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In earlier posts I’ve provided sales tips about firing customers. I’m surprised at the number of sales pro’s who haven’t considered the benefits of this. Let’s explore this concept a little further and see why it can help grow our sales.

First, a sales help checklist for customers that are candidates for termination.

> Small purchases that require absurd amounts of hand-holding, price quoting, etc.
> Chronic credit problems.
> Purchase size may be acceptable but profitability is heartbreaking.
> Commissions barely cover gas costs for customer appointments.
> Frequent returns of merchandise and/or unending unhappiness with service.
> Constantly threatening to complain to: boss, BBB, local C of C, newspaper, sales blog, etc.
> Personally abusive to the sales representative in any way.

“You’ll be positively amazed how high you’ll have to raise their prices…”

Second, sales skills on how to do it.

If we have a customer that fits most of the attributes of the above list, then they may be a contender for termination. What’s the best way to fire a customer? As I’ve said before, we end their buying privileges with a dull pencil (versus a sharp pencil). Raise their prices to the point where they flee. If they decide to continue buying from us at inflated prices, at least we’ll have the satisfaction of knowing that we are being compensated for the pain of doing business with them. We can always raise prices even more if necessary.

You’ll be positively amazed how high you’ll have to raise their prices to make them go away if that is the true objective. This reinforces the sales tip that people really don’t make buying decisions exclusively on price. The “firing with a dull pencil” concept has the added benefit that it doesn’t focus on the customer or us; it’s just a pricing issue.

Finally, sales advice on why we do it.

> Frees up our time to pursue high quality prospects.
> Gives us more time to develop relationships with existing customers.
> Potentially stops a persistent source of negative public relations.
> Not worth $4+ per gallon gas to visit them.
> They aren’t worth losing any of our sanity or self-esteem.
> They start buying from one of our competitors. Think about this one for a second.

This is a serious exercise in how to sell to different types of customers. We must be confident that we’re terminating customers that genuinely are hampering our sales success and have little to no chance of improvement. Secondly, this is a bona fide way for us to decrease frustration, increase sales and build a better account base for the future.

Related links: Fire a Customer for Fun and Profit, 4 Ways that $4 a Gallon Gas Can Help Our Sales Skills, Here’s some fact-filled sales help about price objections

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Tags: customers, fire

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