Customers are different even though they purchase the same products or services from you. They all require different treatment, isn’t it? And you are responsible for building an organization that can better serve the kind of customers that gives you more value.
Once you have some customers, profitable businesses figure out the customer segment worth focusing at and weed out customer segment that don’t bring them any value or profit. All good managers and entrepreneurs know the power of this kind of data. They separate their customer base and continuously segment it. They continuously understand who their customers are and how they are changing.
Now let’s see how different and unique your customers are. Use a spreadsheet (or a CRM software). Add the following columns to your spreadsheet against all your customers name.
1. Channels they came from
2. The geography they belong to
3. The business they are in
4. The older or younger the organization is
5. The older or younger the decision maker was
6. The size of the company
7. The revenue of the company
8. Who in the organization contacted you
9. Who authorized you the money
10. Who got benefited directly from your service in the company (eg: the marketing team or the CEO or COO etc.)
11. The sales they gave you
14. The services they got from you
15. The quality & support they demanded
16. The profit you got from this customer
17. The effort you needed to market/sell them
18. The effort you needed to service them
Now apply 80-20 rule to this. Focus 80% of your energy and staff on serving the most valuable customer segment and 20% serving less valuable. Both things are equally important. While most valuable customers will give you most of the cash, less valuable customers may show you a different future. They can show you if there’s a new market segment emerging or a new kinds of product you can launch to capture a big potential.
Focus your marketing, sales, copy of your website, the product, the contract, the investments accordingly.
As a small business want to grow big this will make you focus your energy and resources in building more value and wealth. You save time, become more knowledgeable about the outcomes and bring more profit.
What else? What more can you do with this customer data? Do this and comeback and comment how this helped you understand your business better.