Identifying and Catering to Different Customer Types

In the business world, it's crucial to recognise that customers vary in their behaviours and needs. They can be individuals or businesses, including suppliers or contractors interacting with your company.

Main Categories of Customers

Customers typically fall into two groups: external and internal customers.

External Customers

These are further divided into various sub-categories:

Loyal Customers

Loyal customers are vital, often making up a significant portion of sales. They're satisfied with your offerings and are less price-sensitive. Maintaining their loyalty through value and appreciation is key.

Discount Customers

Discount customers are driven by sales and special offers. They may not be inherently loyal but can be converted over time through consistent value.

Impulse Customers

Impulse customers make spontaneous purchases. Effective marketing and attractive displays can influence their buying decisions.

Need-based Customers

Need-based customers purchase out of necessity. They value problem-solving and efficient service, and can easily switch brands.

Wandering Customers

These customers often lack a clear intent to buy. Providing them with thorough information can guide them towards a purchase.

Understanding and adapting to these varied groups is crucial for business success.

Internal Customers

These include employees from various departments whose work impacts customer satisfaction. They play a vital role in delivering a positive customer experience.

The 80/20 Rule in Customer Management

A common business principle states that 80% of your business comes from 20% of your customers. Focusing on nurturing this 20% while also converting the remaining 80% into loyal customers is a balanced approach.