Yup, we did: a new, big one that we have had for less than three months. Why did we lose it? For several reasons, some our fault and some the client’s.

The number one reason we lost the account…we never should nave taken it. We all take on new business because; well that’s what we do. But in some cases you should walk away when it doesn’t feel right. This time it did feel right but it did not work. This leads me to the second reason my agency lost the business…me and my big mouth. During a recent conference call I pushed this client back a little on some of his comments. It was quickly apparent I had hurt his feelings. So I tried to smooth it over by reminding him that I had promised him we were going to tell him what he needed to hear–no matter what. I did and we got fired.

The third reason we got fired is the client did not know what he wanted from an agency. What he did know was that he wanted us to be the silver bullet and help him stem a double-digit decline in an industry that we have years of experience in. He did not like our suggestions (hey, it’s his money) and he did not like it when we challenged his assumptions.

What I have learned is that no matter what I tell potential clients when they sign a contract, they just don’t believe that my staff and I will speak our minds. Perhaps we both should have read this PDF by The Hayes Company before we got married. I’m sorry to see the business go because it now means I owe my staff lunch…once for getting the account and now for losing the account. It is always my goal to have at least 10 years between the celebratory and parting lunches, but not this time.

That’s right! Sounds simple doesn’t it? Well it’s not. Having the right people in your advertising agency can make all the difference. I know plenty of agencies that have really creative people with great ideas. But that’s not enough. You must be able to explain your idea not only to the client, but also to your co-workers.

Many times selling a concept to a client is left to the account team. So what happens if the creatives and the account team are not on the same page? I’ll tell you what happens. You lose a client and have bad morale in your building.

I have stressed over the years that I would rather have a senior staff that gets along and sees the big picture, with a few young folks sprinkled in for energy, than any other combination. Chemistry not only works in the lab–it works in business. Especially our business.

Too many agencies often don’t make the right hiring decisions. (Yes, I can think of a few in the last 10 years.) You CANNOT just hire creative people who think they have all the answers. You must hire people who can, and more importantly will, work collaboratively. I stopped checking references of potential hires many years ago because all I found in today’s litigious society were people who would tell me lies or worse–nothing. So now I let other people interview potential new hires. They give me additional feedback as to whether or not this person fits our culture. A final thought–don’t be afraid to trust your gut. The reason we are successful entrepreneurs is because we were unafraid.

Making good advertising means hiring good people!

I’m just back from a conference of fellow ad agency owners. As we sat around the conference table in Half Moon Bay, California we talked about common agency problems—one of those being gorilla clients. You know, the ones that take, and take and take some more. Yup. That’s what I mean.

Many years ago I had a gorilla client (55% of my business) and when they left I was devastated and had to lay off a third of my staff. I said then that I would never do that again. I’m proud to say that 15 years later I never have. Yes, I’ve been tempted. Who hasn’t? But the downside is just too risky. Take a look at the following articles and you’ll see I’m not alone.

http://www.corridorbiznews.com/aspx/NewsDetail.aspx?ItemID=465

http://www.aiga.org/content.cfm/a-dozen-common-mistakes.

The big problem with gorilla clients is that they want to rule your agency. Even worse, if they know they are the gorilla they WILL rule your agency. These clients want stuff without realistic deadlines and at prices that don’t let you make a fair profit. It also churns employees more than any other single issue in my experience. Face it. When anyone on your staff works on one gorilla client, they feel over-worked and under-appreciated and eventually say, “Hey, I don’t need this.”

Don’t be fooled, or teased, or seduced by the money. Gorilla clients will be the death knell of many businesses. It makes us lazy. Seriously. Who has time to look for new business when the big client is always on the phone? It’s easy to get lulled into a feeling of having no time for anything but the big client. I speak from experience. I drank the corporate Kool Aid once, but never again. Be careful for the big client you wish for—you might just get it.