Super Service: A Process, Not A Project

by George Nordhaus

We often see 'service' as a magic word-the 'open sesame' that will somehow ensure customer retention and build bottom-line profits. After observing hundreds of top agencies and brokerages over more than 20 years, I have concluded that a superior service program requires a long-term commitment to six-step process:

1. Develop a service philosophy as an integral element in your corporate culture. Write it down and make sure it's understood and followed by everyone in your shop.
2. Implement an annual review for every single customer, regardless of the account's size. Believe it or not, nine in ten independent agents and brokers apparently can't be bothered to use this elementary and essential retention-building tool.
3. Create a written service agreement to let customers know where they stand. They'll appreciate a promise, signed by them and you, to provide a specific number of, calls, reviews, and customer contacts each year. The agreement will pay huge dividends in cementing customer relationships at a minimal cost.
4. Produce a client review or report for management at quarterly, semi-annual, or even annual intervals. With full information on each client's account (insured and uninsured exposures, exclusions, endorsements, claims history, location of policies, etc.), this document perfectly monitors your quality of service.
5. Hire 'nurturers' (empathetic personalities) to handle service functions. Use psychological profile testing to locate them, instill your service philosophy in them, and let them care for your customers.
6. Maintain at least six positive contacts per year with every customer. (It takes that many to offset the thousands of contacts your customers are receiving from competitors.) A contact can be a phone call, birthday card, annual review, newsletter - anything that tells the customer, 'We're looking after your needs because we care for you.'

Circulate this column to everyone in your shop with a memo that asks, 'How well have we planned the service we provide, and how can we improve it?'

The reaction should prove interesting.