When your biggest client leaves, it can look like the end of the world. But client loss can be survived—and even turned into an opportunity. Here's how.
Warning Signs Your Client is About to Leave
Clients rarely fall off unexpectedly. The brightest indicator of any relationship's status is the quality of communication. When a client starts communicating less often or more briefly, something is "off."
Red Flags to Watch For
Why Clients Leave
Client's Perspective (Not Your Fault)
Budget Decreased
Due to inefficient management or emergencies, they must cut investments into outer services to focus on internal needs.
Found Better Services
Another agency offers the same services for better price, with more appealing attitude, or promotes itself better.
Management Changes
The new project manager wants to prove themselves useful by changing everything their hands can reach.
Internalizing
They hired in-house employees to cover tasks they previously paid you for.
Could It Be Your Mistake?
Unclarified Expectations
Afraid to lose a big client, you agreed to their terms without discussion—and failed to deliver. An agency that neglects establishing expectations before the relationship starts is likely to fall short.
Solution: Talk about deadlines, discuss revision limits, point out what you can and cannot do within time limits.
Flawed Communication
Going off radar for entire project duration leaves clients in uncertainty. No clear point of contact leads to conflicting communication. Overcomplicated tech talk intimidates clients.
You Failed (And Hid It)
Not every failure causes clients to leave. But a failure you conceal and refuse to openly admit signals your customer to abandon ship.
Wrong Approach to Relations
Demanding long-term contracts with exclusive privileges, pushing services they never asked for, using "or else" rhetoric—all turn customers away eventually.
What Happens After Client Loss
Revenue Loss
Halted growth plans, fewer employee benefits, and increased expenses on customer acquisition.
Team Confusion
If employees knew who was your biggest client, bad news can cause people to worry about losing their jobs.
Getting Emotional
Loss hits harder than gain. Even if you win a bigger client the next day, you'll still feel bad. Manage emotions carefully.
Reputation Damage
95% of unsatisfied customers share negative opinions. 45% do it on social media. 63% of consumers read these reviews.
The Worst-Case Scenario
If you developed your agency with an eye on the needs of your biggest client, you're in trouble: layoffs and financial loss due to hiring based on that client's specific needs. Jobs will be lost along with revenue, profit, and overall growth. You may even slide backward compared to previous years.
Your Survival Strategies
1 End the Relationship Properly
Always be polite and take the high road. Thank them for their time and wish them well. Never act desperate for work. Mark a date 30-90 days out in your calendar and check in with them—not to sell, but to see how they're doing.
2 Tell Your Team
Better you tell them the bitter truth than they learn it themselves. Secrecy is not good corporate policy. Observe their reactions—worried (normal), ready to work hard (good), or don't care (question why you employ them).
3 Discuss What Went Wrong
Recreate the work process with the client and understand what went wrong and when. The point isn't to find a scapegoat—it's to learn from mistakes.
4 Count Losses, Cut Expenses
Map your sales cycle to see how many sales you can close soon. Review all expenses and eliminate those that aren't crucial for survival and ability to do your job.
5 Check In with Other Customers
If you're making the same mistakes with them, you want to know ASAP. Ask for feedback, offer help with their challenges. If they know about your situation, admit and clarify it.
6 Focus on Existing Clientele
Aim to recover full or partial lost income by a certain date through new work or approaching existing clientele for additional services. Don't be pushy—you don't want to look desperate.
7 Work with Freelancers
When a big customer leaves, you often lose tasks specific to them. Having freelancers on your team alleviates pain greatly—no firing employees, smaller financial losses, and you can rehire the same people later.
How to Win Your Client Back
Miracles Do Happen
UPS faced a disastrous strike in 1997 and lost thousands of workers along with clients. The company was on the brink of extinction. In 1998, UPS increased profits by 87%. They called clients, offered discounts, met them in person, apologized, and provided perfect customer service with a confident attitude. It worked.
Don't Rush
Your customer had reasons to leave. By trying to handcuff them, you'll only make things worse. Be patient—they might return later if cooperation was fruitful.
Learn Why They Stopped Buying
They probably told you during that goodbye phone call. Use this information.
Stay in Touch
Don't write someone off because they're not your customer anymore. Make short calls, drop polite emails. "Out of sight, out of mind."
Research Their Current Situation
To make an offer they can't refuse, you must know what they need now. Approach a lost customer as a completely new one.
Make an Adjusted Offer
Create a special offer meeting their current needs. Don't strive for "bigger, better version of the same." Focus on unique services that precisely meet their challenges.
Learn to Move On
Sometimes things don't work out. Just move on and ensure you don't repeat the same mistakes with new customers.
Frequently Asked Questions
What percentage of revenue should one client represent?
Never have a client be more than 20% of your revenue. If a client makes 25% or above of your annual revenue, they are considered LARGE, and their loss can be detrimental to your business. This "20% rule" protects you from catastrophic losses.
Should I try to win back a lost client immediately?
No rush. Your customer had reasons to leave. By trying to handcuff them, you'll only make things worse. Be patient. End the relationship professionally, thank them for their time, and mark a follow-up date 30-90 days out. Stay in touch without being pushy.
What are the main reasons clients leave an agency?
Client-side reasons include budget decreases, finding better services elsewhere, management changes, or internalizing work. Agency-side reasons include unclarified expectations, flawed communication, concealed failures, and wrong approach to customer relations like using "or else" rhetoric.
The Bottom Line
Losing your biggest client feels devastating. But remember: BBDO lost Visa and won them back. UPS nearly went extinct and increased profits by 87% the next year. Client loss is survivable.
End relationships professionally. Tell your team the truth. Analyze what went wrong. Cut unnecessary expenses. Check in with other clients. Focus on adding value. Consider working with freelancers to reduce dependency risks.
And most importantly: never let one client represent more than 20% of your revenue.
Reduce Client Dependency Risks
Boundev provides vetted freelancers you can scale up or down based on client needs. Never get caught over-hiring for one client again.
Hire Flexible Talent