How to Impact the Impression of Your Business

Every time you communicate with a customer or potential customer, you make an impression. Also, being able to communicate effectively can save you time and money in running your business.

I worked with a client that had a new business reach out to them to provide a service. The service provider was a new business and appeared eager. The client did a reference check, found out the service provider had struggled a bit in recent years, but decided she wanted to give him a chance. My client had been in business for 30 years and really wanted to encourage new businesses to succeed.

The verbally agreed upon terms of service were that payment would be received when services were rendered. While there was no specific timeline, my client paid the invoice within 1-2 days, understanding that finances were important for a startup business. For the first year, the service provider delivered on time and responded quickly to inquiries. It was a great start to a new relationship.

Things Start to Change

The second year, things changed. The service provider would commit to a delivery date and then change it. This happened several times, and while there was always a reason given, it always had to do with the service provider’s needs; he had a prior commitment, he was out of town, etc. My client was willing to accept the changes and chalked it up to him being a new business owner and learning to manage time. She was still willing to stick with him, and we adjusted our timelines to anticipate any late delivery.

And then one day, my client forwarded me a communication from the service provider that caused her some unease. He had delivered the service and sent an invoice Friday at 4:00pm. He followed up 15 hours later, on a Saturday morning, requesting payment. My client messaged him that she found it odd he was following up when it hadn’t even been 24 hours since he sent the invoice. She proceeded to make the payment.

His response was as follows:

“We agreed the invoice would be paid when you got it. A friendly reminder this morning is not to be rude, it’s to keep things flowing smoothly. People have lives and forget. It should’ve been paid last night when the invoice was received.”

And then he continued:

“I have been very respectful and communicative. Saying it’s odd on my end is very impolite and respect in the service goes both ways as you know. I will send a paid copy of the invoice in the next few days.”

She was disappointed in the response and asked for my advice before responding.

The Communication Problems

The service provider chose to communicate in a few ways that were not consistent or congruent with maintaining a good supplier relationship.

Time to pay. The agreed upon terms was that payment would be due upon receipt of invoice. When this is the case, a minimum of 24 hours is usually understood, and certainly next business day when the invoice is sent late Friday afternoon.

Use the invoice. There were no terms included on the invoice. Having paid a dozen invoices within 1-2 days with no issue, the customer would assume that timeframe was acceptable. If the terms change, the customer needs to be made aware.

Chastising the customer. There was no need to tell my client she had been impolite. Personal comments are not pertinent to the business relationship.

Lead by example. The service provider said he would send receipt of payment in a few days, yet he expected an instant turnaround time from my client.

The Impression Made

Every time you communicate with a customer, you leave an impression. As I explained to my client, this communication with the service provider raised a few red flags:

• Being unwilling to include specific payment terms suggests the business owner was in a financial situation and needed money immediately, suggesting the business may not be viable long-term.
• The service provider wanted to hold his customers to a higher standard he was willing to hold for himself, suggesting that the quality of future transaction may be headed for a decline.
• The service provider chose to personally criticize my client instead of being clear on his business terms. Being unwilling to take responsibility for his actions suggests problems down the road.

The Results

I advised the client to respond, “Thank you for your comments” and leave it at that. If she wished to pursue another provider for the service, she had ended this relationship professionally. If she chose to remain with this provider, she hadn’t burned the bridge.

Unknown to the service provider, my client had been prepared to offer his services to three other potential customers. That was now off the table.

Every time you communicate, you leave an impression. Pay attention to how you do it.

Resources

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