In any discussion of business relationships, it is important to recognize that they are, first, relationships, like those we have with friends, partners, spouses, and family. While the details within these different types of relationships may differ greatly, the factors that make them strong, and the missteps and behaviors that can weaken, or even end them, are largely the same. Communication, trust, reliability, disappointment, dishonesty, and abandonment can factor into the health or dissolution of relationships. All relationships take maintenance, attention, and commitment.
The following speaks to the conditions under which customer relationships can reach their conclusion. These conditions are not always dramatic or toxic; in fact, in some cases, there can be positive in the negative, as one or both parties seek a better fit based on changing priorities. To illustrate these realities, three companies share their customer relationship experiences, and an experienced sales trainer provides strategies to navigate the human obstacle course of business.
‘We’re at Different Stages in Our Lives’
Poor communication and unmet expectations, says Bill Farquharson, sales trainer and content creator for the graphic arts, are among the common reasons that a sales relationship could be severed. He says particularly in this time when supply chain challenges are affecting print producers in myriad ways, maintaining effective communication and setting expectations with the customer is all the more essential. “The obvious reason,” he says, “is a job screwup. If you screw up a job, you can expect to lose it.”
Not all customer relationships end in a negative way. In some cases, Farquharson says, the customer outgrows the printer, or vice versa. “When it’s the printer who says, ‘You’ve outgrown us,’” he says, “providing or suggesting another printer who can fulfill the customer’s needs is the right thing to do.”
Some customer relationships, unfortunately, turn toxic, and the reasons are many. Farquharson says a toxic relationship on the part of the customer can occur when a client doesn’t pay. “Agencies are famous for this,” he says, adding that the customer will follow high demands and an unappreciative attitude with slow payment. Startup printing companies, he says, can suffer greatly from toxic customer relationships because they truly need the work and have little leeway to sever any customer relationship. On the other hand, toxic relationships on the part of the printer can also exist. As an example, he notes the negative feelings that could arise from a production team member taking offense to customer complaints during a press check. When a relationship turns toxic, replacing “what was” may be daunting, even impossible.
In some cases, no one is at fault for the end of the relationship. Priorities may change, leaving the printer outside the needs of the customer, or the customer outside the needs of the printer. (“Like ships passing in the night,” would be the apt cliché.) If the customer chooses to continue the relationship despite the differences, Farquharson suggests downgrading the level of service provided, “such as pulling sales out of the account and having the account work directly with a customer service representative.” In this way, the sales team can focus on developing or maintaining accounts that more closely complement core competencies and stated business direction.
‘You Deserve Someone Who Loves You for You’
So, then, what factors make for healthy relationships? Farquharson says it is, in many cases, what can also make personal relationships flourish. “This includes chemistry,” he says. “You have to like being with each other, meeting expectations, no surprises, and keeping lines of communication open to keep the relationship healthy. Favors given and returned.”
He adds that during his time in sales, he would tell customers, “I want you to be my customer 10 years from now.” This sets a trajectory — or a target — upon which to build understanding, anticipate needs, and transform the dynamic from clients to friends.
Finally, Farquharson looks to the future, and speaks to the fact that some business relationships are long-term commitments. He says, “Junior players become senior-level players over the years.” While the faces of the decision-makers may change with time, he says knowing those who are coming up through management is essential. “That’s the only way you can have a customer for life.”
‘I Love You, Just Not in Love with You’
Recalling a recent, less-than-favorable relationship, Ted Pidcock, owner of the Needham, Massachusetts-based garment decoration company Chillybears, says he was seeing caution signs. “We were providing the back-end of their merchandising,” he says, “and the client was asking for way too much. We were living with a relationship that didn’t make sense.” He says his company let the customer go, even though it was a sizable account, because he could not justify the work required to maintain the customer.
Recounting her company’s experiences, Jonnie Bryant, director of marketing and sales for book manufacturer McNaughton & Gunn, located in Ypsilanti, Michigan, says, “We’ve been around for more than 45 years, but it’s a rare occurrence that a customer relationship turns negative.” She says that when customers do leave, it is often for a better price, but adds that “they often come back.”
As an example, Bryant shares that the company once had a customer from whom “the work just stopped coming in.” She says she reached out to the company and persisted in doing so until she had a reason: it came down to cost. “You have to respect that,” she says, “but it’s a personal blow.” That said, Bryant kept channels of communication open, and “seven or eight years later, the company came back in.”
Saying he’s never said “no” to a customer, Blaine MacMillan, president of Cowan Graphics, a wide-format graphics producer located in Edmonton, Alberta, shares the reason every customer is important to his company. “We’ve had to work in an area where we’re not heavily populated,” he says, “but we’re a big shop, so pushing back on customers is to our detriment.” He says that when customers leave, they often don’t find out why.
Asked about key signals of a negative customer relationship, Bryant says it is “if they stop talking as often as they [normally] do — if you’re constantly pulling in the communication.” She says one complicating factor can be a strong relationship — even a friendship — with a sales rep, which can serve to hide customer dissatisfaction as the client protects the individual.
MacMillan says, “When the relationship falls apart, you don’t get the communication.” Because of this, his team looks for latency in communication and uses its ERP system to monitor engagement.
Another signal, he says, is in collections; some dissatisfied customers may be slow to pay. He says his team is encouraged to make this behavior known, to “fill the gap.”
Pidcock, meanwhile, says the signals are the same as in dating. For some customers, he says, he tells them Chillybears can’t fulfill a request, or he prices his company out of the job. “If they stick around,” he says, “then that’s on them.”
At McNaughton & Gunn, Bryant says the quest to find great customers — meaning those with whom the relationship is less likely to be severed — requires knowledge. “We do research, credit checks, and understand their product,” she says. “And there are some customers we know we don’t want to work with.” She adds that the company is sometimes contacted by customers that fall outside of their core competency, a reality they share with the prospect.
Similarly, MacMillan says the key to strong relationships with customers requires doing the hard work upfront to carefully select customers that are a good match.
Pidcock says his company addresses three key customer groups: consumers, business-to-business, and custom apparel printing. While all customers are welcome, he says his target group is the third, given that these companies value the service, are in the right geographic region, and are not consumer-facing.
“If it’s working,” he says, “it works. It’s great to be appreciated.” The key concept here is that each of these businesses understands potential customers even before the “first date.”
If a relationship with a customer does go bad, can it be repaired, or is it best for the printer and customer to “see other people”? According to the story told earlier by Bryant, all hope is not lost, though successful repair takes time and is not a sure thing. “They want to be heard, they want to be told ‘I’m sorry,’” she says. To this, she adds how existing issues should be addressed, if possible.
For MacMillan and Cowan Graphics, the negative indicators from the data gained in monitoring engagement means maintenance of the relationship is needed.
Referring to a circumstance in which he had a six-figure account that said it was seeking another printer, Pidcock says, “I was surprised. I talked to the head of that company and said, ‘I don’t want a divorce.’” He shared the work his company had done to protect its margins and defended his position, and the printer and customer got back together. “The relationship is now over a decade,” he says. “You have to defend yourself and say what you will work with and what you won’t.”
‘I Wish Things Were Different’
If the relationship is not able to move forward due, perhaps, to irreconcilable differences, how the parties extract themselves from the relationship is important. Pidcock says he sends the reasons, stating his position in an email — thinking before he sends it. He gives the customer time and lets them know that while the relationship will not continue, he will not leave the customer “high and dry.” “Give them time to find someone else,” he says.
Bryant says she will have a conversation with the customer, telling them, “At this point, we don’t think we’re a good fit for you. We’ve either outgrown each other, or we don’t have the capabilities you are looking for.” This message is also put in writing.
While there are surely “other fish in the sea” for printing companies and their customers, the phenomenon of customer breakups is perhaps best addressed through self-evaluation and improvement. MacMillan says listening is paramount, noting it can be used to both “increase connection and point out weirdness.” He further recommends printing operations understand their market niche, knowing their customer type, and being clear about their targets. “A shotgun approach,” he says, “is rife with challenges.”
Bryant recommends evaluating what each customer brings (or could bring), and what it would cost to serve them. Once a decision is made to engage a customer (or not), she recommends being very clear about that decision. Pidcock says that while his company works to make sure customer relationships stay positive, they may end somewhere along the way. “Why would you want to work with somebody who just creates negative vibes?” he asks.
Finally, when it comes to customer relations that are severed due to negative reasons, Bryant says, “This should be very rare. If this happens frequently, then you need to look deeply into your organization.” In so doing, companies may discover that the phrase, “It’s not you, it’s me,” is not simply a breakup cliché, but also an actionable truth.
‘You’re Going to Make Somebody Really Happy’
While the goal of never having customer relationships turn sour — even toxic — and end is noble, a basic reality is that client relationships are ultimately human relationships, and human relationships can be messy. For instance, despite there being what seems to be an inexhaustible supply of good intentions, half of the marriages in the U.S. end in divorce.
The goal, then, for businesses is to engage customers with intention, carefully selecting those with whom they can connect — and vice versa — for the long term. Most offerings from printers are not purely transactional; they are based on relationships and providing solutions to fulfill their clients’ needs.
Dan Marx, Content Director for Wide-Format Impressions, holds extensive knowledge of the graphic communications industry, resulting from his more than three decades working closely with business owners, equipment and materials developers, and thought leaders.