In this difficult economic climate, we all want more customers, because more customers means more turnover and more profit, right? Well the answer to that is that it actually depends and some customers might actually be sapping your hard won profits.
In actual fact, not every customer is a perfect fit for your business. That is why it is so important to identify who your ‘ideal’ or niche customer is. If you find your ideal customer, they will benefit from what you offer, they will be delighted with you and your businesses, they will return again and again and hopefully they will turn into an ambassador for your brand. That is because you are a good fit.
The problems of a bad fit
Now, consider the customer who is not a good fit. First of all, they might ask you to make adaptations to what you do. Immediately you are in the reals of the uncertain, the new and the potentially costly. Will you have to spend money to meet their expectations? Will your inexperience mean that your service delivery suffers, or the product is below par? How much time will you spend trying to work all this out? And how many ‘ideal’ customers will pass you by because you are focussing on this toxic customer and you miss them? This type of customer is not generically bad, but they could be bad for you. Read More