Strictly Sales: Managing, meeting and exceeding client expectations

Fair or unfair, I judge other service providers against the standards set by Orville–and most come up short. I wish my doctor had Orville's compassion. I wish my banker had Orville's trust. I wish my gas station would pump the gas for me. I wish store cashiers had Orville's smile. I wish, I wish, I wish!

Over the years I've heard agency personnel (and owners) blame clients' "unrealistically high" expectations on the producers. (It's the same story in most other industries, too.) When disgruntled clients call, it is assumed that the producers "told them anything they wanted to hear to make the sale." Thus, these clients expected a level of service beyond what the agency could provide. I used to buy into that concept, but I don't anymore. Most producers do not make promises to clients that can't be kept. Most producers are highly ethical and act in the best interests of both their clients and their agencies.

The "problem" lies in our failure as owners, managers, producers, CSRs and support staff to manage the expectations of our clients. We still tell people "we give good service" without defining exactly what that means. As a result, our clients are managing their expectations. That's a dilemma. If our clients manage their own expectations of us, we will be judged against the best service experiences they've ever had–and when that happens, we usually fall short.

The first thing an agency must do is define "good service." Depending on the agency and the locale, this could include how quickly phones are answered; the time allowed for responding to messages; and the type of assistance provided in filing, processing and following up on claims. It could mean annual stewardship reports or the number of touches every client receives during the year. It could mean the time required to process applications and quotations. I think you've got the idea.

Next, move on to a definition of "great" service. Here we usually get into the additional resources that are made available to the client. What do you do to help your clients become more successful? Do you offer assistance with human-resource issues, OSHA compliance, managing workers comp risks, premium financing, real-time interaction, Web-based activities, etc.?

Once you've defined exactly what services and resources your agency is willing to provide, you reach the critical step–communicating that information to your clients and prospects. And don't think that communicating it once will get the job done. Your service standard is the essence of your agency–the factor that differentiates you from your competition. It needs to be conveyed consistently and repetitively.

Aside from all the normal methods of communications (mail, phone, e-mail, brochures, personal visits), I like the concept of a "Client's Bill of Rights." This is usually a simple, one-page document that lists all the things a client can expect of you. And since one of the items should be "expert risk-management guidance," you can immediately follow that sheet with another, on which customers acknowledge the coverages they have declined.

Such sheets, affirming declination of coverages, are usually discussed under E&O policies and procedures. However, I believe they should fall under the management of expectations as well. When a claim arises, it's amazing how a client's coverage expectations will automatically increase with the size of the problem. It is difficult to defend against statements like, "That was covered under the policy from my last agent, and I told you to duplicate that coverage."

Everyone who has contact with your clients is responsible for managing their expectations. If a CSR needs to research something for a client, that CSR needs to manage the moment by saying, "I will get back to you with the information by 5 p.m., or at least bring you up-to-date on the status of my research."

Expectations are in constant flux and need to be managed from moment to moment. If any contact requires action on the part of the agency, that action and the time in which it will take place should be defined for the client. If not, clients will set their own definitions and timelines, which may or may not be realistic.

Meeting expectations is only the first step in building client loyalty. It is the price of success and profitability. It leads to satisfied customers, increased retention and frequent referrals. For many agencies, that will be enough and they will go no further. They are, as Jim Collins says, "good agencies."

"Great agencies," on the other hand, exceed customer expectations. That's how you get to the real goldmine. But you have to manage and meet expectations before you can exceed them.

I've told the following story hundreds of times, but it best illustrates the idea of exceeding expectations. After 14 years we had to put down our pet dog. We took him to a veterinarian who had treated him since he was a pup. The vet handled the emotional situation with care and compassion. He and his staff met all our expectations. Several days later he exceeded them when we received a two-page, hand-written letter from him. His thoughtfulness and efforts to assist us with our grief assured our loyalty He had gone from "good" to "great" in our eyes.

A month later, however, he moved beyond "great" to "exceptional." We received a "thank you" from the vet school at the University of California in Davis for the generous donation made on behalf of our pet. As it was later revealed, our vet donated all money received for putting down pets to the school. To us, he had definitely reached that rarefied plateau of "exceptional."

What are you willing to settle for: "good," "great" or "exceptional"? Whatever your choice, it all begins with the management of client and prospect expectations. I wish you every success in your journey.