Once a client has decided to leave, however, financial advisors have time to repair the relationship. For example, it will take about 60% of the clients nine months or more before they actually walk out the door. If the right amount of communication (and the right type) is offered, these “at risk” clients can be recovered.

All Communication Is Not Equal

Interactive communication makes an impact. In other words, an interpersonal interaction between advisor and client. Not mass e-mails. Not newsletters. Not Facebook posts. The advisor must reach out to these clients individually. The more it resembles a conversation, the better. In fact, just four such contacts per year resulted in 0.0% client loss. Think about that. Just one personal interaction per quarter can cure anchor client loss!

The foundation of that strategy is, of course, the annual client review meeting. Where we found advisors struggled the most was on how to prepare for and execute what are commonly referred to as “client check-in calls.” There is an art and science to making these effective. If all we do is check in, clients rapidly check out.

We found, instead, that we could create significantly greater impact in these calls if we follow a three-step process:

1. Demonstrating personal knowledge

2. Monitoring for change

3. Setting follow-up expectations

It’s generally thought of as a bad thing when a client is concerned about something, but what if we are wrong about that? What if their concerns are really a form of alchemy that gives us the chance to convert lead into gold—to change their problems into lasting, client value, at least if we have the courage to harvest them?