Breaking up is hard to do
We all need customers and some businesses need all the customers they can get. But, there will occasionally be customers that are a drain on your time, emotions and resources. Customers that disrupt your business, annoy your team and are reluctant to pay their bills – customers that deep inside you know you will never satisfy.
As we all know, one key to business success is to focus on your valuable customers, those best suited to your business, where you can build a long-term relationship - rather than be consumed by the demands of the costly few. Every minute you spend resolving a ‘problem customer’s’ latest unrelenting round of issues you run the risk of tilting your business towards those who may never be entirely happy with you and ignoring those that are your future.
So, how do you recognise a ‘problem customer’? It’s different for every business, but here are just 8 warning signs to look out for.
Your Staff Complain About Them – your employees are your most valuable asset and the first to feel pressure from ‘problem customers’. Learn to listen and trust them. Encourage their feedback and if you hear them frequently complaining about a customer take a closer look.
The Bad Payers – everyone’s favourite customer is one that pays an invoice immediately. But when a customer is continually late, gets behind with payments, finds any reasons to postpone payment and avoids communications with you, it’s a clear sign that you have a problem customer.
Cost-Complainers – Customers that challenge the cost of every proposal that you put forward - seeing discount as the ‘norm’ and feeling that they always deserve price breaks. Customers that constantly add more to what you do for them under the assumption that it should all be included in the original cost. Remember your business is special and ‘Greatness doesn’t go on-sale’.
The Panicked-Insisters – customers that want everything done quickly and always at the last minute, causing you to put aside work for other valued customers. Those to whom you feel like saying “A lack of planning on your part, does not constitute an emergency on mine.”
The Stress-Causers – the customers that when you hear their name, see them call, send you an e-mail or enter your office - your heart sinks and anxiety immediately sets in. The clients that all too often keep you awake at night.
The Energy Black-holes – those customers that suck-up all your joy, energy and leave you exhausted after working with them.
The Swappers – those that openly admit to having changed suppliers on a regular basis and often because of small details or minor price differences. Rarely the material for a long-term, loyal customer you can build a relationship with.
Abusive Customers – it should go without saying, but any customer who doesn’t treat you and your staff with respect doesn’t deserve to be a customer.
With all due respect to social media, in the face-to-face business world there’s no equivalent to the ‘Unfriend’ button. Letting go of a ‘problem customer’ can be an emotionally charged and challenging experience, but is one of the most important decisions any business can make.
Whatever the reason, parting requires effort and finesse on your part. Discuss the issue with them and if possible reach an understanding if you are to continue working together. If you have to part, reach an accord. Make parting feel like a mutually agreed decision. Accept it just wasn’t ‘a good fit’. Help direct them to another business better suited to their needs.
‘Firing’ the customer might be tempting, but burning your bridges is never a good idea, especially when word hits the grapevine. Likewise, taking blame for a bad relationship may feel gracious, but in reality will only fuel the customer's sense of being wronged. Breaking up is hard to do, but is part of building a successful business.