Q & A Table of Contents
They Want More Than They Paid For
From: Harry, Bucharest, Rumania
Question: We are a market consultancy company and our activity is project-based. Once a project is commissioned by a client we send an invoice for the agreed fee. We are very service-oriented and client relationships are essential in our business.
The issue that I would need some advice on is that recently one of my clients requested much more involvement from me (specifically he asks me to do some of his internal reports, although he already has all the information to do this and as far as I am concerned the project for which we charged a specific fee was concluded).
How would you advice me to respond to such requests without jeopardizing the relationship?
Response: The first thing you have to realize is that, in a service business, you always have to give the client more value than they pay for. However, there must be certain limits to how much you give away.
If there is a written description of the project for which your firm was hired, it is perfectly reasonable to ask your client whether the extra work he is demanding is outlined in the written agreement. If there is no written agreement, or if there is a chance you will have a difference of opinion that could lead to conflict, you have to take steps to correct the situation before it gets out of control.
When your client makes new demands, you need to ask how these are relevant to the original project. Your question should not give the client the opportunity to say "Yes, it is relevant, now go do the work." Rather, your question should give the client a chance to try to sell you on what he wants. If you do the extra work, will it jeopardize your capacity to deliver the project within the allotted time period?
The next step is to take notes and create a document that describes the project. Both parties should sign that document. You can make it clear to the client that you want to do an excellent job and that you and he need to agree on benchmarks to measure your accomplishments. Any changes thereafter will cost more money.
It is crucial to tell your client that you do, indeed, value the relationship. You also need to say that you have an obligation to your own company to contribute to its profitability and not to create a money-losing situation. If you have partners or other colleagues in your consultancy, you can tell your client that doing the extra work 'this time' could jeopardize your partners', colleagues' or owner's interest in future work with him.
The problem you describe sounds as if the client's personality is the central issue. You should think of other issues that may not relate to his personality: your time, other resources of his company or yours, project deadlines, etc. Focus on the substantive issues, don't make it personal. You should make the issue of the relationship personal; talk about your feelings, ask about his.
This may not solve everything, but it may give you enough to think about to develop a strategy specific to this problem.
Good luck,
Steve
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