If you're NOT already doing so, this year might just be the year to concentrate on winning more work from existing clients, rather than spending huge time and cost trying to win new ones.
So, how do the successful professional services firms around the world go about it?
Watch the Maximising Revenue from Existing Clients video here or read below to find out.
First things first. Diagnosis comes before strategy, and strategy comes before tactics.
You are going to need a plan - and remember what got you to this point will not necessarily be sufficient to get you to where you need or want to go in the future.
Consider also, that there are 3 different types of revenue in a professional services firm:
Recurring revenue such as retainers (ie audits for accountants)
Reactive revenue, where you get busy when the client gets busy (ie lawyers in employment/property law) and
Proactive revenue, where you pursue and win new revenues you are targeting - this is actually the only income stream you are fully in control of, but usually the smallest pot because it is considered more difficult to do!
So, to be successful, what components does your plan need in place?
10 key considerations to win work from existing clients
Here are 10 areas you must consider prior to reaching out to your clients with a Key Account Programme:
What does our team look like. Do we have the right people in the right positions?
Which clients are we going to target and why? Industry sector? Work type? Are they currently a top account or are our targets based on potential?
Who is on the client’s team? Who do we NOT know, who we need to know? Account mapping is likely required across departments, office, C-Suite etc
What are the trends affecting the client? Political, economical, social, technological, legal regulation, environmental. Often referred to as a PESTLE analysis.
What other insights are there to consider? Internal politics, Mergers & Acquisitions, new personnel, strategy changes, major market challenges, SWOT analysis to learn our historical relationship strength?
Consider what needs do they have? Market share, profitability, revenue growth? What impact is this having on their business and what would it be worth to fix it? You should know the KPI’s of your clients and how they are measured.
What else do we need to know? Our current share of the business? Size of the opportunity? Challenge of implementation and timing?
Who are our competition? How good are they? Where are they trying to win our business? How are they better than us? How are we better than them?
What additional value can we offer? How do we support the client’s agenda? Any opportunity to co-create something of value? That is a great example of a true partnership or trusted advisor, the holy grail for most professional firms.
How does a client measure our performance? Service, costs, partnerships, networks, locations, thought leadership & insights, innovation & technology, quality of staff and advice, stability of personnel, brand image and value? You need to know.
Only after you have thoroughly researched answers to all the above questions should you start to approach your clients.
If you choose to miss out some of the steps here, you may just find you are under prepared to maximise your results.
Do get in touch, if you need assistance with this critical development initiative for future growth.