Not all clients are a good fit!

Not all clients are a good fit!

Many years ago in what seems like a different life, I won a national contract for my office products business, a major national retailer with over 200 locations nationwide.  Competition was fierce, we were up against some big high quality competitors, but we won the contract on our ability to bond with the client over the 4 month tender process.

I was happy, a £250k annual contract was ours, our first big win and I felt like a genius!

Fast forward 3 years (end of the contract) and I didn’t even want to re-bid for the renewal.  So how did things go so wrong?

In those three years I learned that not all clients are created equally and more importantly shouldn’t be treated equally.

We were a profitable business, servicing large commercial organisations in the south east, we had a fleet of 10 vans, we delivered a quality next day service and excellent value for money.
Next day deliveries on established delivery routes are relatively easy to organise and deliver on, but our new client required the same next day delivery service but on routes across the UK, order patterns weren’t established, delivery queries and mistakes were plentiful, we relied on outside contractor warehouse staff and delivery drivers who just couldn’t or wouldn’t offer the care and commitment we required.
Margins were tight, we missed a lot of SLA’s and in the end the client wasn’t getting what they needed and we weren’t either.

We spent 3 years focussing on the wrong client and should have devoted that time to expanding our client base that met our target goals.

Lesson learned – Focus on the prospects and clients that meet your sweet spot.

Paul

Consulmax
0203 879 1427
Telesales – Sales – Management – Training

 

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