How to Reset the Customer Relationship

Is it okay to fire your customers?

After all, what do you do if customer expectations are so high that it feels impossible to meet them?

Churchill would say he’d give his “blood, toil, tears, and sweat.”

But it’s not 1940 and not everyone is Churchill. 

Instead, some say “fire your customer”. Their logic is that demanding customers take up time and energy. By firing them, you free up resources you can use on profitable relationships.

Honestly, I don’t have a strong opinion on this. I usually just do everything in my power to make the customer happy and ensure they get value from using AiSDR. And if they don’t, then we end the relationship.

But if I had to assign a name to my approach, I’d say my go-to strategy is trying to reset the relationship.

Here’s how I do it.

TLDR:

• The goal: Realign customer expectations with the realities of the product
• The tactic: Have a brutally honest “reset” conversation
• The result: The relationship is either reset or exited

Step 1: Schedule a call with the customer

I greatly value the power of a face-to-face conversation, which is why I run all my 1:1s with team members in person or over a video call.

There’s no set amount of time required for the reset conversation, but I usually schedule 30 minutes or 1 hour depending on the number of people taking part and questions we need to discuss.

Step 2: Set the tone of the conversation

The first words out of my mouth (after the usual quick exchange of pleasantries) are something along the lines of “I don’t think we’re on the same page in terms of what’s possible and what’s not.”

In my experience, customers like that you’re not hem-hawing or beating around the bush. They usually appreciate it when you cut to the chase since it shows you’re mindful of their time.

Step 3: Reiterate what you can and can’t do

In a reset conversation, it’s important to restate what your company can and can’t do for customers for several reasons:

• You clarify expectations – This makes sure that your customer has a clear and accurate understanding of your products and services. As a result, they know what to expect.
• You build trust – By being 100% transparent, you open the door to greater trust. Customers appreciate honesty, and recognizing limitations gives you a path to reset the relationship, which won’t exist if customers have unmet expectations.
• You prevent future frustration – Laying your cards on the table prevents future frustration since customers learn not to expect something your company can’t deliver.
• You facilitate decision-making – Reiterating what you do helps customers make an informed decision about whether or not to continue the relationship. If your company’s offer aligns with their needs, they’ll proceed. If not, they won’t.

During this point in the conversation, it’s a good idea to ask customers what they want and expect from you. This gives you insight into their expectations. You can also address any questions and concerns that have cropped up as well.

Step 4: Offer an out

This is the hardest part of the conversation: Making the decision to continue or exit the business relationship.

If you want, since you already know the customer’s expectations by this point, you can provide sneak peeks into your product roadmap if there are features that might prove interesting for them. Try to avoid overselling though. Only share what’s realistic.

My typical approach is this:

• If we don’t have the features or predictable performance that the customer wants, I suggest that it might be time to part ways.
• If the customer is concerned about there being not enough features or stability, I ask for more details and what they want to see most so that we can prioritize it.
• If the customer wants to terminate the relationship immediately instead of letting the subscription expire, I offer to refund what they paid.
• If we’re about to launch a feature that aligns with their expectations, I let them know and ask if they’re willing to wait until the feature’s released.

But from time to time, I do have to tell the customer “no”, even if it feels terrible. As I’ve said many times before, I prioritize brutal honesty and would rather skip a sale than close a deal that will quickly churn.

The Result

Most reset conversations have four possible conclusions:

• Continued relationship with aligned expectations – This is the happy ending. The relationship gets reset, and both parties move forward with realistic expectations.
• Termination of the relationship – This happens if you can’t meet the customer’s needs or expectations. The decision to terminate can be made by you or the customer. Whether or not this occurs amicably depends on the termination’s conditions.
• Scheduling a follow-up conversation – This occurs if the customer wants some time to digest all the information and think about how it fits into their plan. Ideally, the follow-up conversation will end in a continuation or termination of the relationship.
• Compromise – Sometimes reset conversations may lead to some sort of compromise. Maybe you offer a discount to keep them as a user so they give you feedback, or you pause the subscription until new features roll out. In any case, compromise keeps the relationship alive, but it takes a different shape.

I’ve experienced each one of these conclusions at the end of reset conversations. And even if we decide to terminate our deal, I try to avoid burning bridges. That way the door stays open in case they decide to give AiSDR another go.