Dallas Business Consultant Elijah ClarkDallas Business Consultant Elijah Clark

Customer satisfaction

There are plenty of products and services on the market from which your customers could choose to make their purchases. Customers that select your business to purchase goods or services do so because of their overall perceived value of your business. Consequently, your business must produce value that connects to, and positively influences, the customer’s perception. If the customer has a positive perception of your business, they are more likely to make a purchase and promote your services or product, which can translate into future sales.

Like most businesses, I assume that the goal of your marketing strategy is to generate profit and brand awareness; which means it has to identify the right type of customer. From a marketing perspective, there is no better customer than a repeat customer.

Considering the cost of maintaining repeat customers is less than gaining new customers, the additional revenue could be used for increasing your business’s competitive advantage. Consequently, building customer satisfaction and loyalty are paramount for retaining customers and increasing revenue.

— For more lessons like this, purchase your copy of Act Like a Business: Think Like a Customer by Dr. Elijah Clark from all major bookstores. —

Customer Perception

Customer perception is a significant predictor of customer purchasing outcomes. The customer’s perception of your purchasing processes can influence your business’s reputation and sales. Customers with a positive perception of your business will likely react differently to reviews posted by previous customers compared to customers that do not have a positive perception.

Value Perception. As a business, you should seek to position positive product knowledge at the beginning of your customers’ journey. While attempting to examine the relationship between customer uncertainty reduction and value perception, I found that customer uncertainty about a business influenced the overall value perception of the selected businesses. To reduce the concern of potential customer uncertainty, your business should publicly display reviews and testimonials to assist in improving the value perception of your business.

— For more lessons like this, purchase your copy of Act Like a Business: Think Like a Customer by Dr. Elijah Clark from all major bookstores. —

Cultural Uniformity

Although it is rarely discussed in smaller businesses, analyzing the cultural differences between your customers can help in developing targeted marketing strategies. Cultural differences naturally exist and can greatly influence your marketing. Cultural differences may include customer locations, beliefs and cultural norms, lifestyle, income, and many other psychographic and demographic parameters.

Additionally, it is important to consider online customers and the environment and culture of your website visitors as they often have a wider reach than brick-and-mortar locations. No matter the location, you may have to acknowledge cultural differences if you decide to change the way you do business, or if you plan to expand online, or to another region.

The targeted customer for your business was likely determined by who your business would like to attract. You should target your marketing efforts toward those individuals and businesses who would most likely utilize your products or services. If you want all customers and ethnicities to purchase services from your company, you may need to analyze your marketing strategy and determine how to make it attractive for all groups and cultures. The best method to understanding your customers is to conduct marketing research, which is discussed later within this book.

— For more lessons like this, purchase your copy of Act Like a Business: Think Like a Customer by Dr. Elijah Clark from all major bookstores. —

Customer Profiling

Customer profiling is a behavioral relationship marketing technique which involves a variety of marketing strategies ranging from simplistic to complex. Customer profiling begins with the identification of data associated with satisfied existing customers and then uses that data as a basis to target new prospects with similar profiles. The profiles of customers can be categorized in multiple ways according to influential variables present in their profile.

Profiling consists of determining the characteristics and demographics of customers. Identifying demographic profiles of current customers may help your business strategize ways to attract new customers and generate higher revenue through targeted marketing strategies. To gather demographic information from existing customers, your business should track sales data and other customer related information to help determine the ideal customer for your business.

Customers have unique preferences and needs and segmenting allows for managing customers based on their individual or grouped characteristics. Invalid segmenting could produce dissatisfied customers. Customer profiling should be the basis of your segmenting strategy and has proved to be the most useful strategy in customer acquisition.

— For more lessons like this, purchase your copy of Act Like a Business: Think Like a Customer by Dr. Elijah Clark from all major bookstores. —

More on customer types

Loyal Customers. These customers may be less in number but promote higher sales and profit as compared to other customers. These customers are generally satisfied with your product or service and desire consistency and reliability. Loyal customers often require individual attention and rewards that demand quality customer service.

Discount Customers. Discount customers are also frequent visitors but they usually only make purchases when offered discounts on regular products and brands or buy only low-cost products. The greater the discount, the more likely this customer is to purchase.

Impulsive Customers. These customers are difficult to market to as they don’t have any specific item on their purchase list. Handling these customers is a challenge as they don’t look for particular products and are attracted to businesses that have many options to choose from with products and prices on display.

Wandering Customers. These customers are likely to generate the least profit as they are not sure of what they want to purchase or if they want to purchase. Additionally, these customers don’t usually have the finances available to make a purchase but may purchase at a later date dependent on whether they are still interested and have not found a better value elsewhere.

loyal and repeat customers are ideal for most businesses. Nonetheless, it is necessary for you to study the behaviors of customers in your chosen demographic before connecting with them as it will help you to identify specific customer needs and respond accordingly. By identifying the behaviors of customers, you can easily create targeted strategies to attract and satisfy their wants and needs.

— For more lessons like this, purchase your copy of Act Like a Business: Think Like a Customer by Dr. Elijah Clark from all major bookstores. —

Types of Customers

Customers play a significant role in the success or failure of your business. In fact, the customer is the actual boss in all dealings and responsible for profits generated for your business. The customer is the one who uses the products and services and judges the quality of those products and services. Hence, it’s important for your business to prioritize and retain former customers as well as continually gain new customers to sustain and grow the business. A strategy to gain new customers includes segmenting your current customers into groups which will help determine how to satisfy and attract your desired customer group.

Your segmenting strategy should also take into account:
• Age group of the customers
• Geographical location
• Lifestyle of customers
• Social status of customers

— For more lessons like this, purchase your copy of Act Like a Business: Think Like a Customer by Dr. Elijah Clark from all major bookstores. —

Social Behaviors

Understanding customers’ social behaviors are valuable for gaining insights into human motivations and how customers allocate resources in various circumstances when making purchasing decisions. Your business could benefit from learning about the social behaviors of your customers as a means to direct marketing correspondence and impact customer behavioral attitudes.

Personal Values. In the context of business marketing, personal values are defined as an underlying determinant of the attitudes and behaviors of customers. In addition to social behaviors, personal values were found to have a significant influence on customer behaviors. However, personal values were noted to have a more significant effect on customer behavior compared to other psychographics considering personal values link centrally to an individual’s cognitive system.

— For more lessons like this, purchase your copy of Act Like a Business: Think Like a Customer by Dr. Elijah Clark from all major bookstores. —

Customer behavior

Understanding the buying behaviors of customers will help you better market and sell your products or services to your targeted customers. It’s important that you understand what prompts your customers to purchase a particular product as well as what keeps them from making a purchase. Understanding the behaviors of your customers will additionally assist in comprehending the decision-making stages your customers go through before making a purchase. Generally, there are several stages your customer goes through before they finally make a purchase. Other factors, be they cultural, social, personal, or psychological, also influence the buying decision.

To help understand customer behaviors in an online environment, a study consisting of 350 customers concluded that customers’ attitudes and behaviors toward businesses depended on their perceptions of the business, the product, ease of use, and convenience. Establishing an understanding of the behaviors of your customers is central to developing successful marketing strategies. Analyzing customer behavior is vital for exploring opportunities that help in the development of successful strategies that influence customer decisions and expand brand awareness. Moreover, attempting to offer a product without understanding customer behavior could cause a loss of both revenue and time.

— For more lessons like this, purchase your copy of Act Like a Business: Think Like a Customer by Dr. Elijah Clark from all major bookstores. —

Targeting the right customers

As a business, you need to identify your target customers by analyzing their lifestyles, psychographics, income, spending capabilities, and mentalities so that you may offer them relevant products and services.

For example, knowing that individuals from lower income groups would never be interested in, or have the means to buy, expensive and luxurious products is beneficial in that it allows your business to focus its attention on the likely buyers of your product or service.

Trying to sell a Mercedes or a luxury watch to someone who finds it difficult to make ends meet would definitely be a disastrous marketing technique.

— For more lessons like this, purchase your copy of Act Like a Business: Think Like a Customer by Dr. Elijah Clark from all major bookstores. —

Relationship marketing

Strong customer relationships are essential for your business if you desire to increase sales and generate a positive brand reputation. Customers frequently recognize their relationships with businesses similar to personal connections. In analyzing whether customers looking for relationships with businesses actually desired a genuine personal relationship with the business, it was found that a majority of business-to-customer (B2C) relationships were inauthentic when contrasted with genuine person-to-person relationships.

The foundation of relationship marketing includes four essential elements of relationships that include commitment, trust, comprehension, and quality. In an examination of 306 online surveys, researchers confirmed that each of the four elements of relationships influenced customer loyalty. Nevertheless, the customer’s perception and comprehension of quality and value influenced the relationship and purchase intentions.

— For more lessons like this, purchase your copy of Act Like a Business: Think Like a Customer by Dr. Elijah Clark from all major bookstores. —

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