Fire These Clients Now.
Christopher Hawkins tells us about 11 Clients You Need to Fire Right Now. Recognize any of these folks?
THE DISILLUSIONED consistently expresses disappointment with your work even though it is of good quality and conforms to spec.
THE SUSPICIOUS consistently expresses a lack of trust, disdain for your work, or questions your integrity.
THE CHISELER consistently complains about your bill, even though it conforms to the estimate they agreed to.
THE BULLY consistently is verbally abusive or threatening to you.
THE SOMETHING-FOR-NOTHING consistently increases the scope of the project but refuses to pay for the additional work.
THE SLOW PAY consistently pays invoices late.
THE FLAKE consistently is late meeting responsibilities, but still holds you to the original schedule.
THE LIAR consistently lies to you.
THE BLACKMAILER consistently refuses to pay an invoice until you perform additional work at no charge.
THE MONEY PIT consistently is unprofitable.
THE CLINGER consistently makes unreasonable demands regarding your availability.
The full post has a more detailed description of each “client” and has some great ideas for getting rid of them. Though Christopher runs a software shop, I think his descriptions are spot-on and instantly recognizable to any professional service provider.
Top Tips to Take Tremendous Treasures
JS Logan shares The Best Revenue Growth Tip You’ll Ever Receive. Well, what are you waiting for. Go read it.
Treat your clients like dogs?
Patti Digh at 37 Days shares some lessons she learned about communicating with others from the Animal Planet show Who Gets the Dog? — a show where contestants compete to adopt a dog. The episode she watched pitted three groups of contestants against one another as they were each assigned a “trick” to teach Rocky, the dog in question. Patti’s entire post is worth a read, but I thought I’d excerpt some of her lessons:
2) There often needs to be a “treat” associated with learning a new trick: a tidbit, some praise, a clear reason, or (to use the happy vernacular of management consultants worldwide) a “business case” for doing what we’re asking Rocky to do. Rocky’s business case clearly revolves around liver treats.
3) I have to motivate Rocky with what matters to him (the liver treats of #2), not what matters to me (Hefeweisen, Joan Armatrading, those truffles).
5) We need to celebrate success more than we do. Whip out those liver treats and pig ears, let’s party!
7) It takes time to teach new tricks to a dog. A lot of dedicated, focused, engaged, consistent, and individualized time. Enough said.
8) We all make meaning in different ways.
10) Rocky learned best from the group of three goofy guys who got down on the floor and rolled around with him like a dog, shedding their human superiority; they honestly enjoyed him for who he is now, not who they wanted him to be. They went where he was.
Read the last tip again. Your clients will learn the most from you when you shed your legal superiority and appreciate your clients for who they are, not who you want them to be.
Ladies and Gentlemen
I ran across Man on a Mission yesterday. It is a blog collecting companies’ “Mission Statements.” I particularly liked the entry about the Ritz-Carlton hotels. Go read the entire thing, but I was taken by the hotel chain’s motto:
"We are ladies and gentlemen serving ladies and gentlemen."
What your clients want to tell you.
Michelle Golden, in her blog Golden Practices relays some great advice for CPA’s from a panel of “A-List” accounting firm clients. The entire post is required reading because there is some really great stuff on it. Here are just a few favorites:
- Be there when we need you. A great example is when my accountant was on vacation but was able to be reached and even came in, off the beach in his shorts, to the attorney's office to help us finalize a critical deal.
- I feel like my firm sees me as a "nobody." I just can't get good service. My firm checks in with my CFO who thinks things are fine but I'm going to fire my firm in the next few weeks because they aren't meeting MY needs. I may go back to a sole practitioner.
- I don't appreciate when a firm acts like they can be all things to all people.
- Collaborate WITH us. Talk to us and tell us what you're doing. Our accountant recodes/reclassifies things, redoes budgets, etc, and it seems duplicative. They should be teaching us how to do it better so they don't have to re-do it.
- Don't nickel and dime us with a bill for $100 or so.
- Even though I know I'm being charged $100-200 for a single phone call, I don't really want to see it broken out on the bill!
- I’d rather have a “package” price then one based on hours.
- I love to have an idea, say within 10% or so, of what my monthly bills will be.
- The firm has never yet put me in front of another client with whom my business has something in common. I cannot figure out why...
- Offer to be on my board--don't charge for the time...it's an opportunity for you!
- It flabbergasts me that no one has called to offer me another service -- even as my business is changing/growing so rapidly.
- I had no idea of the other services our CPA firm offers. I had to ask my CFO who used to work for the firm so that I could answer questions today about other services I might be interested in. I thought it was neat that they offer to help interview and screen financial people I would hire.
- It's best when you talk to me in person. Maybe a yearly meeting where we talk about what's going on for the next year, touch base, share updates and tell me about additional services.
Lawyers, are you listening?
How comfortable are your client chairs?
I blogged a bit about this before, but Howard Mann gives a great tip on seeing yourself (or your company) as others do:
I asked the President of the company to go outside and come in as if he was a client arriving for an appointment. Within 5 minutes of sitting in his own reception area he didn't like how uncomfortable the chairs were, hated that he could see a bunch of old boxes in a cubicle down the hall, didn't like how dark it was and we stopped right there.
Stupid exercise?...perhaps. Definitely simplistic. But it was a start.
It will all seem unimportant until it is you waiting in the reception area or stuck on hold.
What if you took some time away from trying to figure out what your clients want next and spend time every month experiencing how they actually see you today.
Be Prepared for Clients Who Love You
Here is another great client-relationship tip from John Jantsch at Duct Tape Marketing:
… when a client reaches out and tells you that you did a good job for them, they are asking you to take the relationship up a notch. Don't let the opportunity slip on by. You've got to get straight in your head that this is the perfect time to ask for and receive a testimonial, a lead, new business or a referral. You don't have to fall all over yourself acknowledging how smart you are. You can seize the day tastefully by simply being prepared to suggest that your client might know someone else who would like these kinds of results.
Another Great Client Question
Found this interesting idea at life(over IP):
Once I [asked a realtor] … "What's one sign I can look for to get you leads - besides someone saying "I want to buy or sell my home"?" He told me that 83% of For Sale By Owner listings end up listing with a broker, so those were good leads for him.
The reason I mention this is that in the last 3 weeks, I've supplied my friend Fred, whom I knew from my old job, and who sold our house here, 3 leads from For Sale By Owner signs.
So, what hidden signals can people look out for that have good chances of generating business for you? If you can tell your network about them, you may be able to get a leg up on your competition.
Suck Less
Brad Feld says he’s not using the term “World Class” anymore, and tells this story about his first software company, where “We Suck Less” became its mission statement:
When we told our clients something like "we are better than the last guys", they either groaned or laughed maniacally since they had already heard that a few times from the people that came before us. But when we told them “the thing we are doing is really hard, the guys before us sucked, but we are going to suck less and try our hardest to be successful for you" our clients usually related (at least when they laughed, it was with a smile on their face.)
We delivered more often then not. So - while we never achieved that elusive "world class" status, we definitely sucked less most of the time. And - when I wandered down the hallways saying "guys - focus on sucking less - that's the key to our success", people rallied a lot more than if I had shouted "we are going to be world class" from the rooftops.
Great advice.
How did you get to where you are?
Jason Womack has a question that every lawyer should ask their client early on in the client relationship, “How did you get to where you are?”
I've heard from musicians, writers, company presidents, artists, parents, and more...What the question brings up is much more than a description of what they do; I get a glimpse into their background and their character. And, I'm reminded that it's the journey, not the destination, that engages me every day.
In a comment to Jason’s post, reader Dwayne Melancon suggests his favorite question that should also be in every lawyer’s arsenal:
If you could wave a magic wand right now, what would I be doing for you?
Do you have Super Clients?
Over at Brand Autopsy, John Moore published excerpts of a Wall Street Journal interview with Greg Brenneman, CEO of Burger King. Here was the quote from Brenneman that caught my eye:
WSJ: Speaking of indulgent, you call your best repeat customers "Super Fans" -- the 18-to-34-year-old males who come in three to four times a week. How are you strengthening efforts to appeal to them?
Brenneman: If you think about what drives our business, "Super Fans" are something like 25% of our customer base, but 50% of spending. If we just get one more visit out of the Super Fan, it's like a 10% increase in comparable sales. It's about understanding who the core consumers are and getting the kind of indulgent products they want. You can't be everything to everybody. If you look at the Enormous Omelet Sandwich, we didn't beat around the bush with the name. It's an indulgent breakfast sandwich, and it's absolutely geared at the Super Fan.
Who are your Super Clients? What percentage of your revenues do they contribute? Do you even know?
See if your attorney gets it.
Richard A. Hall has a really good client tip in his Managing the Business of Law blog:
Early in their engagement on a new matter, require outside counsel provide you a written strategy for achieving your business purpose. This will be your first, best opportunity to see if they “get it”.
If their strategy is “legal focused” e.g. “Draft documents necessary to…” you know you’re in trouble. Their strategy must be oriented to your business purpose e.g. “Conclude the XYZ transaction in the shortest time with the least cost by performing….
Now, instead of being asked by a client for a written strategy, imagine providing one to the client at the beginning of a new matter. Start the letter as Richard suggests, and start building a strong relationship with your new client.
Some Great Guerilla Tips
Mike McLaughlin has begun posting 25 ways to get closer to your clients on his Guerilla Consulting blog. His first tip: Send a Lumpy Package:
In the professional services business, small gestures have a big impact. When you land a new client, send a welcome package to your sponsor. Include a personalized letter in the package, along with other items such as firm contact information, a list of upcoming events, relevant articles, or an appropriate book.
Use the opportunity to express your gratitude to the client for engaging you, and to let her know how important the project is to you and your firm.
Send welcome packages by postal mail, not e-mail. You'll be amazed at the strong and positive impression you'll make with this one simple gesture.
Keep checking back for more great tips. I’ve read Mike’s great book, and hope to connect with him next week when I’m in San Francisco.
Keep 'em happy every day.
In this post in her Creating Passionate Users blog, Kathy Sierra suggests that we’re “better off thinking about ways to delight our users and customers (and employees and family members!) with a steady stream of Good Things rather than, say, giving them one big reward.” She then hits on a concept I’ve blogged about before:
Too many companies seem to give all the cool toys and treats to prospective customers--like trade show attendees, for example--but completely ignore you once you actually BUY the thing! That's just 180 degrees wrong. If they're pouring all this effort into enticing new customers, I can't help but think that if they channeled more of that budget to their existing customers (through both having a great product and continuing to surprise and delight them after the sale), then they'd increase their sales and marketing force by an order of magnitude as those customers go out and evangelize with way more credibility than the company reps or ads will ever have.
What is your cost to acquire a new client? Do you even know? Are you spending at least that same amount on keeping each existing one?
The virus is the software.
Harnish Newlands, blogging aboard his Cardboard Spaceship has this gem outlining a frustrating experience with McAffee. The post would be funny, if it weren’t so true, and I’ve had the exact same experience. My favorite part is the last two lines:
It really takes a lot of ingenuity to loose free cash, and that's what McAfee managed to do. If anyone from McAfee reads this, you need to go and kick your on-line sales head up the arse, and a good hard one.
Start your letters with "You" for better client relations
I drove down to Newport Beach today and had lunch with the incomparable J. Craig Williams, one of my Law.com Blog Network cohorts. Craig was an amazing host and our meeting is just further proof that every blogger I’ve ever admired virtually has been even cooler/smarter/nicer/greater in person than I hoped. (Sadly, people meeting me generally have a different experience.)
At lunch, Craig shared with me this amazing tip, and gave me permission to steal it for my blog:
Every letter his firm sends starts with “You.” Not metaphorically or theoretically, but in actual practice. He told me that it really keeps the attorneys in his office, including himself, focused on the fact that all client correspondence is for the client about something they care about deeply. It is never about the lawyer. Beginning each letter with “you” instead of “I” reinforces his firm’s commitment to its clients.
Give it a try in your practice for a month or two, and let me know if you see any difference.
Mark Merenda on Client Service
Mark Merenda has an absolutely fantastic post about the necessity of “great client service.” Though I was tempted to lift the entire post and call it my own, I’ll give you a few great snippets and suggest you read Mark’s entire blog instead:
The fact is, even if you are very, very good at what you do, that circumstance will not set you apart from, or above, your competitors. Most of them are pretty good, too. And moreover, your clients are not really capable of distinguishing between an A-plus or a C-plus attorney or financial advisor. They aren't qualified.
But every one of your clients considers him- or herself to be an expert on customer service. They know when they are being ignored, or treated rudely. They know when someone doesn't return a phone call, or keeps them waiting 20 minutes past the appointed time. They understand when your office looks like a pigsty and your staff is condescending and your phone answering system is a nightmare. …
If your company is a client service firm, the work product of which happens to be legal documents or financial plans, you have an excellent chance of being an indispensable part of your clients' lives.
But if your office is a document-creation system, well...your competition comes in a box. And the box costs $34.99
Create Employee Evangelists
My friend Zane Safrit, offers up Zane’s 10 Rules for Creating EMPLOYEE Evangelists. Riffing a bit off of Guy Kawasaki’s 10 Rules for Creating Customer Evangelists, Zane offers these gems (I’d like to rip off all of them here, but go read Zane’s post):
* Niche Your Employee. Find the unique quality, the unique resource each employee brings. Then position them where they can utilize those talents making meaning for their colleagues and your customers. Each employee provides a niche of talent, perspective, wisdom and advice. Discover those resources. Use those resources for the employees' development, the company's development and the customers' satisfying experience.
You can't create a niche product serving a niche market while you ignore your employees' niche skills.
* Tell Your Story, Tell Your Whole Story. ("Open up the Kimono") Open up and share the mission, the path, the successes and failures with the employees. Seek their advice. Seek their solutions. It's ok to not have all the answers.
I gotta admit that's a tough one. It has to do with the whole command and control, vulnerability, "am I a strong leader if I'm asking for solutions, ie, help?"
Let's put it on the positive. The more solutions' providers you create in your company, from those that provide great big conceptual solutions to those that provide a line of html that's missing, you'll have a smarter and more responsive company with a group of people who are excited and engaged in the process of fulfilling its mission providing meaning to their lives and the lives of your customers. And in this economy you need as many solutions sources as you can find, especially the ones who have your best interest at heart.
* Test-drive their ideas. Your employees are asked to test your ideas out every day. And to answer for them. Why not test their ideas?
Everyone contributes to your shared mission. Everyone does whether you recognize it or not. So, you want their full and POSITIVE contribution. Let them contribute. Give them room to try a few of their own ideas. Respect them in the same manner and try theirs.
A few will fail just like with yours. But a few will win. And a few more next month. And next month. Before long you've got a buzz going on, a conversation taking place, within your company like you want to take place in the market about your company.
Edit Your Selection
Andrea Learned writes about how women appreciate an edited selection:
Not every laptop known-to-man needs to be available at your consumer electronics store. Rather, do some research and reflect that you know your customers: deliver the top 10 sellers or the ones about which your customers requested most information in the past few years. … If your camera store, clothing store, appliance store or computer store has done its work, you will have discovered the "top 10" of your women customers' favorites and those will be the ones you provide and the products for which you train your customer service staff to know EVERYTHING about.
For me, the takeaway quote for professional service providers:
Sometimes limits aren't bad. In a retailer's situation, narrowing product selection can just reflect an excellent understanding of the store's core customers.