Why you should fire your customers

in #blog7 years ago (edited)

I have a “please everyone” tendency. I find it very difficult when people criticize or don’t like me. What I have learned of course is, that it’s impossible to please everyone. And that no matter what you do, some people won’t like it. In the past, I tried to please every single customer. Not anymore.

Why I believe you should fire (some) customers:

  • Usually 1% of your customers cause the majority of your head-aches. If you get rid of this 1%, you save yourself a lot of negative energy, with very negligible revenue loss.
  • Some entrepreneurs have instituted a “no negativity” rule: for customers, employees or business partners. I like it. Life is too short to work with people that cause bad vibes.
  • Your are not the slave of your customers. If a customer abuses you, you have the right to end the relationship.
  • Take a strong position. Be the perfect match for a specific market segment, and a bad match for the rest. Avoid being everything to everyone.
  • Be honest. If you feel you cannot offer enough value to your customer, tell him that and reject the business. Such good karma will pay off.

How we apply this at Exsila:

  • We trust our users 100%. We don’t question them. We always give the benefit of the doubt. However: If you abuse our trust, we either give one warning, or we end the relationship outright
  • We actively end the relationship with users who are clearly a bad match or offer negative value for the ecosystem. We tell them “Sorry, our platform is not the perfect match for you. Maybe a different platform will suit you better. We’re sorry it didn’t work out.”
  • Our time is not free. Each minute that we spend costs the company real cash. Very often it’s cheaper and more efficient to immediately give a refund, instead of entering into lengthy discussions. We even have a budget for that. If we have the option of paying out 20 CHF or discuss and potentially entering into a fight, we often choose the “bail out”, even when the facts are clearly on our side.

What do you think?
Let me know in the comment section below.

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(Originally published on my newsletter — here are previous ones. Be sure to follow me on Twitter, that’s where I hang out the most!)

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Am completely in support of your point. Just as you can't entertain everyone in life who don't even pay you with reward, so It is in business.
Am an entrepreneur, am talking from experience.

Thanks for sharing!

Absolutely right on the money with this one. 1% more revenue isn't worth 100% more headaches.

Totally agree! Best wishes @remouherek

Thank you @dareoo

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You like a lot! Your post shot is more like it

Thank you

fantastice post

Thanks @afrid