Why know your customer controls the growth of smart (and higher profits) Businessman

It’s one thing to have an idea of ​​who your customers are. But it’s quite different to know them. The more companies learn about their target audience – whether through purchases, reviews, focus groups or other methods – the better they will be placed to unlock growth.

Thanks to marketing adoption and availability of more consumer data than ever, companies have never been in a better position to know their customers in a way that controls intelligent growth and higher profits.

Related: How your customers can help you create a copy that sells

Provide more personalized customer experience

The main purpose of your known customer is to better understand their needs and why WoW uses your products or services. One of the most visible examples of this comes from the personalized recommendations of Amazon, which indicates the moods related to the item that the customer considers. These proposals are drawn directly from the company’s own data based on what other customers have purchased and also from the history of the individual.

Amazon -based model has become a powerful element in increasing growth and other sales among its existing customers. Already in 2013, the recommendations of “Bough” also represent 35% of Amazon sales. The success of this model played a major role in placing Amazon as an online retailer for so many customers, which caused other retailers to try to replicate this design.

Understanding your customers can also use in a less oriented settings. For example, the report from Buzzrx found that women aged 30–39 filled the most mental health and ADHD regulations in the United States from any demographic group.

For healthcare providers, understanding of a higher prevalence of these conditions in this age group (and also which regulations are most often daughter) lead to high quality care. Although this does not require a profile related to a profile, this personalized support can help health care providers to maintain patients and provide better care.

Prepare your messages reasonably

The well -known customer also allows smarter marketing, which is likely to lead to higher sales. By understanding the needs and preferences of customers, traders can ensure that their campaigns are approaching the right people on the right platforms with the right type of message. If any of these three factors are turned off, your marketing budget could waste.

In addition, you will get a deep understanding of your target audience, you can add your messages and tactics as circumstances change. For example, at the peak of Pandemie, Lowe’s released different ways that suburban parents could turn their backyard into a place to spend quality time, although closing the pandemic restricted traditional summer plans such as go to movies or visit the beach.

Understanding how customers could feel when they spent more time at home, Lowe and its competing Home Depot have seen meaningful sales growth in the first days of pandemic.

Target marketing, which understands the audience of bread, can result in a massive lift of your advertising return on investment. In fact, 74% of customers state that they will be more likely to stick to brands they believe they understand and provide reports. This only happens when you learn more about your customers.

Guide the development of products

Finlly, businesses that understand customers’ preferences can use this information to improve their products and services. Confidential businesses take feedback from customers very seriously, whether in the form of complaints or even a recommendation for a product, or new features that could fulfill addital Neeeds.

This may also be true when the product or service does not resonate with your customer base. In an interview with CNN, the training of the US President, the regGie Son-Love, quickly noted that the failure of the Wii console in society was a direct contributor to the success of his Nintendo Switch.

In addition to enhancing the design of the system itself, Son-like also recommends how the company has learned the importance of providing the “Crystal Clear” proposal to distinguish the console and the constant flow of games. The lessons of what had not been with customers previously led to Nintendo Switch sold more than 150 million units.

Whether you improve the existing product or the development of a new offer to meet the market requirement, known that your customer can lead more innovative and developing customer products. This will make your product more desirable for your target audience to create higher sales potential.

Related: Customers are changing – is your company ready?

You know your customers is a competitive advantage

Indeed, your customers can provide a strong competitive advantage in every industry. Using your knowledge of your customers offers more personalized experiences of higher quality, marketing and even product development, you can create an ecosystem that has not believed customer satisfaction and loyalty.

Remember that getting a new customer may be five to 25 times more expensive than keeping your existing customers. With a greater knowledge of your customers, you will be able to maintain your current base and manage more purchases and at the same time you will also get new customers in a more cost -effective way.