How to Understand your Customers

How much do you know about your customers?


If you're like most businesses the answer is "not enough". To discover if your product or service is having a positive effect and creating customer loyalty, take time to establish your customer's emotional and material needs, then offer valuable incentives for remaining loyal to your company. 

The more you know about your customers, the more effective your sales and marketing efforts will be. It's well worth making the effort to find out:

  • Who they are. If you sell directly to individuals, find out your customers' gender, age, marital status and occupation. If you sell to other businesses, find out what size and kind of business they are. For example, are they a small private company or a big multinational?

  • What they do. If you sell directly to individuals, it's worth knowing their occupations and interests. If you sell to other businesses, it helps to have an understanding of what their business is trying to achieve.

  • Why they buy it. If you know why customers buy a product or service, it's easier to match their needs to the benefits your business can offer.

  • How they buy it. For example, some people prefer to buy from a website, while others prefer a face-to-face meeting. How much money they have is also important to keep in mind, as you'll be more successful if you can match what you're offering to what you know your customer can afford.

  • What they expect of you. For example, if your customers expect a reliable delivery service and you don't disappoint them, you stand to gain repeat business.

  • What they think about you. If your customers enjoy dealing with you, they're likely to buy more. You can only tackle problems that customers have if you know what they are.

  • What they think about you. If your customers enjoy dealing with you, they're likely to buy more. And you can only tackle problems that customers have if you know what they are.

  • What they think about your competitors. If you know how your customers view your competition, you stand a much better chance of staying ahead of your rivals.

If you're selling to other businesses, you'll need to know which individuals are responsible for the decision to buy your product or service.