While attracting new customers is always a major goal for any small business, it’s just as important to learn how to keep those customers. One of the best ways to do this – and in turn attract new customers so that your business continues to grow – is to get to know your customers, where they fit in their industry, and their specific needs. By knowing a customer’s business nearly as well as they do, you can take the typical customer-vendor relationship to the next level. When your customer sees that you really understand their business needs, you turn that relationship into a partnership – one that benefits both sides.

1. Tips on Understanding Your Customer

2. Introduction
While attracting new customers is always a major goal for any small
business, it’s just as important to learn how to keep those customers. One
of the best ways to do this – and in turn attract new customers so that your
business continues to grow – is to get to know your customers, where they
fit in their industry, and their specific needs.
By knowing a customer’s business nearly as well as they do, you can take
the typical customer-vendor relationship to the next level. When your
customer sees that you really understand their business needs, you turn
that relationship into a partnership – one that benefits both sides.

3. Here are five things you can do to
know your customers better.

4. 1. Ask Questions
It may seem obvious, but this tip is definitely worth repeating. Don’t be afraid
to ask your client as many questions as necessary to really know something.
Make sure you’re asking the right questions, too. Just as important as asking
“how” is asking “why.” Rather than looking ignorant, you’ll convey to the
customer that you’re truly interested in getting to know their business and
thus helping them accomplish their goals.

5. 2. Go With the (Money) Flow
Understanding the natural flow of money in your customer’s
particular industry is vital to understanding what drives their
business. Learn about the customer’s revenue model so that you can
come up with new ideas that fit in their own approach to the
business.

6. 3. Research the Competition
Just about every client will have competitors. Part of working with your client
effectively is knowing who their competitors are in the space and where they
might have stumbled, so that you can help your client avoid making the same
mistakes and gain a competitive edge. Look at areas such as partnerships,
pricing, and user expectations.

7. 4. Understand Client Partnerships
Today, just about every company needs to develop solid partnerships with
vendors and providers to succeed, especially in the digital space but in other
industries as well. Examine the role each of your customer’s partners plays in
the business and see if there may be ways to improve upon those
partnerships, or even whether they are all necessary.

8. 5. Understand the Client’s End
Customer (if B2B)
Just like with your own company, the lifeblood of your client’s business is
their end customers. Ask who their target customers are and why a person
or a company would spend money on their product or service. Again, this
one may seem fairly obvious. But taking the time to really know where the
end customer is coming from and what may drive a purchasing decision can
help you come up with suggestions for improving your client’s products and
services, or even streamlining their business by eliminating unnecessary
elements.

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