When you’ve worked hard very hard to generate the leads you have on your list, it’s only natural to feel protective of them. The gut reaction is to make sure that these leads will convert to wins—and you will do everything in your power to make this happen.
But over time (and experience), a lot of sales professionals realize that there are certain deals they need to walk away from. They are just not worthy of the resources, energy, and time spent on them.
It’s never easy walking away on a perceived opportunity but sometimes the reasons merit it.
You know the signs of a dead lead. Some of these leads are just not ready to purchase yet, and it wouldn’t hurt to re-engage them in the future. It’s easy to walk away from those: you just stop pursuing them.
We are talking about a bad deal—a deal that is moving forward but has red flags all over it.
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What are those red flags? Here are some you should watch out for:
- They’re asking for too much. You’re almost near the finish line and yet they continue to negotiate for more add-ons, adjustments to the pricing or package, and the like. These clients do not really understand the value of your product/service—and the value you bring to the table should be the first thing they recognize.
- They’re expecting too much. Despite your clear outline of deliverables and solutions, they still expect over and beyond what you can deliver or do. You will never please these clients, and they will always have something to complain about.
- They want you to commit and give a guarantee. What’s worse than a client who expects too much? A client who asks you to commit to an unrealistic expectation. This doesn’t mean that you avoid making commitments. You should—based on the realistic solutions your product/service offers. But there are certain commitments or results you just can’t guarantee. For example: A client asks that you give a definitive number on the ROI when the project is over. That’s not something you cannot ever guarantee.
- They micro-manage the process… or you. Client wants to know everything that’s happening, including everything you’re doing. He has no respect for boundaries and calls you whenever he pleases. And you haven’t even started working together yet. There’s a difference between a highly involved client and a highly demanding one.
- Their timelines are erratic. One minute they’re setting absurd deadlines and the next minute they want to delay proceeding because “we’ve changed the deadline for the project.” This could mean that the project does not have the green light (or the budget) yet.
- They keep engaging, then disengaging, then re-engaging. You’ve already finalized everything and are ready to proceed. Then they ask to “park” the project for a while. Weeks go by and then they say it’s all systems go. Then they hit pause again. This means they’re not really invested in the project: either they have no real need, no budget still, or you’re dealing with gatekeepers (and not decision makers) making haphazard guesses on how the project should go about.
- After endless negotiations, the potential revenue does not justify the work involved. So you’ve gone past negotiations and you see that the opportunity has shrunk too much that the potential revenue does not justify the time, energy, and resources you and your team will put in.
- They’re mean. They’re rude, entitled, arrogant, negative, highly demanding, and just plain mean. Who would want to work with these kinds of people? You should focus on working with people who will embark on a healthy, collaborative work relationship with you.
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How do You Walk Away from a Bad Deal?
The first thing you have to recognize is if you are being emotional and/or impulsive with your decision to walk away. You have to make an honest assessment of the situation before making a decision. If this entails seeking the opinion of a third person (preferably a superior), then go ahead and ask.
When you are certain that it is best to walk away from the deal and are all set, you have to ask yourself these questions: How can I walk away…
- professionally?
- without burning bridges?
- without alarming present and future clients and prospects?
- and not create a negative effect on my reputation and network?
When you walk away from a deal, you have to:
- Do it in person: You have to say that you are not pursuing the deal. Don’t just disappear. It’s best to do the “breakup” in person. If this is not possible, a phone call will do.
- Be diplomatic: To remain diplomatic, you may have to bend the truth a little. Full honesty or disclosure is not required. You don’t go ahead and say, “Because I think you’re unrealistic and highly demanding.” Instead say, “I think our solutions cannot meet the expectations you have for your project.”
- Thank the other party for their time and consideration: Both of you did invest time and energy in the initial discussions.
- Still try to be helpful: You can’t work with them on this project, but maybe you can help them another way? It wouldn’t hurt to ask, even if you’re not inclined. It shows the client that there are no ill feelings.
- Express openness to the idea of working together another time: Even if you are unsure if you still want to work with the client, you would want to avoid severing ties completely. Never burn bridges.
- Shake their hand: The moment deserves it. And it’s professional and respectful.
Photo by Daria Shevtsova on Unsplash
