Bank on 'word of mouth'

When it comes to marketing a private client practice, the knee jerk reaction is to say that you can't market a private client practice. This simply isn't true. By making one simple change to your marketing strategy, you can develop an effective marketing model that costs absolutely nothing (apart from your time and commitment).

Someone has made a great deal of money from peddling the myth of differentiation; the need to articulate your services in a way that underlines why you are totally different from any other provider of legal, financial, and tax services. A huge number of firms have spent an incredible amount of time and money trying to work out exactly how they completely differ from their competitors.

I am yet to meet anyone who has arrived at the answer.

The truth of the matter is, the only way to really differentiate yourself is through the level of service you provide. If your clients receive the highest level of service, not only will this make them happy, they'll be even happier refer you to their family, friends and contacts.

From your point of view, word of mouth is by far and away the best possible marketing model.

• It is totally free and will save you a lot of time.

• As clients will have been introduced to you by someone they trust, the selling will have already been done before you receive the first point of contact. The conversion from enquiry to instruction is quicker, easier and more comfortable for both parties.

• The likelihood the client will try to reduce your fee dramatically decreases because, once again, the introduction's been made by someone they trust and they have already accepted you are the right person for the job.

But what does service really mean?

It isn't just an empty promise on your website. If you choose to market on quality of service, you have to really live it, and live it consistently.

In order to instigate a service-led word of mouth marketing model, you need to adopt this five point plan:

1. Always do what you have said you'll do

There is nothing worse for a client than having to chase the adviser they are paying to do a job. Set realistic deadlines (and if you like, add a few days to that deadline so you not only meet it, but beat it) and explain clearly what will be provided at each stage.

2. You must be accessible and responsive

Again, having to chase you is the one thing that will stop you generating word of mouth referrals. Make sure people can get hold of you or if they can't because of other commitments, make sure they know when they can. Even if you just drop them a one line email acknowledging their email or phone call and explaining when you'll get back to them, it is better than leaving your clients wondering when you might be in touch.

3. You have to be clear and concise

The vast majority of your clients have no understanding of probate law, tax liabilities or of the FSA's latest regulations; that's why they've come to you. You need to be able to strike that balance between explaining what you're going to do (and why) in layman's terms and being overly simplistic and patronising.

In the client research programmes we've undertaken for the private client departments of law firms and accountants, the ability to explain and update clearly and concisely is, alongside responsiveness, the most common critical success factor.

4. Always provide your services in a way that suits your clients best

Consumer behaviour has come a long way since the days when professionals would rely on clients trekking over to their offices, every time they needed a chat. If you are going to provide the best possible level of service, you also need to be as flexible as possible when it comes to your delivery.

Online options and Skype meetings should be combined with home visits and evening and weekend opening. This will make sure you offer your clients the route to your advice that suits them best. The easier it is to talk to you, the more reasons they'll find to talk to you, and that can only have a positive impact on your fee levels.

5. You have to be ready to offer that little bit more

Whether it's introducing your clients to someone who may be of use to them personally or professionally, or keeping them up to date with relevant news, being ready to offer something over and above your brief will immediately boost your standing in their minds.

Again all of this is totally free but, as is often the case, it's often the smallest gestures that have the biggest impact. This is always what's likely to generate those all-important word of mouth referrals.

Douglas McPherson is a director at Size 10 1/2 Boots

He writes a regular blog about marketing for Private Client Adviser

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