The only thing worse than wasting time with a “Graveyard” prospect is closing the deal. These are the clients that are culturally and financially misaligned, causing more harm than good. They become the graveyard where businesses and salespeople go to die—draining resources, damaging your brand, and adding little to no financial value.

It’s crucial to recognize these clients for what they are: bad business. Once you understand the unique characteristics of “Graveyard” clients, you can refocus your time and energy on opportunities that truly matter.

It’s important to acknowledge that what one business might consider a “Blue Chip” client could be another’s “Graveyard” client. This doesn’t mean any business is flawed; rather, it offers a memorable way to address misalignment and drive the right behaviors within your organization.

Sales: Avoid and Disqualify

For sales teams, the best strategy is clear: avoid and disqualify these prospects early. Engaging with them for too long can harm your efficiency, effectiveness, and even morale. It’s best to cut ties before you sink more time and resources into a relationship that won’t work.

Account Management: In, Up, or Out

If a “Graveyard” client is already in your portfolio, or has slipped through the cracks, managing them strategically is essential. Aim to move them In, Up, or Out:

• Move Them In (Make It Count): Start by integrating these clients into your working process. Provide constructive feedback, set clear expectations, and establish boundaries. This approach isn’t about accommodating every request but fostering a relationship that aligns with your standards and values.

• Move Them Up (Dirty Money): If feasible, consider expanding the scope of work to make the relationship more valuable. Determine if you can transition the client from “Graveyard” to “Dirty Money” by enhancing the value of your engagement. This step requires assessing if the additional investment is worthwhile.

• Move Them Out (Cut Your Losses): If efforts to move them In or Up fail, it’s time to cut your losses. Moving clients “Out” isn’t a failure but a strategic decision to safeguard your business, your team, and your reputation. Sometimes, parting ways is the best option to preserve your overall well-being.

Conclusion

“Graveyard” clients can drain resources, demoralize your team, and tarnish your brand. Avoid falling into their trap. By strategically moving clients In, Up, or Out, you can steer clear of potential pitfalls and keep your business on the path to success. Recognize these clients for what they are and invest your time and energy where it truly matters.

Don’t let “Graveyard” clients be the downfall of your business.

Nexts Steps

If you or your sales team are struggling to maximize time with your best prospects and clients, I invite you to join my cohort-based course called: "Beyond the Founder Rainmaker - Building Your Outbound Sales Strategy". You'll gain invaluable insights, practical tools, and actionable strategies to unlock the true potential of your business.

Go Deeper

• Partnership Reviews: The Key To Retaining Your “Blue Chip” Clients
• Earn the 4R’s from your “Blue Chip” Clients
• The “Blue Chip” Client Profile
• Center your Blue Chip Aim: Time, Talent & Treasure
• Aim Small, Miss Small
• 20% of your Clients Generate 80%+ of your Revenue
• Hunter and/or Farmer: Why Specialization is Critical for Sales Success

Carver Peterson helps growth-minded leaders and organizations achieve predictable and sustainable revenue growth through a refined strategy, defined process and aligned structure.

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