Client Relationships Case Study

The Shannon Company (TSC) is a creative communications agency based in Melbourne, Canberra and Christchurch. Their services include online marketing, social media management, advertising, search marketing, strategic communications and creating creative campaigns.

They are unique in that they only choose clients that wish to send out inspirational messages to their target audiences, with the intent to provoke behavioural change. Examples of clients include WorkSafe, CareSuper, Fire Ready and Our Water Our Future, all with the underlying message that people’s behaviour must change- we must save water, prepare for bushfire season etc. Their most well known campaigns are the ‘From Little Things, Big Things Grow’ campaign for Industry Super Networks and a series of Worksafe advertisements.        (The Shannon Company 2013a)

Which concepts are being explored?

I chose to discuss client acquisition/retention as obtaining clients is a critical part of running an organisation solely dependent on clients for operation. Retention is also vastly important; you must know how to preserve these clients. Secondly, pitches/proposals are also crucial as they are used in the process of attempting to gain new clients and proposing new ideas to existing clients. Pitches/proposals often go hand-in-hand with client acquisition, which is why I wanted to discuss these two concepts, in isolation and collectively. I will also touch on briefs/tenders as this concept very much overlaps with pitches and proposals and acquiring clients. 

Client Acquisition/Retention at TSC:

It is important to remember that a client is a paying customer, however a client relationship differs from a customer relationship in that it implies a high degree of professional trust and abiding by ethics, including respect and confidentiality (Franklin et al. 2009). Therefore, it is important to remember companies are paying and putting their trust in TSC.

Who are TSC’S clients?

TSC’s clients include a range of public, private and not-for-profit organisations, such as government authorities, finance industry leaders and community organisations (Michael 2013, pers. comm., 26 September).

Why is acquiring and retaining clients important?

Clients pay TSC a fee for managing their communications campaigns, which is money then that TSC can use to execute them successfully. So, without acquiring clients there would be no money to run TSC and no purpose for their existence. Retaining clients is also vital to TSC as it takes time, money and efforts to develop relationships with clients. Long-term strategic client acquisition and retention is crucial to the ongoing success and operation of TSC, as is the types of clients they choose in order for them to successfully abide by their ‘behavioural change’ concept.

“Businesses look for like-minded clients”

Michael, Account Manager at TSC. 

(Michael 2013, pers. comm., 26 September)

How does TSC acquire their clients?

In order for TSC to acquire a client it is a long, rigorous process. This is particularly because TSC are a communications agency that have a niche area they focus on, so not all clients will be suitable and so they have to weigh up whether their services are appropriate for a prospective client or not. Often clients will be aware of TSC through existing campaigns and they will contact TSC if they believe they too are a relevant fit for their ‘behavioural change’ mantra (Michael 2013, pers. comm., 26 September).

A general process:

–      Sourcing the client

This is either done through TSC identifying a relevant potential client that is aligned with their vision OR clients will contact TSC, often if they have seen campaigns for clients that they believe are similar to their organisation. 

–      Speaking to them

TSC prefers to meet in-person with prospective clients. 

–      Identifying opportunities

–      Continual relationship development with the potential client and highlighting to them the benefits TSC can offer

After the initial meetings where the client has explained to TSC what they desire, if deemed appropriate, it is time for TSC to convince them they can satisfy their requests.

–      Providing clients with information

This is given through presentations, conversations and importantly, the pitch that will respond to their initial brief.

–   Client decides to use TSC’s communication strategies

– TSC agree to managing the client, with the intention of keeping them on 

This leads to client retention:

Retention is fundamental, as if you do not retain a client, money and time is lost, as is the network. When TSC acquire a client, a part of the reason the process is so rigorous is because they ideally want to ensure the client will use them not just for a one-off campaign, but also for many communication strategies. Not only is this obviously preferable as more clients = more money for TSC- there is a greater reason behind it. TSC appreciate that client relationship management takes work;

“You must invest in the relationship personally and professionally” – Michael, Account Manager at TSC

TSC believe that strong relationships with clients will ensure loyalty to their services. If clients are satisfied with TSC in terms of trust, reliability and approachability; then they will be more likely to continue to outsource their communication services to them. Some strategies that TSC put in place include regularly meeting with clients, even when there is not a current campaign. This ensures that TSC delivers the message that they sincerely care about the welfare of their clientele and not just about the money coming through (Michael 2013, pers. comm., 26 September). Meeting regularly with clients not only improves the relationship, but it also provides regular, ongoing feedback about your strengths and weaknesses (Sobel 2009). Another strategy they do is providing reporting to their clients, through data on things like media coverage, television advertisement reach etc. This is a means of providing ongoing communication to their clients so that they can see where their money is going and if it is working. It is important to be competent with clients as they are paying your organisation and therefore, expect full value for money. It is also crucial to put the client first, and think of their best interests (Callaway & Callaway 2012).

Pitches and Proposals at TSC

– and their relation to briefs and client acquisition:

Pitches are undertaken for closing in on new business opportunities; proposing that TSC and a client form a relationship. Whilst the client does essentially ‘pitch’ through their brief, the main pitching is done when TSC responds to this brief. TSC has taken note of what the prospective client desires and if they wish to take them on board, they will pitch/propose to them what they can offer. 

Michael from TSC likens pitching to dangling a carrot in front of a horse. That is, the pitch should be tempting, persuasive and satisfy what the client wants- just as a horse strongly desires that carrot.

The team at TSC will carefully discuss and analyse the client’s brief. This may take some time, depending on how much work the client wishes TSC to do. Television campaign concepts can take a long time to develop, for example and new client campaigns take much longer than existing client’s new campaigns. This is because TSC is not familiar with a new client’s expectations and vision, therefore has to comprehend this first in order to deliver a solid pitch. 

When TSC is ready to pitch, they may do it in a variety of forms. For example, they might be largely visual if the client brief desired a television campaign. They will often entail some visual aspects for additional engagement and to demonstrate just how creative TSC can be. Sometimes, yet rarely, TSC will do informal pitches, where they are not responding to the client’s brief but trying to suss out potential new clients (Michael 2013, pers. comm., 26 September).

Informal pitching involves someone from the organisation ‘talking up his or her company at networking events, business and social gatherings’ (Vance 2005, p. 197). This is still pitching, because you are selling yourself. The pitch, however, should always identify how your organisation can benefit the client. One of the most frequently made mistakes during pitches is the organisation focusing too much on themselves and not enough on the client and how they can help them (Sorjoo 2012). The organisation who understands client’s needs and wants, is more likely to close a deal than one who focuses on his or her own needs and wants (Vance 2005, p. 198).

Conclusions:

It is evident from above that both concepts at TSC are interdependent and coexistent. That is, perfectly executed pitches and proposals are required in the process for gaining clients. Without the need for clients and acquiring them to support TSC’s existence and success, pitches would be invalid. It is apparent that TSC is dependent on their clients for operation and through their strong relationships are successful in what they do.

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