For those of you I’ve coached and others who have sought customer advice, you have heard me say “don’ be afraid to fire a customer”. Frankly this has shocked a few business owners. So to help I’ve worked with them to study and classify their customers. We do this by establishing who they are: A, B, C or D customers.
Another way to look at this is by establishing your own 4-H Club: Hilarious, Happy, Hassle or Horrible.
Here is how the concept fits together:
A (Awesome) customers are Hilarious
B (Basic) customers are Happy
C (Can’t Deal With) customers are a Hassle
And D (Dead) customers are Horrible
Think about your customers. Typically 10-15% are horrible. They drain the money and energy from you and your business. Another 10-20% are hilarious and are a sheer delight to work with and serve. The other 65-85 % are either basically happy or a hassle.
As a business owner, your responsibility is to free yourself from horrible D customers by finding someone more appropriate to serve them. You also must be taking the hassle out of dealing with C customers by raising your prices and better positioning (converting them to B’s and A’s). And, finally enjoying your happy B customers, and celebrating and laughing with your hilarious A customers.
Another way to think about this is to: Imagine and dream of your ideal customer. What do they say to others about your service and product? How much do they buy from you? How do they treat your team? How concerned are they about your success as well as their own? How do they feel about the value you bring to them and your pricing? How loyal are they?
Do you have a clear picture of these magnificent, appreciative people? You should, because they will help you and your business be successful.
Here’s the coaching question(s) of the moment:
Why would such a customer choose your business?
Why would they buy from you? What changes do you need to make, and what kind of business do you need to create to attract and keep such people?
The truth is that it is our responsibility as the owner to create a business that will attract our ideal customers. Stated another way, you will always have the customers you deserve.
Here’s my coaching challenge for this week: Get with your team and ask these (above) questions, and then create an action plan to start doing and being what you need to be to attract and keep the very best customers and to position those C customers higher in your 4 – H Club. I would love to hear some practical ideas that each of you are implementing. Call me with some of your thoughts concerning this concept. Hilarious, Happy, Hassle, or Horrible.
Who you want to work with and serve is your choice.
Find those prefect customers and improve business sales in 2011…call Ohio Business Coach, Ralph Berge 440.838.0991