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The Bad Customer – How Do You Recognize The Customer Who is Harming Your Business?

Written by: Lee Lister

Article Overview: Why on earth would you want to fire a customer? Well if they cost you more money and effort than the profit you make from them – then it is time for you to remove them from your mailing lists and your marketing activities. Here’s 7 ways to recognize the bad customer.

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The Bad Customer – How Do You Recognize The Customer Who is Harming Your Business?

Why on earth would you want to fire a customer? Well if they cost you more money and effort than the profit you make from them – then it is time for you to remove them from your mailing lists and your marketing activities. Here’s 7 ways to recognize the bad customer.

1. The always quibble over prices – ensuring that your profit is minimal.
2. They are really slow to pay, costing your extra money in financing your cash flow.
3. They never seem happy with the service you provide and are keen to tell not only your staff but other customers. Not only is this moral sapping for your staff, but damaging to your business.
4. They never refer any new business to you, never speak well of your company.
5. Their order has remained small and spasmodic.
6. They display no loyalty to your company and often go off to other companies for their orders.
7. They are very difficult to establish a working relationship with you.

If you have customers that are displaying more than two of the above characteristics then you need to examine very carefully what profit and advantages keeping this customer is providing your company.

Is there a way that you can change these bad customers into better customers?

1. Ensure that they understand exactly what level of service, cost structure and payment terms their account operates under.
2. Try and address your customers complaints on a once only attempt.
3. Provide incentives to your customers to refer other business to you.

So how do you get rid of the bad customers?

1. Increase the pricing structure and decrease the payment terms. Similarly increase the delivery time.
2. Remove them from your marketing strategies and mailing lists.
3. If all else fails then write to them and politely remove them from your customer base, citing change of policies or similar.

Always be polite and remember – that a customer’s complaints and late payment might be because you of how you have interacted with them! Maybe if you have too many bad customers you should be looking at that as well!

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Home > Starting-A-Business > Lee Lister > The Bad Customer How Do You Recognize The Customer Who is Harming Your Business
Article Tags: cash flow, customer base, delivery time, earth, extra money, flow 3, incentives, loyalty, marketing strategies, new business, relationship

About the Author: Lee Lister
RSS for Lee's articles - Visit Lee's website

Lee Lister is a Business Consultant with more than 25 year's consultancy experience for many household names. She is known as The Bid Manager or The Biz Guru.

From an early age she began an unparalleled journey through business consulting that continues to span across the UK, USA, Europe and Asia. She has consulted for a considerable number of companies all over the world. Specialising in business change management, start up consultancy and trouble shooting. Lee's experience in marketing and internet marketing is also keenly sought after.

She is a prolific published writer of books, ebooks and articles and can easily be found on major search engine and Amazon. Her books include: FastTrack Bid Management, Proposal Writing For Smaller Businesses, How Much Does It Cost To Start A Business, Entrepreneur's Apprentice and a series of Start My New Business books that do as they say in the title!

Her major web sites are:
http://www.BizGuru.us
http://www.Bid-Manager.com
http://www.MarketingGuerrillas.com
http://www.StartMyNewBusiness.com



Click here to visit Lee's website
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