Qualifying Clients over the Phone like a Pro (Even If You Never Thought You Could)
From talking with freelancers for years I’ve found that qualifying clients is one of the most difficult challenges they face, in fact, most freelancers just skip this part of the sales process because it’s too awkward and uncomfortable.
I am sure there are a few of your reading this right now thinking, “Yeah, I can’t stand doing that…” I used to be one of you – scared to really find out if meeting with a client was really worth MY time.
I did what many of you guys did (or are still doing): I didn’t qualify potential clients to see if they had the money to hire me. Instead I just hoped that when a client called me on the phone or emailed me, that she/he kind of knew how much I’d be charging and wouldn’t set up a live meeting unless they had some idea.
Bad plan guys, I wasted loads of time on potential clients that didn’t even have close to the money they needed to pay me. Many of these people were scrounging for bargains, and figured that since I DIDN’T qualify them on the phone that I’d be desperate to take on any project, no matter how cheap it was.
Perhaps many of you guys have done the same thing. Don’t beat yourself up over it, if you just couldn’t find the right words to say to a potential client to see if she/he is really serious about hiring you, I wanted to share this real-world back and forth between a freelancer and potential client that should help you out.
We’ll pick this up when the potential client has expressed that she/he wants to meet with you for a meeting.
YOU: Sounds great, I’d love to get together to learn more about what you’re doing with your business and how I can help. As I start looking at my schedule to see when I might be available let me ask you, do you have a budget you’d like me to stay within?
POTENTIAL CLIENT: No, not really.
YOU: Do you have a budget?
POTENTIAL CLIENT: No.
YOU: That’s okay, I have few clients that came to me without a budget, but it’s always a good idea to have one.
What I have found though is that a lot of clients have kind of an idea of how much they can spend or how much they think the project should run them…even though they’re not really sure how they came up with that cost figure? Do you have a number in your head?
POTENTIAL CLIENT: No, not really.
YOU: That’s okay too, not a problem. In working with clients for almost 5 years I’ve found that while some have worked with a designer before, most haven’t. The ones that haven’t typically have about $1000 in mind for the project, if you had a number in your head it might have been less than or more than that, right?
YOU: I’ve found that on the low end, you’ll be able to have one of these projects done for as little as $500 by a student or struggling designer. I have a few I can refer you to, but I honestly don’t feel you’re going to like the quality and service you’re going to receive. Clients have often told me the trouble with this route is that their focus on designing something that their design colleagues would be impressed with, not necessarily something that your customers would even understand or be attracted to – the result is your sales suffer and you end up feeling you wasted your time and money. Does that make sense?
POTENTIAL CLIENT: I suppose.
YOU: On the other end of the spectrum, you’ve got designers charging upwards of $3500 for the same project. Make no mistake these designers are talented, but I don’t know any small business that has $3500 to drop on something like this, do you?
I am priced right in the middle of these two extremes, at $1500 my clients have found they get an outstanding value by not having to pay an exorbitant price, and they always comment that they got a good return on their investment and their customers rave about what I’ve come up with.
If I was able to get you the same great results for your project and still keep the price between $1250 and $1750 is that something that would be comfortable for you.
POTENTIAL CLIENT: I suppose.
The Bottom Line
Clients aren’t typically forthright with their budget. Most people have no idea what something should cost, and even the ones that have an idea won’t tell you because they don’t trust you enough to come right out and tell you what their budget is. It’s your responsibility (through intuitive, non-threatening questions, like the ones above) to get the information you need to make a decision on whether this potential client is worth meeting or not.
If you find the client gets defensive or belligerent when talking about her/his budget, or you get a strong sense that they aren’t telling the truth, you may consider passing on the meeting and suggesting they work with someone else. Make sure you’re looking after yourself and your time, the potential client won’t do it for you.
Jeremy Tuber is the author of two break-through books, “Being a Starving Artist Sucks” and “Verbal Kung Fu for Freelancers”, which have sold in over 25 countries around the world (they are available on Amazon, iTunes and at on his website/blog www.beingastarvingartistsucks.com).
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Great post. This is extremely important, especially when considering a meeting that consumes an entire afternoon or whole day including commuting time.
How about qualifying a “problem-client” before actually working with them? We’ve all had them… poor communication, lack of direction, slow payers, feature-creepers…
Any tips for sniffing them out over the phone? Either for the purpose padding your project quote a bit or passing on their project altogether.
Great post, this is actually one of the hardest parts about doing web work for me. It’s always kind of an awkward conversation when talking numbers because you have to justify the cost to someone who may think that what you are charging is outrageous and sometimes they seem so eager to pay that you worry if you are under-valuing yourself.
Great!!!! I have wasted sooooo many hours dealing with potential clients that are not even close to what I’m looking for. OMG, it’s painful. Yes, any tips for sniffing them out like Brian stated?
Thanks for the comments and the kind words, guys. I am glad this was helpful!
In all honesty, this aspect of freelancing is awkward for all of us, but avoiding this step can painfully cost you loads of time if you meet with someone who was basically looking for a bargain.
If this is uncomfortable for you think of it this way, you’re trying to establish if this is a good fit for you AND the client. You don’t want to waste your time or theirs. Qualifying isn’t about aggressively negotiating a price, it’s about finding out if you and your prospect really are a good fit to invest more time in each other. In effect you’re protecting your interests and theirs.
In terms of sniffing out problem clients over the phone, asking about the budget is a good start. Slow payers, feature creepers, etc. are a little more difficult to identify without arising suspicion that you might be difficult to work with. What you can do though is to give them a quick, friendly overview on how you work, this will establish some initial parameters/boundaries.
Based on their reaction to your explanation you might be able to pick up some clues if you have a problem client on your hands :)
jeremy
beingastarvingartistsucks
The worst part is when a client asks how much a website cost right off the bat, before telling you any information or before the conversation has even begun.
I usually take this to mean: “I am looking for the most inexpensive freelancer,” and that’s usually a red flag for me.
I try to have the client fill out a questionnaire after we speak before I even mention a price. There is far too much to determine first before giving a ballpark range. The client may not realize that if they want updateable galleries, a blog, member login area and animation that a website is going to cost a lot more than a typical static brochure site.
You should do another post on “red flags” to look for during client conversations. I could fill a book with those…
Awesome article Jeremy!! I’ve had to do this before but, like you said, I always feel awkward. This post really helps. Thx!
Nice article! I often have dificulty to talk directly about budget because nearly everyone directly get defensive when you start talking about money. I will try some of those non-threatening questions. Thanks!
Great read and great information.
Good tips on how to use #s to gauge the budget w/o being pushy.
This is a great topic, and yes, many designers (and anyone in business, really) would rather pull out their fingernails then broach this particular aspect of selling.
But it is so crucial. The longer you stay in this business, the sooner you’ll realize that this is something you absolutely must master. And the sooner you get off the phone with tire kickers and people who do not value what you do enough to pay you decently, the sooner you’ll get to the person who does.
I have found with 12 years of experience on my own, I just do not have the time to waste with people who can’t pay me what I’m worth. It makes qualifying that much easier.
Also, regarding ‘red flags’ and potential problem clients: pay very careful attention to how they act about money. Do they freeze up or get uncomfortable when you bring up the subject of budget? Do they openly scoff at your pricing? Do they compare you to ‘other designers/firms’ that charge ‘way less’ than you do? Do they balk at signing your contract? Do they insist on revising your contract in such a way that it puts you at a disadvantage? Run, do not walk, from these clients. They are screaming ‘bad news.’
These are just a few red flags I’ve learned to recognize. Pay very close attention to how they act around contracts/deposits — they are telling you volumes about how they will be as a client.
Another great article and given me food for thought. I have a standard contract that has to be signed before I start a project. If I get a potential client stalling on this, I walk away.
Good advice. It’s always important to watch out for your time.
Great article! These are very good points. Another good thing to know (and they will usually tell you) are their feelings on designers. If they have had problems with past designers and they are not willing to pay a deposit up front (or want to break it into payments)…. those are tell tale signs that your have a problem client on your hands. I have learned from experience, walk away quickly.