The fate of your business surviving after the loss of its biggest client lies in the assessment and execution of certain guidelines
A client’s satisfaction can change at any moment and leave you reeling as you question your performance. Nearly every business will encounter this dilemma and it is how you face failure that determines if you survive economically as well as emotionally. The following are just some of the guidelines that businesses can use in the future after they have lost their biggest client and are seeking to weather the storm.
Always expect the unexpected
The reality is that clients can potentially terminate your services at any given time. The best way to plan for such losses is to set forth an agenda that understands this and functions accordingly. One way is to provide exit terms in any contracts that you have to withstand better the sting of an abrupt termination of your services. Typically, these terms give you a minimum of 60 to 90 days notice before termination.
Determine why a client is leaving
When a client announces that they are departing, the first order of business is to figure out why and learn from your possible mistakes. Be upfront with them and question the motives for them leaving and make it a point to re-evaluate your services and learn from it. This will only strengthen your business in the future.
Revamp your marketing strategy
Perhaps your branding method, targeting, and messaging is off, and it is turning off both present clients and future ones. If your biggest client announces its departure, a crucial step in survival is ensuring that you are sending the right message to prospective new businesses and have the tools and staff necessary to execute them effectively. If necessary, consider a new perspective for marketing campaigns, search engine optimization, social media content, and client interaction to enhance your companies’ position.
Assess the competition
For optimal success, you should always make it a point to assess your competitors to stay ahead of the pack. Do a thorough research and find out what their marketing schemes are, their strengths and weaknesses, and how you can devise a winning formula that eclipses their products and services.
Give your existing customers enhanced status
After the loss of your biggest client, there is no time to be wasted lamenting. Instead, this is the time to re-focus efforts on the clients you still have. Go through your client book and see how you can offer them better options and rates. If that necessitates rebates and discounts to maintain satisfaction rates, then do so. Every quarter, performing actions like these will ensure that you maintain the businesses you have.
Give yourself an ‘E’ for effort
No one wants to lose a client, but the reality is that once it occurs, you must be willing to re-calibrate your business model and ensure that you thrive in the long-term. If your biggest client flees, every dollar billed and every hour worked is critical. Do not waste time or let your business take a back seat to anything else. Instead, determine the proper work-life balance for success and stay consistent.
Do not fail the same way twice
You may lose clients again in the future, but be sure to never lose them in the same way as previous ones. No business should depend on one client for all of their revenue. After losing your biggest client, one of your main objectives should be to diversify as much as possible to curtail future revenue losses. This way, you can protect yourself if one sector goes belly up and you seek clients in another.
View setbacks as a temporary fact of business life
A significant loss sometimes has an uncanny way of galvanising a team to excellence. If your biggest client decides to leave, take the move as the perfect opportunity to sit down with your colleagues and instate a new blueprint towards success that everyone is eager to get behind. An empowered team will be more willing to fight when the stakes are high and a storm must be weathered.
Exit with grace
The news will sting, but if your biggest client leaves, be overly gracious during their departure and wish them future success. The high road is always the best road to take.
Incorporating these tips can lead you back to the right direction in client retainment. And at the end of the day, you always want to leave your door open for previous clients to return and potentially profit from your elevated plans of action.