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... tampering; extortion; kidnap and ransom; credit risk, claims and self-insuran...

...nsurance industry spends a king’s ransom every year in sales and marketing to ...

...uilt by association) Kidnap, ransom, extortion Hostile takeover atte...

... does not complain and simply leaves and never comes back will leave a mark. That mark is on your wallet. Can you afford to lose that client? Consider the following: He/she will tell an average of 11 people about the negative experience. This will make it more difficult for your agency to sell to the client's friends. It will cost your agency seven to nine times more to replace a client than it would to retain one. A new client, on average in the first year, will generate only 33% of the profit that you earned from the former client. A former client has only a 9% chance of returning to your agency. You will lose that client's lifetime revenue if he/she moves to a competitor. The insurance industry spends a king's ransom every year in sales and marketing to attract new clients – an important and crucial activity to produce future growth and profitability. On the other hand, what do you spend to solve clients' complaints in a manner that "Wows" them and causes them to become raving fans? If your agency is like most businesses, probably not much. To understand the impact of handling clients' complaints to "Wow!" them, let's look at word-of-mouth advertising. As the original advertising medium, it's free and comes in two forms, positive and negative. The "up side" to word-of-mouth advertising is that in addition to being free, it's credible and usually carries no hidden agendas. The "down side" is that if a client is unhappy with your agency, you ...