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Turning wishy washy idea stealers into closed sales. help!

Closing the Sale

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  #1
servicebiz
Turning wishy washy idea stealers into closed sales. help!

Maybe my subject line sounds negative, but I have to break out of this problem. I have a horrendous problem with potential clients sucking the life out of me asking question after question for months. They email me. They call me. They call me at inappropriate hours of the day. I ASK POINTEDLY for a down payment to get their project started, and yet it rarely comes.

The clients I have been able to secure seem to suck my brain out and then leave me feeling used. They get much more time and product than they were meant to and I end up shorted.

HOW do you handle clients like this? Am I doing something to them that says, "hey, use me, I don't mind?"

I have two clients on the line right now. One has been dragging his feet for 6 months on this project. Now he decides it is urgen to get started, so he is emailing me night and day about what he wants. I have said 3 times in this last week that he needs to send his down payment before we begin anything. He said, "how is half now and half when complete?" I said, "Great". But it never came and he is still telling me more details about what he wants out of his project.

The second client nearly shafted me by stealing my ideas and an inside person at their company tried to sell themselves as my replacement. Their management said, "no dice" to the thief and is forcing them to work with me again. I have provided two proposals. In between time, they also almost dumped me because someone offered them a FREE version of what I do. When that freebie turned out to be smoke, they came crawling back yet again asking me for ANOTHER proposal. I gave them pricing yesterday. They haven't responded. What is my next step?

I would like to know if I'm causing their behavior. What should I say to force them to act? Customers generally love working with me and think I'm sweet as pie ---- but I'd rather they paid me and think I"m sweet as pie!

I'm between a rock and hard place for cash - so I have to solve this dilemma. Can you suggest anything please?

PS: I no longer give customers any IDEAS which they can steal from me prior to getting down payments.
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  #2
MitchM
You By The Tail

They've got you by the tail it sounds like. How does that happen? You ask the question if you are causing it to happen. Go into that question: how could you be causing it to happen? What are you doing or not doing to cause it to happen? In other situations outside your business do you find the same thing happening? If so, what's the reason - what's the similarity? How have you resolved these situations in the past in business and other situations.

Do a little soul searching for starters.

MitchM
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  #3
servicebiz
Very good recommendation. I do have to do some soul searching and introspection.

Right now, however, I'm too bruised to do it. Just got a call from client #2 and they've hired another firm. They explained all the details and it really rankles me. Supposedly the other firm promised them FREE service forever after the project is complete. No one can do that. Give me a break. The other firm also sells template based work. I explained that I was extremely disappointed. I explained that as a small business person I couldn't make up all the many months and hours they took from me. I said I wished their chosen company would give them a competant job and she said she wasn't sure they would, but that the higher powers made the decision. She seemed sorry, but I'm the one who is really sorry. No more of these shenanigans. I'm contemplating charging all new prospects a $200 consultation fee before they get any proposal or pricing etc.

I sent customer number 1 an email saying basically let's get started now. Deposit $xxxx today via check or paypal today. End of email.

What a crappy ending to client #2. But you know, they did admit to me that they couldn't keep employees for more than 3 - 4 years max. Gee, I wonder why? *sigh*
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  #4
Houston
Why buy the cow when you can get the milk for free?

Servicebiz to prevent this from happening again my suggestion is to set up standard operating procedures which include what or how much time/work is allowed prior to a deposit.

You've already sent the email requesting payment for the remaining deal so there's not much left to do but see how they respond.

Best of luck.
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  #5
servicebiz
Thank you for your thoughts.

Yes, I think somehow I need to be more strict in the first stages of discussion.

Somehow they need to be made aware that I'll give them a basic estimate for no charge. But any details or further information or proposal (and most certainly mockups!) will require their buy-in with money down within a specified amount of time. How does one word that without scaring away honest clients?

One thing I must admit, if I was not hard pressed for money I would not even give the time of day to some of these thieving people. Somehow I have to get the cash flow going so that I can be more selective.

And yes, in my personal life, I think I have been a doormat. So I guess I'm being a doormat to these people too. Somehow I must word things to make it clear I won't put up with ill behaved clients without scaring off the honest ones.
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  #6
Sam Deeks
Quote:
Originally Posted by servicebiz View Post
And yes, in my personal life, I think I have been a doormat. So I guess I'm being a doormat to these people too
Hi Servicebiz, its great how you know the answer already

I empathise - knowing how to stop giving great stuff away for free is something I've been working on. An example, a few weeks ago, I started recording a series of audio testimonials for a local client. After the first one was in the bag and edited, she called to tell me she had x y and z problems and would have to shelve the project.

Its taken me about 3 weeks to put an invoice in the post for the work already done which goes to show how difficult I still find it to value my time. And it's getting better - a week ago, I put a full price on a couple of event feedback recordings that a client was clearly hoping for some kind of contra-deal on.

Every time I strike a blow for respecting my value, it feels good - and healthy AND it's still a challenge sometimes!
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  #7
Skip Anderson
"Top Sales Expert"
Quote:
Originally Posted by servicebiz View Post
Thank you for your thoughts.

Yes, I think somehow I need to be more strict in the first stages of discussion.

Somehow they need to be made aware that I'll give them a basic estimate for no charge. But any details or further information or proposal (and most certainly mockups!) will require their buy-in with money down within a specified amount of time. How does one word that without scaring away honest clients?

One thing I must admit, if I was not hard pressed for money I would not even give the time of day to some of these thieving people. Somehow I have to get the cash flow going so that I can be more selective.

And yes, in my personal life, I think I have been a doormat. So I guess I'm being a doormat to these people too. Somehow I must word things to make it clear I won't put up with ill behaved clients without scaring off the honest ones.
S.b., is there anyway you can explain (preferably in writing) to prospects up front how your prospects can hire you? In doing so, you can teach your prospects about the process they need to follow if they want to work with you. Then you just have to follow your process yourself, and if someone tries to get free work without a deposit or a signed agreement or whatever, you have to be assertive enough to put the brakes on the whole thing.

I don't understand your entire situation, but I see in your profile you're a graphic designer. So I'm making some assumptions about your situation, but I may not be completely accurate.

Skip Anderson
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  #8
servicebiz
Thank you for your further thoughts and comments. It helps to hear others have had trouble valuing their time and billing for it when clients try to turn invisible.

I would have replied sooner, but I didn't realize there were more comments on this thread. I'll have to see if my settings are correct for email notifications in the forum.

I am having further difficulty with one of the original clients I've described. The owner of the company was referred to me by someone we both know quite well. Since my posts here, I have had many conversations both on the phone and by email with the company owner. He has promised, a minimum of 5 times, that he is sending his downpayment by a specific date. Each time the check never arrives and he makes a new promise. I thought possibly he was unable to come up with 50% down payment, so I offered to accept 25% down just so we could get started properly. He wrote back and said, "No, the original deal is fine with me. I'll have the check out on Friday." Still, no check. So I left three voicemail messages last week - two of which did not ask about money but merely for content for his project. The third message I left asked for content AND mentioned that his check hadn't arrived and maybe we could double check the address he was using for me. No reply. Now he seems to be hiding from me. Won't answer my calls. Won't call back. Won't email. The person who referred him is very embarrassed and tried to go visit the company owner. The owner hid from him - even though he was in the office. This is very confusing for me. Why doesn't he just say, "I can't do it right now." or "I have changed my mind." He's not exactly a mild mannered person. He's a very "in your face" type of guy. I'm the shy one - and he's hiding from me?

What, if anything, do I say at this point? Do I leave one last voicemail asking, "have I offended you?" or "I get the idea you're no longer interested in the project, could you please confirm so that I don't spend any more time on it?"

I am concerned, obviously. I did draw out clear terms to him. He verbally accepted - numerous times. I gave him the opportunity to leave, numerous times. However, he keeps choosing to say, "the check is in the mail" rather than telling me whatever the truth might be.

What is my next / last step here?
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  #9
Skip Anderson
"Top Sales Expert"
Quote:
Originally Posted by servicebiz View Post
Thank you for your further thoughts and comments. It helps to hear others have had trouble valuing their time and billing for it when clients try to turn invisible.

I would have replied sooner, but I didn't realize there were more comments on this thread. I'll have to see if my settings are correct for email notifications in the forum.

I am having further difficulty with one of the original clients I've described. The owner of the company was referred to me by someone we both know quite well. Since my posts here, I have had many conversations both on the phone and by email with the company owner. He has promised, a minimum of 5 times, that he is sending his downpayment by a specific date. Each time the check never arrives and he makes a new promise. I thought possibly he was unable to come up with 50% down payment, so I offered to accept 25% down just so we could get started properly. He wrote back and said, "No, the original deal is fine with me. I'll have the check out on Friday." Still, no check. So I left three voicemail messages last week - two of which did not ask about money but merely for content for his project. The third message I left asked for content AND mentioned that his check hadn't arrived and maybe we could double check the address he was using for me. No reply. Now he seems to be hiding from me. Won't answer my calls. Won't call back. Won't email. The person who referred him is very embarrassed and tried to go visit the company owner. The owner hid from him - even though he was in the office. This is very confusing for me. Why doesn't he just say, "I can't do it right now." or "I have changed my mind." He's not exactly a mild mannered person. He's a very "in your face" type of guy. I'm the shy one - and he's hiding from me?

What, if anything, do I say at this point? Do I leave one last voicemail asking, "have I offended you?" or "I get the idea you're no longer interested in the project, could you please confirm so that I don't spend any more time on it?"

I am concerned, obviously. I did draw out clear terms to him. He verbally accepted - numerous times. I gave him the opportunity to leave, numerous times. However, he keeps choosing to say, "the check is in the mail" rather than telling me whatever the truth might be.

What is my next / last step here?
It sounds to me like you've reached the point that you need to bring this to closure, by your own actions if your prospect isn't going to do it.

I would suggest that you consider writing him one final letter, a brief one, asking for his down payment. I would recommend against the "have I offended you" discussion, because he isn't likely to respond to that anyway. In simple, business-like terms, ask for the down payment by such-and-such a date, and tell him that if you don't receive it, you will understand that he's no longer interested in the project.

Leave it at that, short and sweet, and see what happens. If he doesn't respond, let go of it and move on. If he does respond, then you need to have a serious discussion about your business relationship before you do work for him, in my opinion.

Again, I probably don't understand all the particulars of your situation, but there certainly reaches a time when you have to make a decision for yourself, even if you want/need the business very badly.

Skip Anderson
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  #10
Gold Calling
"Top Sales Expert"
Expectations

You have an expectation to earn a living. What do your clients expect?

Also - do you have enough prospects? If you do, you can afford to be selective and basically ignore those who will not follow through with a commitment. That doe snot mean be ignorant ... what it means is you simply notify them that you are busy with clients, that your schedule fills quickly based on commitments you already have, and if they cannot make a commitment you will not have time for them now or in the future!

This is like the takeaway close.

The sole searching recommended above will undoubtedly lead you to the question; when should I close. The answer "too soon and too often" is better than a pattern of none-ending question answering, much better. Using lines like; "Once you become a client I will be able to provide you with that and much more too" will lead to an "on or off the pot" decision, turn the question into a close instead of answering it!!!

Another variation is; "I beleive I have answered enough questions n ow that you are aware that I can help, otherwise you would not still be asking them. <do not pause and add the above> Once you become a client I will be able to provide you with that and much more too!" And, a no is great, as you are free to prospect for paying blood suckers instead of the non-paying kind ... LOL.

Best of luck.
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Last edited by Gold Calling : 12-17-2007 at 09:24 AM.
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