When it comes to romantic relationships, it’s common for daters to have a “checklist” of desired qualities in a partner. Single people likely have a few things in mind, consciously or subconsciously, when it comes to finding that perfect partner — whether it’s a stable job, a caring personality, trustworthiness, a passion for Thai food or a good haircut. And, when the initial dating actually begins, daters also likely have a list of “red flags,” or early indicators of a relationship headed south.
With this in mind, choosing the right client can be, in many ways, a lot like dating. The relationship may begin with an email exchange or quick phone call wherein you share your company background and discuss what the client is looking for. As clients are the bloodline of your business, in that they likely generate the majority of your earnings, it is critical that thought is put into these early stages of a business relationship — even prior to having those initial discussions.
You may already have a list of preferred qualities — be it optimal location, ideal business size, potential budget, values, etc. — that guide your search for new business. Creating and maintaining such a list helps to ensure your business does not take on a client that wouldn’t be a good fit for a long-term partnership. For instance, at Mustang Marketing, the majority of our clients are located within California, which allows us to interact face to face on a regular basis — an important element in our strategic approach. For the few clients that are located elsewhere, we rely on more frequent communication via phone conferences to ensure camaraderie stays high.
Additionally, establishing a list of red flags can help to ensure you don’t bring on a client that wreaks havoc on your business — think constant pricing negotiations, disrespect for your key internal processes, impossible deadlines and communication difficulties. By researching your prospects and asking the right questions in the early stages, you can avoid the negative impacts on your company’s morale, and pocketbook, that an ill-matched client can bring.
While establishing working lists of desired qualities and no-no’s could be beneficial to ensuring mutually positive client retention, it’s also important to keep an open mind when it comes to bringing on new clients. Do your due diligence in the early stages to survey a company’s qualities — but don’t write them off because they aren’t a 100-percent perfect match.
At Mustang, the majority of our clients have been with us far longer than the average turnover rate (which is about two years). This longevity is due in part to our signature approach to marketing, strategically driven creative, but also largely due to our compatibility with our clients. We have taken the time to thoroughly understand each client’s company, industries and people — and as a result, we value and respect one another and our relationship.
But that’s not to say that we haven’t had our share of bad dates along the way. In one of his recent blog posts, our president, Scott Harris, explained Mustang’s “firing” of two clients. For a variety of reasons, including constant invoice renegotiation and communication difficulties, we simply had to let two clients go. While breakups are rare and rarely easy, these ones did pave the way for new, more profitable and compatible clients that have been able to better match our business model and workflow.
Unfortunately, there isn’t an exact science to relationships, in either a business or romantic sense (platforms like Match.com and Tinder have tried, however). As a result, business owners must vet future clients carefully and be on the lookout for warning signs indicating a poor match. Thankfully, Mustang’s 30 years in the industry have trained us well in this regard, and we have had successful relationships with the majority of our clients for five years or more, including our first client from 1986 — Comco. Inc, a micro-abrasive blasting equipment manufacturer — who we still work with today.