Business Forum - UK Business Labs Click to see Full Membership details_
Go Back   Business Forum - UK Business Labs > Business Talk > General Business Talk & Business News

Edit your Profile Find a Member Invite a Friend Social Groups The UKBL Business Directory (Register as a Free Member first)

ReplyBookmark and Share
 
LinkBack Thread Tools
  #1 (permalink)  
Old 31st December 2008, 03:27 PM
Mat's Avatar
Mat Mat is offline
Lab Tech
Full Member
 
Join Date: Jul 2008
Location: Malvern, UK
Posts: 281
Thanks: 32
Thanked 18 Times in 15 Posts
iTrader: (0)
Send a message via MSN to Mat
Default Who are the worst customers?

In my experience, the worst customers are nitpickers - Clients with too much time on their hands who consider themselves experts in every aspect of design and marketing, and feel that they're obligated to find imperfections in anything and everything which is presented to them. I've found the best way to deal with this is to approach the project with a clear plan, and have the client sign off on each stage with the understanding that further adjustments will cost more.

Who are your least favourite customers, and how do you deal with them?
Bookmark and Share Reply With Quote
  #2 (permalink)  
Old 1st January 2009, 05:27 PM
Applicant
 
Join Date: Nov 2008
Posts: 14
Thanks: 3
Thanked 2 Times in 2 Posts
iTrader: (0)
Default

Slow payers are the worst customers

Nit pickers I have no problem with as my ethos is to make customers happy so that they tell others, which in turn can help grow your business, but slow payers can damage your business.

If you arrange payment terms of 14 days and not 30 days it is usually for a reason, to ensure that money comes in from a debtor before it goes out to a creditor, allowing you to have positive cashflow (or at least a steady trend).

Slow payers cause you to spend more on chasing them for money as well as affecting cashflow, leaving shortfalls in some instances if not covered by new sales.

Imposing a 2 strike rule where any second instance of slow payment will result in withdrawl of credit is an effective tool.
__________________
Do you drink Coffee? - Yes take me to a place I can discuss this, or Take me to 5M Coffee
Bookmark and Share Reply With Quote
  #3 (permalink)  
Old 1st January 2009, 06:25 PM
Paul Norman's Avatar
Junior Lab Tech
 
Join Date: Aug 2008
Location: Newcastle
Posts: 177
Thanks: 2
Thanked 21 Times in 18 Posts
iTrader: (0)
Default

For me, slow payers. I deal with them by not dealing with them once unless they agree to pay properly. I have turned business away that looks good from companies that do not pay within sensible terms. I do not believe 60 days is sensible terms, unless I agree to them in advance. In which case, be sure I have built the cost of the delay into my prices!

I prefer to price reasonably and get payment swiftly.
__________________
Paul Norman - OrangeTree Development
Bookmark and Share Reply With Quote
  #4 (permalink)  
Old 2nd January 2009, 03:11 PM
Mat's Avatar
Mat Mat is offline
Lab Tech
Full Member
 
Join Date: Jul 2008
Location: Malvern, UK
Posts: 281
Thanks: 32
Thanked 18 Times in 15 Posts
iTrader: (0)
Send a message via MSN to Mat
Default

Quote:
Originally Posted by CFUK View Post
Slow payers are the worst customers

Nit pickers I have no problem with as my ethos is to make customers happy so that they tell others, which in turn can help grow your business, but slow payers can damage your business.
Nitpickers with genuine concerns are fine. Nickpickers who feel obligated to find fault where there is none, usually in order to score points with their boss, cause problems.

But, as with slow payers, the problems can be minimised by ensuring stiff procedures are in place beforehand (e.g. 50% up front, 50% before delivery).
Bookmark and Share Reply With Quote
  #5 (permalink)  
Old 4th January 2009, 05:00 PM
INDIZINE's Avatar
Lab Tech
Full Member
 
Join Date: Oct 2008
Location: Doncaster
Posts: 252
Thanks: 7
Thanked 22 Times in 18 Posts
iTrader: (0)
Default

if they dont pay i'd presume they are minus their website or whatever you have designed until they have paid?
Bookmark and Share Reply With Quote
  #6 (permalink)  
Old 8th January 2009, 12:41 PM
Applicant
 
Join Date: Jan 2009
Posts: 15
Thanks: 1
Thanked 0 Times in 0 Posts
iTrader: (0)
Default

My worst customer was the small but august financial institution that gave me a deadline for their new website. Meant I had to forgo a sailing trip in the med, but a customer is a customer.

The deadline came and went, customer went silent, emerged again 2 months later and gave a new deadline. This came and went without information from the client (internal re-organisation). Finally finished 6 months after original deadline. Then my contact left suddenly (under a cloud I think). I got paid, but no chance of referrals or further business to help sooth my injured feelings.
__________________
Providing simple lowcost websites for small businesses www.easycheapweb.co.uk
Bookmark and Share Reply With Quote
  #7 (permalink)  
Old 8th January 2009, 02:19 PM
INDIZINE's Avatar
Lab Tech
Full Member
 
Join Date: Oct 2008
Location: Doncaster
Posts: 252
Thanks: 7
Thanked 22 Times in 18 Posts
iTrader: (0)
Default

strict deadlines should have increased prices if it's short notice, plus penalty clauses to your benefit if they failt to respond and of course vice versa.
Bookmark and Share Reply With Quote
The Following User Says Thank You to INDIZINE For This Useful Post:
Mat (8th January 2009)
  #8 (permalink)  
Old 8th January 2009, 02:58 PM
Applicant
 
Join Date: Jan 2009
Posts: 15
Thanks: 1
Thanked 0 Times in 0 Posts
iTrader: (0)
Default

I had at least a clause about mid-project stage payment being triggered by a date if they hadn't delivered on their side. Got that too when I requested it. Unfortunatly as it was a tender situation, I didn't want to 'inflate' the price with penalty clauses.
__________________
Providing simple lowcost websites for small businesses www.easycheapweb.co.uk
Bookmark and Share Reply With Quote
  #9 (permalink)  
Old 8th January 2009, 03:05 PM
Mat's Avatar
Mat Mat is offline
Lab Tech
Full Member
 
Join Date: Jul 2008
Location: Malvern, UK
Posts: 281
Thanks: 32
Thanked 18 Times in 15 Posts
iTrader: (0)
Send a message via MSN to Mat
Default

Quote:
Originally Posted by easycheapweb View Post
My worst customer was the small but august financial institution that gave me a deadline for their new website. Meant I had to forgo a sailing trip in the med, but a customer is a customer.

The deadline came and went, customer went silent, emerged again 2 months later and gave a new deadline. This came and went without information from the client (internal re-organisation). Finally finished 6 months after original deadline. Then my contact left suddenly (under a cloud I think). I got paid, but no chance of referrals or further business to help sooth my injured feelings.
I had a similar situation when I first set up. The client couldn't get their act together, and as I was desperate for work, I hadn't written penalty clauses into the contract. I did finally complete the site, consoling myself with the knowledge that it looked really good and would be a great portfolio piece; Only to be asked 3 weeks later to pull the website as they'd been bought out by another company. Nightmare!!
Bookmark and Share Reply With Quote
  #10 (permalink)  
Old 8th January 2009, 05:23 PM
Applicant
 
Join Date: Sep 2008
Posts: 16
Thanks: 0
Thanked 0 Times in 0 Posts
iTrader: (0)
Default You might find this 'helpful'

We have a costings spreadsheet. It starts with our default day rate and then takes into account the number of repeat days and a whole bunch of things to come up with a recommended amount that we charge the potential client.

One of the columns included is headed MBI which starts off at 1.0 but gets changed up and down depending. MBI stands for Moany Bastard Index: it's not unknown for a client to have an MBI of 2.5 which means, all other things being equal, our day-rate for them would be two and a half times our day-rate to someone else.

S
__________________
Great presentation skills training for groups
Bookmark and Share Reply With Quote
  #11 (permalink)  
Old 8th January 2009, 05:31 PM
Applicant
 
Join Date: Jan 2009
Posts: 15
Thanks: 1
Thanked 0 Times in 0 Posts
iTrader: (0)
Default

I'd love to have an MBI index, but with the NEW REALITY in the marketplace I suspect your MBI rates will reach historic lows
__________________
Providing simple lowcost websites for small businesses www.easycheapweb.co.uk
Bookmark and Share Reply With Quote
  #12 (permalink)  
Old 8th January 2009, 05:36 PM
Applicant
 
Join Date: Sep 2008
Posts: 16
Thanks: 0
Thanked 0 Times in 0 Posts
iTrader: (0)
Default I hope not!

But even if it does, it gives us a short and convenient shorthand to describe clients!

"What was that call about?"
"Possible big job in London but MBI five!"

Simon
__________________
Great presentation skills training for groups
Bookmark and Share Reply With Quote
  #13 (permalink)  
Old 9th January 2009, 12:32 PM
Mat's Avatar
Mat Mat is offline
Lab Tech
Full Member
 
Join Date: Jul 2008
Location: Malvern, UK
Posts: 281
Thanks: 32
Thanked 18 Times in 15 Posts
iTrader: (0)
Send a message via MSN to Mat
Default

Quote:
Originally Posted by simonr View Post
But even if it does, it gives us a short and convenient shorthand to describe clients!

\"What was that call about?\"
\"Possible big job in London but MBI five!\"

Simon
I like it!
Bookmark and Share Reply With Quote
  #14 (permalink)  
Old 14th January 2009, 11:29 AM
Conceptstore's Avatar
Junior Lab Tech
Full Member
 
Join Date: Jul 2008
Location: Essex
Posts: 85
Thanks: 0
Thanked 15 Times in 11 Posts
iTrader: (0)
Default The unprepared client

Worst clients:

The unprepared client:

The client who is not ready for their own project. They've hired you but can't keep up with you. They agreed to all the T's & C's but can't manage to stick to any of them because they didn't give it a second thought.

The board of directors: (much like the unprepared client)
They have absolutely no idea what there doing and use a go between to communicate with you.

One member says "we want a green techy & modern logo with a star"
One says "we want a prestigious & traditional blue logo with a rectangle"

The go between tells me "we want a funky & traditional turquoise logo and throw in a sphere for good measure"
__________________
Bookmark and Share Reply With Quote
The Following User Says Thank You to Conceptstore For This Useful Post:
Mat (14th January 2009)
  #15 (permalink)  
Old 14th January 2009, 11:53 AM
Junior Lab Tech
 
Join Date: Nov 2008
Posts: 66
Thanks: 0
Thanked 1 Time in 1 Post
iTrader: (0)
Default

Simple. The non-payers.
__________________
Hotels in the UK
Bookmark and Share Reply With Quote
  #16 (permalink)  
Old 14th January 2009, 12:08 PM
Mat's Avatar
Mat Mat is offline
Lab Tech
Full Member
 
Join Date: Jul 2008
Location: Malvern, UK
Posts: 281
Thanks: 32
Thanked 18 Times in 15 Posts
iTrader: (0)
Send a message via MSN to Mat
Default

Quote:
Originally Posted by Conceptstore View Post
Worst clients:

The unprepared client:

The client who is not ready for their own project. They've hired you but can't keep up with you. They agreed to all the T's & C's but can't manage to stick to any of them because they didn't give it a second thought.

The board of directors: (much like the unprepared client)
They have absolutely no idea what there doing and use a go between to communicate with you.

One member says \"we want a green techy & modern logo with a star\"
One says \"we want a prestigious & traditional blue logo with a rectangle\"

The go between tells me \"we want a funky & traditional turquoise logo and throw in a sphere for good measure\"
I agree wholeheartedly - I recently took on a project, which was split between 4 major charities, each with a board of directors. Originally a 10 day project, it took 4 months to complete!

For unprepared clients, I now make sure that they know they've "booked" specific days, and if they haven't delivered their side of the project by that date, they'll be charged for the time regardless. Win, win!
Bookmark and Share Reply With Quote
  #17 (permalink)  
Old 14th January 2009, 12:25 PM
Conceptstore's Avatar
Junior Lab Tech
Full Member
 
Join Date: Jul 2008
Location: Essex
Posts: 85
Thanks: 0
Thanked 15 Times in 11 Posts
iTrader: (0)
Default

Quote:
Originally Posted by Mat View Post
I agree wholeheartedly - I recently took on a project, which was split between 4 major charities, each with a board of directors. Originally a 10 day project, it took 4 months to complete!

For unprepared clients, I now make sure that they know they've \"booked\" specific days, and if they haven't delivered their side of the project by that date, they'll be charged for the time regardless. Win, win!
lol. Every problem has a solution. Very soon after we did the same with regards to unprepared clients and now we provide specific instructions on how to fill out the brief for all clients.
__________________
Bookmark and Share Reply With Quote
  #18 (permalink)  
Old 15th January 2009, 04:40 PM
Trainee Lab Tech
 
Join Date: Nov 2008
Posts: 38
Thanks: 4
Thanked 1 Time in 1 Post
iTrader: (0)
Default

My worst customers are women to are not satisfied with their figure... They buy clothing of low size and return it in a very bad mood...
__________________
ForeverFashion - designer discount on-line
Bookmark and Share Reply With Quote
  #19 (permalink)  
Old 15th January 2009, 11:47 PM
Mat's Avatar
Mat Mat is offline
Lab Tech
Full Member
 
Join Date: Jul 2008
Location: Malvern, UK
Posts: 281
Thanks: 32
Thanked 18 Times in 15 Posts
iTrader: (0)
Send a message via MSN to Mat
Default

Quote:
Originally Posted by Veler View Post
My worst customers are women to are not satisfied with their figure... They buy clothing of low size and return it in a very bad mood...
Ban them!
Bookmark and Share Reply With Quote
  #20 (permalink)  
Old 23rd January 2009, 06:04 PM
Applicant
 
Join Date: Jan 2009
Posts: 8
Thanks: 0
Thanked 0 Times in 0 Posts
iTrader: (0)
Default

I would just like to say, I am seriously considering adopting the MBI
Bookmark and Share Reply With Quote
Reply

Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On


All times are GMT +1. The time now is 04:06 AM.

Click for banner rates

Click for banner rates

Click for banner rates

Click for banner rates

Domain Names and Web Hosting from 123-reg!


Powered by vBulletin® Version 3.7.2
Copyright ©2000 - 2009, Jelsoft Enterprises Ltd.
SEO by vBSEO 3.3.0
Forum styling and imagery Copyright © Bean Internet www.beaninternet.co.uk 2007-2009.
'UK Business Labs™' and 'UKBL™' are trademarks of Bean Internet.
The opinions expressed on this message board do not necessarily represent the opinions of the owners, staff and sponsors
A Bean Internet venture
A Bean Internet venture.