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What’s The Best Thing For Business? Part II

Why do so many businesses put up with bad customers? If you catalogue your worst customers, what do you see-slow pay, chronic complaints, demands for lower prices and special deals, unappreciative of the things that makes your company different from its competitors? Do 80% of your problems come from 20% of your customers? If you analyzed the average profitability of that 20%, would it be substantially below the average profitability of the 80%.

Now catalogue your best customers. What are their attributes? What are the patterns of their attributes? What would the impact be on your company if you got more of them and none of the bad ones? The more you know about the good customers and why they chose you, the higher the odds are that you can get more of them. So ask yourself the question, “What’s the best thing for the business?” Listen to your answer and act accordingly.