Are you plagued with the wrong type of customer?

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Slide Are you plagued with the wrong type of customer? Nov 25, 2020 | 1 min read

Many successful businesses have their growth crimped because they have too many of the wrong type of customers or clients. In extreme circumstances it can threaten the viability of the enterprise.

So, how do you identify these types?

The wrong type of client is typically not paying you a great deal for goods or services during the year but is constantly demanding and takes up a disproportionate amount of your time, which could be spent more fruitfully.

Collectively, they meet the 80:20 rule – 20% per cent of your customers are taking up 80% of your time.

If you recognise this type of customer or client it is imperative to get better quality clients on board or subtly educate them that things are

changing for their benefit and it is going to cost them more or they will have to submit their queries in another format, which is likely to put a stop to it. Instead of them being able to ring you on a whim tell them they have to submit a support ticket online or an email.

Pivoting to more profitable customers who are likely to have larger wallets and buy more often from you cannot be done overnight but pretending the problem will disappear is not a solution, because sure as day follows night, it will absolutely not. It may take time and if it involves too many clients it’s obviously not something you can undertake overnight as you still need to eat in the interim until the “right” sort of customers become established.

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