Every December I spend time developing the annual letter that I’m going to send to my clients. What topics do I want to cover? What information do I want to relay to my clients? Is there any call to action I want to bring up?
The idea for doing an annual letter to my clients wasn’t my idea. I didn’t develop it. The actual premise came while I had a conversation with a major bank president & CEO. He told me that companies prepare annual letters to shareholders but not to their clients and customers. People who have clients, customers, subscribers and fans should all send an annual letter. Just as companies do to their shareholders.
He went on further to explain that people do business with people they know and trust. It allows you to speak directly to them about what’s important or what they should know. It’s hard to get in touch and meet with people. Everyone is busy. Doing an annual letter is a way to further deepen that relationship built on trust in a unique and different way.
It took a few years to figure out what to put into an annual letter. I experimented for a few years with what worked and didn’t work. What generated replies from my clients wanting to schedule appointments with my team or me.
We now send our annual letter each year to the over 4,000 families who are clients of my firm. Here is what I’ve learned, as well as some ideas and tips for you to create an annual letter for your business. Any type of business can do an annual letter. It can be sent to your clients, customers, subscribers, or fans.
Limit the performance and awards talk. Be very brief on this. Don’t pat yourself on the back too much. Remember they’re already clients, customers, subscribers or fans. You don’t need to try and resell how great you or your business is by telling them you won this and achieved this.
Don’t dwell on the past. You always want to recap what happened in the past year. But I try to not focus too much on what happened in the past. They’re already aware because it already occurred. Look to steer the majority of your content away from what happened in the past.
Your outlook forward. This is where the majority of your content should stem from. What’s coming. What’s changing. What’s improving. There might be industrywide, statewide or local information that may be relevant to them and your business. Add items or content they need to know.
Address upcoming changes. Reduce upcoming questions by notifying them of any policy, price or procedural changes. People hate change and even worse if it’s surprise changes. Be upfront and notify them ahead of time. This prepares them and avoids future calls and emails to you and your team to ask about why this or that is changing. Reduce further work by contacting and notifying ahead of time in your annual letter.
Is this important? For any content that you put in the letter, ask yourself if you would read it or is it relevant? If it’s uninformative or filler based content, they won’t pay attention or read any future things you send them. Each thing you send be sure it’s worthwhile for them to read and worthwhile for you to send. Every time you send make sure you abide by these principals because one unimportant or uninformative email, letter or correspondence to them may prevent them from reading future ones.
I discussed the importance and how to create informative and engaging newsletters in a past post entitled, Keeping In Touch.
Ask! Ask for feedback. You may think you’re doing something great but to the customer it may stink. If there is something that you want to talk about, you need to ask. If there is a call to action you want, you need to ask. Whether it’s to review something, a recommended enhancement or improvement you need to tell them how to do it. This is a way to get any of these out to everyone. You don’t have to call or email them individually. This allows you to reach them all.
Be sure to say thank you. Show appreciation. People aren’t thanked for their loyalty enough. Loyalty is too often taken for granted by companies and then they don’t understand why people leave or stop doing business with them. Customer retention and satisfaction isn’t as hard as many make it out to be.
The Elevator Update. A way to view your annual letter is if you had five minutes to talk to your client, customer, subscriber or fan, what would you tell them? Instead of an elevator pitch, view it as an elevator update. The elevator pitch is known as a quick overview of something to try and convince an individual to buy or invest in your company or idea. The elevator update is using that same amount of time to deepen and continue your existing relationship by thanking, updating and highlighting what you’re doing for them. Improving their experience.
Allow it to be read in under 5 minutes. Being able to read the annual letter in five minutes or less is my rule. I keep the elevator update from above in mind. If it’s too long people lose interest. Be mindful of people’s time and keeping it shorter allows for the most important and best content to be in it. The longer it gets the more bland and boring it becomes. Don’t ramble.
Mail and email it. We both email and mail the letter. Not everyone has an email address on file or it may be an old email address. Combine the potential for junk filters and it not being delivered, we always send it by mail as well. Then we know one way or another they receive it.
Create, connect and cultivate the relationships you have with your clients, customers, subscribers and fans by sending an annual letter.
The Coffee Table ☕
Michael Kitces does a weekly post entitled Weekend Reading For Financial Planners. In it he highlights the most beneficial and relevant posts for people in finance. I’ve noticed though a majority of what he includes is beneficial to anyone whether they own a business in the financial industry or not. Always quality info.
Tim Ferriss had a great interview with Jason Calacanis on his podcast. #635: Jason Calacanis. It was very interesting and informative on Jason’s path in buildings his businesses and his move into venture investing. There was a lot of great insight that I found highly applicable. Tim is the best interviewer and he makes a two hour podcast go by so quick.
Thank you for reading! If you enjoyed Spilled Coffee, please subscribe and/or give a gift subscription for others.
Spilled Coffee grows through word of mouth. Please consider sharing this post with someone who might appreciate it.