your practice,” observes Williams. “It differentiates it. In an industry where offerings increasingly overlap, avoid blending in by clearly articulating your value to position your practice for relevance and growth. ”
Consistency is always important, but especially so when it comes driving home the value proposition. While customers want personalization, that doesn’t mean advisors need to reinvent the wheel each time they pitch value.
“Don’t rewrite your value proposition for every client. Instead, adjust the language and emphasis to show alignment with their specific needs,” adds Williams. “You can use this kind of segment-specific language across prospecting, onboarding, or referral touchpoints. While not a full value proposition, it’s a critical expression of alignment that makes your message resonate. ”
Caring, Consistency Matter
Caring about clients and being consistent with them doesn’t amount to coddling. It’s about moving beyond advice to provide an experience. That includes making clear what it’s like to work you – the advisor – and taking the steps to show that the client is valued after the onboarding process wraps up.
“A great service experience often earns loyalty and referrals, but consistency and care don’t happen by accident. They’re part of the value you intentionally build,” concludes Williams. “By aligning your client experience with your value proposition, you reinforce it at every stage to ensure the experience holds up under pressure and adapts as client needs evolve. ”
The point: When it comes to telling your value story, learn from airlines and the cable company and do the opposite.
