Client Servicing in a Small Agency: A Necessity or a Luxury?

In the world of small agencies, where resources are often stretched thin and every team member generally wears multiple hats, the role of client services can sometimes be overlooked. But is this a strategic oversight?

In this post, we'll explore whether having a client services team or individual in a small agency is a necessity or a luxury.

Understanding Client Services

First, let's define what we mean by 'client services'. At a high level, it encompasses all the activities aimed at maintaining and enhancing client relationships. This includes communication, understanding client needs, project management, and ensuring client satisfaction. In larger organisations, this is often a dedicated role or department, but in smaller agencies, these responsibilities might be distributed among various team members, or just the founder.

The Case for Necessity

  • As an agency, you're not just a service provider; you're a partner. Client servicing plays a crucial role in building and maintaining these relationships. Strong relationships lead to repeat business and referrals, which are crucial for growth in a small agency.

  • High turnover of clients, or the pressure of filling pipeline constantly can put a big strain on a small agency, especially if it’s just the founder sourcing that new business, as it takes them away from working on the business. Having people dedicated to client relationship management, will not only result in retention but will unlock potential growth opportunities.

  • Small agencies need to be agile and responsive. A dedicated focus on client services ensures that you are constantly in tune with your clients' evolving needs and can adapt quickly. You want to be seen as invaluable to your client and a trusted resource.

  • In a market where clients have numerous choices, the quality of client service can be a key differentiator. It's not just about the end product or service; it's about the experience you provide. If a client feels like they have had a transactional experience with you, they will view you as a dispensable commodity.

  • Effective client servicing includes clear communication about project scopes, timelines, and budgets. This is vital in a small agency where resources are limited and scope creep can significantly impact profitability.

  • Client servicing creates a channel for receiving and implementing feedback, which is essential for continuous improvement in a small agency and understanding what your clients needs are. 

The Argument for Luxury

  • Small agencies often operate with limited resources. Allocating personnel or time to dedicated client services can be seen as a luxury when those resources could be directed towards billable work. 

  • In many small agencies, staff members are accustomed to handling multiple roles, including aspects of client services. This can lead to the perception that a dedicated client services role is redundant.

  • For very small or start-up agencies, the cost of maintaining a dedicated client services role might outweigh the perceived benefits, especially if the founders are already closely involved in client interactions.

 

Striking the Right Balance

The reality is that client services are neither a luxury nor an absolute necessity but rather a critical element that needs to be aligned according to the agency's size, capacity, and growth stage.

 

For small agencies, this might mean:

·      Integrating Client Services into Existing Roles: Instead of a dedicated role, integrate client service responsibilities into the roles of existing team members. But be mindful that these individuals will need to be trained on how to service client appropriately to gain the benefits.

·      Training and Culture: Foster a client-centric culture where every team member understands the importance of client relationships and is trained in basic client service skills. 

·      Scalability: As the agency grows, continually reassess the need for dedicated client services roles. Taking into consideration the benefits of someone managing client relationships 

The upshot of all of this is that client servicing in a small agency should not be viewed as a choice between necessity and luxury. Instead, it's a critical component that requires thoughtful integration into the agency's operations. By recognising the value of client relationships and adapting your approach to client servicing as your agency evolves, you can ensure that this aspect of your business contributes positively to your growth and success.

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