Why does your customer do business with you?

If you could adopt your customer's viewpoint of your business, would you be able to understand why that customer does business with you?

If you learned the truth behind your success or lack of it, could you use that information to change your future? Here are some ideas to consider. Your mileage and reality may differ.

Suppose you have a small business. Do you feel that your customers patronize you because of your low prices? A more likely scenario is that your prices are somewhat competitive but your location is far more convenient and you provide a level of personal customer service that a larger business does not.

If that is the case, dropping prices might bring in a few more customers, but it would certainly cut your margins and your profitability.

Increasing your level of customer service, on the other hand, might generate more business from the same customers and also increase referrals.

Let me use an example that all can possibly relate to. There are restaurants, snack shops and markets where one is greeted warmly by the owner or manager and made to feel extremely welcome. These are usually places that are owned and operated by a family.

Some of these places have employees who have not grasped the importance of personal customer contact and they do their jobs while chatting with other employees or with friends. When the owner is absent, the customer is treated as a minor inconvenience or as an anonymous business transaction.

When I go into one of these establishments, I try to deal with those who recognize me and make me feel welcome. If they are not available, I often take my business elsewhere for that day. If I am in a hurry, and there is no easy alternative, I will spend money there, but it is not a pleasure.

The bottom line is that few people need to do business with you, they are usually patronizing your business because the experience makes them feel good! There are so many stresses in life today that most of us treasure the times when we are enjoying ourselves.

Can your business make your customers feel good about their experiences dealing with you? If you can answer that, you may find that your business activity is more rewarding both personally and financially.

This entry was posted in Basic Business Concepts, Dealing with hard times, Micro-Business and tagged , , , . Bookmark the permalink.

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