Top 3 Ways to Fire the Client From Hell*

A large part of my practice is creating strategies to help professional service firms fire their "Ugly" clients. When seeking the payment of an outstanding invoice, it is better to be "two on one." It keeps the focus on getting a check versus a disintegration of the conversation. Having played the role of the 'second' for my clients, I find these tips dead on.

Re-printed from an article at InsideCRM.com*

1) The one who's never satisfied: Even if you come in under budget and over-deliver, this client just isn't happy with your work. He may have something in his mind that he just can't communicate to you, and when you don't deliver this idea that lives in his head, he's disappointed.

How to get out: Ask the client to clearly describe or sketch out what he's looking for, or even send you an example. He may want a product that looks like his friend's, but he's afraid to say so. If you're already done with the project and you've done a great job, don't sweat it. Make it clear to the client, citing any agreements that you've made, that you conformed to the scope of the project and delivered exactly what he asked for.

2) The client who wants you to be something you're not: Some clients have a clear idea in their heads of what they’d like to see from your work. Often, this is good news, but if their specifics don’t line up with the way you like to operate, you may end up butting heads.

How to get out: To reason with this client, you can explain why you prefer to do things the way you do. After all, you're the expert. If he simply doesn't understand or refuses to accept your methods, it's time to cut ties. Explain to him the problems that his requests create for you and let him down easy.

3) The know-it-all: The know-it-all thinks he understands how to do your job because last weekend, his cousin showed him the basics of the computer program you use. Of course, he doesn't realize that he needs your expert skills to use this tool to do the things he really wants to do. He'll tell you exactly what to do and how to do it, turning you into a production house instead of letting you do what you do best.

How to get out: First of all, do your best to remove any references to your name or company on work you've done for this client. Why? Because he'll probably try to tinker around on his own and completely mess up your work in the process. Then, stop the project, get caught up on invoices and give him whatever you've done so far. He'll probably hand it off to his cousin to see if he can finish it.

Strategies for Growth works with service companies on creating Client Retention Programs designed to convert Bad clients to Good and fire the Ugly with an eye on increasing the bottom line. 

*pending reprint approval from InsideCRM.com from their article "Top 10 Ways to Fire the Client from Hell."

The Price of Bad Service

"For two years, FreshDirect stopped soliciting new customers to work on better serving its existing patrons. That strategy seems to have paid off: A loyal core of repeat customers — about 45,000 to 50,000 in all — now generates two-thirds of the company’s revenue. Richard S. Braddock, chief executive, reports that the company had its first profitable year in 2009 on revenue of $250 million and he expects the company’s 2010 revenues will rise to $300 million."

Reprinted from the New York Times, Thursday August 19, 2010 by Jessica Bruder

I am constantly reminding my clients that revenues primarily come from their existing client base.  How they treat and service those clients who opted to work with them in the first place is key to that magic in business called "repeat revenue."

This is why Strategies for Growth exists. I wish to beat our own drum a bit here. We create Client Retention Programs designed to keep your good clients repeat customers, convert the bad to good and fire the ugly. Our success rate has been an overall up-tic in revenues of over 250%!

It is more cost-effective to maintain and resell your existing client base than to constantly try to acquire new customers.   For a review of how Strategies for Growth can help increase revenues from your existing clients, give us a call at 818-512-6477.

Off on vacation!

We all know the value of vacation time  We dream about where we are going, we make plans, book hotels, and meet up with family and friends.

The Europeans know the value of vacations as they have a government-mandated, paid 5 weeks time off a year.

It means time to slow down, let the body relax and mind think on stuff other than our daily lives. When it comes to an end, we pick up, with more energy, our lives as we know it.

One of my coaching clients just returned from a month's vacation and sounds completely different. She has a lightness to her voice from having regained her sense of self and has a new perspective on how to move forward in her life and business. Plus her great sense of humor has returned full force.
 
So before I return from vacation, rested and renewed, I wonder what the rest of the world does to  maintain the sense of renewal and carry it forward until the next vacation?

Quicknote:  "No Touch Monkey" by Ayun Halliday is the funniest travel adventure book I have read in a very long while.  High recommend reading it.

How would you do it?  Comments most welcome.

3 Reasons to Fire Toxic Clients - Part II

No more Toxic Clients!

Many times relationships start out OK, but then sour. Sometimes it’s easiest to just keep trudging along. If a profitable client is hard to work with it can be tough to say good bye to their revenues. But let me share why I think it’s good riddance:

1. They drain you emotionally. People who are mean, disrespectful, full of negative energy, etc. just eat away at our own personal happiness. Even if you like the work, or like the money, don’t overlook the drain of positive energy from your own heart and soul.
2. They are NOT generating as much revenue as you think. You may assume it’s clear, you worked 10 hours and got paid for 10 hours. But because of the emotional drain, you generally spend a lot of un-billable time doing things like: complaining about them, questioning your own skills, protecting yourself with excessive paper trails and backups, defending invoices, etc. All of this is taking you away from revenue earning projects.
3. They can ruin your confidence.  A toxic client can question your actions and tear down your self-esteem. You can start to question the quality of your work, your pricing, your behaviors. An entrepreneur, freelancer or business owner cannot spend time at this pity party.
4. You’ll be more productive without them. This is real reason to let them go. Spend the time finding better clients to work with. Clients and customers who respect you.

 Emily's post ended here with a personal note.  I wanted to weigh in here and encourage all business, small and large to look into their client base and make the difficult decision to identify and fire your toxic clients.

A bit about our guest blogger: Emily Brackett is president of Visible Logic, Inc. Established in 2001, Visible Logic is a graphic design firm that works across all media—including web sites, logos, print materials, annual reports and book design. Based in Portland, Maine, Visible Logic builds complete
branding systems and designs individual projects for clients across the U.S. You may reach Emily or learn more at: www.visiblelogic.com