Meeting a new client is one of the most critical parts of the client acquisition process for your company. A reliable client base is necessary for long-term business continuity. Meeting a new client for the first time sets the tone for your business interactions for years to come. Read on to learn more about the questions you should be asking clients when you meet them for the first time and some of the information you can establish when they answer.
What do you expect from our company?
A simple yet effective introductory question asking what your client expects from your company is effectively a verbal brief. From this answer, you can establish the task at hand, the estimated timescale, and the revenue you can expect from the project. You can also use the client’s response to further question them.
Additionally, the response informs you of how serious your potential client is about the project. Offering a short answer with no detail likely implies a lack of attention to the project. It could indicate a difficult time ahead with a client that may not be as engaged in the process as they need to be.
How long do we have to price, and what are the program dates?
Securing the first meeting with a potential client is an outstanding achievement. Still, it would be premature to celebrate until you know that you can deliver what’s needed. Building a relationship can be a tricky balancing act. Showing that you will do all you can to accommodate their needs while ensuring you don’t overcommit.
A good way to prepare for the meeting is to understand what dates will fit your estimating schedule for your available labour and material lead times. Are you able to return a price within a week if asked? And can you mobilise your team and order materials in time to start work in two weeks if your price is accepted?
Each client and project team will have different expectations on start dates, completion dates, and how you achieve them. If the dates are unachievable or the program durations are too short, now is the time to put your cards on the table and tell them straight. This may help them justify potential project delays to their client or respect your honesty, which could reinforce the relationship.
Who is responsible for the design of the project?
If you are a services, structures, or façade contractor, your works could include a hefty design component. It is important to clarify from the outset whether the client needs you to provide design and engineering services for the project or whether you are to provide shop drawings and as-built drawings.
Being responsible for the design would mean that you either have to employ in-house design professionals or outsource the design component to a consultant. In addition, taking on the risk of design, relevant insurance, and responsibility of co-ordinating your design with the architect, structure, services, and other stakeholders.
Depending on the project, taking on the design may be incredibly beneficial by offering efficiencies in time and resources and potentially allowing you to make huge material cost savings. However, you need to balance this with the added risk of managing the design, including the potential for coordination issues costing you management time to resolve, amongst other matters. You will need a complete understanding of what is required from you before committing to taking on this enormous responsibility.
What are the payment terms for the project?
What may seem like a dream project can quickly become a nightmare if the payment terms aren’t agreed upon upfront. If you have submitted your invoice without understanding the payment terms, the client may be late in paying or may not pay at all if you haven’t met their requirements.
It is best to ask what their terms are, what date they need the payment claim to be issued, how it should be issued, and what paperwork you need to provide with it.
If the payment terms are not something you can agree to, make it clear what you can agree to, and if you cannot find an agreement with your client, you may have to withdraw from tendering. If the client is reasonable, they will understand your position and respect that you have discussed it upfront. Rather than using up their valuable time just to find you can’t sign a contract and forcing them to re-tender the package.
Are there any non-negotiable factors of this project for you?
As well planned as a project is, no project runs entirely smoothly. Especially in the commercial building sector, aspects of a project may be changed to reduce costs or save time.
By asking what aspects of the work are non-negotiable, you establish flexibility throughout the project. Certain aspects being off-limits trims your choice when deciding which parts of the project to change. Suppose the client says the entire scope of work or agreement terms are non-negotiable. In that case, this sets the tone for later negotiations and could be a red flag as setbacks are almost inevitable.
What do you see as the next step?
Once you have an idea of the project brief and non-negotiable aspects, ask what your client sees as the project’s next step. This indicates how serious your client is. Having thorough notes and knowing the route forward demonstrates a client is invested in the meeting. In contrast, an unsatisfying answer shows a lack of interest in the business relationship.
Furthermore, this allows you to prepare for the next step. Having a good idea of what is needed and when will enable you to organise your staff and resources, positioning yourself for the next stage. A solid answer to this question allows both sides to take the project forward quickly and effectively. In contrast, a non-answer is an indicator to avoid further engagement.
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