Walking away from a potential sale or new client arrangement can be tough for business owners, especially those that are new in business and / or those experiencing a dip in sales or income. To state the obvious, I’ve been in both scenarios: both new in business AND experienced in business, but in a “sales / income slump.” And so have my clients.
Truth be told, the savviest and most profitable business owners walk away from potential clients more often than you think…. BEFORE the sale takes place. (This isn’t a post about “FIRING” clients!) Let’s start with a (very incomplete) list of WHEN to walk away — with confidence:
When your fees or prices are an issue.
Look, two quick points:
- You can be broke with your feet in the sand, sipping a cold drink and working on your tan. You don’t need their business in an effort to make no money. You can do that all on your own. =)
- Your prices were set deliberately… Strategy, thought and careful deliberation went into your pricing. (Right?!?) It’s not an arbitrary number. Don’t allow it to be treated and negotiated as such.
There will ALWAYS be a cheaper option for your prospects to consider. ALWAYS. So don’t shy away from referring these prospects in that direction. In my field, cheapskate prospects usually don’t EVEN get the irony of “hiring” a “business expert” for FREE or on BARTER — expecting this person (willing to work for NO PROFIT) to help them make a profit. They don’t get it, and I typically don’t even try to help them “get it.” I just refer them to someone trying to make their own business work and genuinely hope it works out for all parties involved. To be very clear, I also have a small handful of VERY competent professionals that I refer to IN TOTAL CONFIDENCE when I can’t work with a client — for any reason.
When They Are Likely to Be a Pain In the _______.
If these people are PIAs when you are “courting” a business relationship, walk away. Trust me… this will NOT get better once money exchanges hands. My FAVORITE way to “walk away” from a PIA prospect? Quote the PIA fee. This way, ONLY if they’re willing to pay for the extra trouble and time will you be stuck with them! 😉
When The Prospect Demonstrates that They Do Not Meet your Client Criteria.
Let’s face it. You trust the cosmetic surgeon who turns away a 230 pound woman — suggesting she lose a few pounds before investing in lypo — MORE than the one who accepts anyone who walks in the door. The same is true for your industry. You should 1) HAVE client criteria. What MUST a prospect demonstrate before you know they are an ideal fit for you? and 2) Boldly declare your criteria. Up front.
As an example, my best clients meet ALL of the following criteria, most of which I swiped from Dan Kennedy’s own client criteria list:
- they are already successful, but want to be MORE successful;
- they are SMART ENOUGH to figure some of this out on their own, but they are TOO SMART not to see the opportunities in buying speed and competence;
- they’re BUSY;
- they have a DESIRE, not necessarily a NEED;
- they are able to make decisions and have a firm commitment to their goals;
- they can have an ego as large as they’d like… so long as it’s not super fragile! =)
I encourage you to make your own list.
Now, let’s talk about WHY to walk away from a potential client or sale… because that is fairly easy. You walk away from potential clients who aren’t ideal for two very powerful reasons… both of which have a direct impact on your business:
- Because nature abhors a vacuum and when you “clear the decks” for IDEAL clients, (and defend against that desperate moment when you may be inclined to let them back in) your business is then FREE to accept those that will be more profitable and enjoyable for you.
- Because those clients who you SHOULD walk away from — but DON’T — will not see the results they want to see from working with you. It’s lacking integrity to take them on as clients when you KNOW deep down it’s a poor fit.
Finally, HOW do you confidently walk away from a potential sale or client?
- You must CREATE (i.e. manufacture, contrive, construct, build, establish, invent) DEMAND for YOU and your services or products. I’m a realist. You can’t eat — nor pay your mortgage or power bill — with theory or business rhetoric. Sales are the lifeblood of EVERY business. The truth is, two things will help you CREATE circumstances in which you cherry pick the best clients for you: 1) You’re consistently and effectively marketing yourself to the RIGHT target market with the RIGHT message; and 2) you’re deliberately protecting your “Positioning” within your niche — meaning, you’re able to show up as “one of one” instead of “one of many.” The latter is more complicated than the former, but very very worthy of your pursuit. So, FIRST, you need to be sure you’re doing something EVERY DAY to put people in your pipeline.
- Second, You MUST have the “Another Bus is Coming” attitude. NO ONE client is so important that you should be afraid you’ll never find another one like him or her or them. Another bus IS coming. The question is: Will you be too busy playing footsie with a poor-fit prospect, negotiating fees, haggling over details, chasing them down… to notice?
If you’re willing, I’d love for you to post a list of your OWN Client Criteria. Create them. Share them. Post them. =)
