Think About Who Is Your Ideal Customer?

By: Dan Kennedy on: May 13th, 2010 7 Comments

In Tuesday’s post, I covered the importance of being able to target your best prospects by developing strategies to gather pertinent information about your best customers.

Now I am going to tell you about one of the best examples of the importance of demographics to a small business that I know of.

A woman owned a very exclusive fashion store in a pricey shopping center in a wealthy suburb. She kept no customer mailing list and actually knew very little about her customers. She said it wasn’t necessary.

Most of her customers lived in the high priced condominium community right near her store and she regularly advertised in the small newspaper that serviced that community.

She was finally convinced to start building a mailing list. Guess what? Two-thirds of her customers lived twenty-five to as far as forty miles away in middle rather than upper income communities. They came to her store based on their perception that it was where the super fashionable people shopped. She was shocked.

By using that information she was able to conduct direct mail campaigns into those areas where her customers really lived. As a result she tripled her business in just six months.

Ask yourself how much do you really know about your customers or clients? Is it possible that some assumptions you’ve made about your customers are incorrect?

Are there commonalities that are shared by many of your customers that you are unaware of?

Is there information that you already know about your customers that you aren’t using?

Doctor Napoleon Hill, famous Think and Grow Rich author emphasized accurate thinking as one of the key characteristics shared by the hundreds of successful business leaders he studied over a twenty year period. It is not possible to employ accurate thinking in your business without accurate information about your customers.

You should use accurate information about your customers to select new prospect mailing lists, make new product or service introduction decisions and create direct mail on advertising pin pointed at your customer’s interest.

For anyone of these reasons it would be worth the effort of collecting and compiling information about your customers but when you consider all three uses for the information it is obvious that collecting such information might be one of the most profitable things you ever do.

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    ABOUT THE AUTHOR:

    Dan Kennedy is internationally recognized as the 'Millionaire Maker,' helping people in just about every category of business turn their ideas into fortunes. Dan's "No B.S." approach is refreshing amidst a world of small business marketing hype and enriches those who act on his advice. For more money-making marketing tips, tactics and strategies, go to www.GKIC.com

    7 Responses

    1. Understanding the importance of WHO is one of the most important concepts I’ve absorbed as a member of Glazer-Kennedy Insider’s Circle. Still learning about the refinements associated with that key question, and the additional questions included in this post are excellent for stimulating my brain further. Thanks!

    2. “Is it possible that some assumptions you’ve made about your customers are incorrect? ” – absolutely

      Solid advice in this post. I need to do this more. Thanks, Dan.

    3. Rob Anspach says:

      not only understand your market, but define who your ideal customer is…

      discriminate! (not in the racial way)

      but know when to say “No”! to a customer and politely refer them to someone who might be a better fit for them

      when you understand your market, define your parameters, and be selective your sales will go up and frankly some of your headaches will decrease, because you are no longer dealing with undesirables.

    4. Hi, just back frome superconference and now reading no bs marketing letter
      plus making them believe,charlatan and making notes of action. example,i did a tv show and added my web address at end to help homeowners in trouble,my homebuyers list(prospects)i am reaching out to send them a gift to apologize for
      my screw up.Plus, more things,including credit repair,etc.
      My wife says i act like marketing is a new religion! thanks.

    5. Hi Dan

      You are absolutely right; sometimes we are making wrong assumptions about our customers. I sometimes think I’m dealing with a new customer, and then it turns out that in fact, it is a returning customer that were happy with my service more that 12 years ago!

      Regards
      Henning

    6. Charles Ra says:

      accurate thinking as one of the key characteristics shared by the hundreds of successful business leaders
      brings us to using accurate information about my customers.
      great.

    7. LOVE the strategy of “reverse engineering” my or my clients’ best customers, then targeting more of the same.

      Beats the heck out of just randomly spraying out a generic message and then welcoming as a client anyone who happens to respond…

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