Weekly Business Update – How to Identify Your Ideal Customer

Original Post 21 July, 2016

This week has been a very full-on week in business and also personally as I had a family member pass away unexpectedly over the weekend. Therefore I had this video on How to Identify Your Ideal Customer completed and edited but never shared to let you all know – apologies – so back on deck and here it is below.

I was inspired to share this topic How to Identify Your Ideal Customer because it is one of the top 5 topics I always cover with every mentoring client I work with. It is also something that all business professionals should define and review regularly. I also cover why to even bother with going through this process of identifying your Ideal Customer too.

 

 

Post Update May 2018

This original post ended here which I wrote back in 2016 when I was focused on learning more about creating short training videos than blogging. I have, since April 2017, been re-educating myself on online marketing and businesses and learning to blog. Blogging has been a passion of mine for the past 10 years but I have had only a little training on it until 2017. Therefore this has been my focus and why I’m movtivated to improve past articles here of great topiccs and content. Therefore here is more detail on this topic for you to participate in:

Terminology Client/Customer

In my original post the title of the article was How to Define Your Ideal Client. I have changed the title of the article to attract more readers (the old article url will be redirected to this updated version). But I do still use the title Ideal Client Journey but this is just the same as the Ideal Customer Journey. So to reassure you I use the terms client and customer to mean the same thing.

This week’s topic I share on my short training video is how to determine or define or identify your ideal customer.

In the video I used the analogy of taking your business from an empty mini car (with no people in it) to an overflowing one. I don’t know if you can see all the people that were squished into the green mini. Basically I’m talking about taking your business from few customers to an abundance of customers. Wouldn’t that be nice. Take a moment to imagine your business attracting as many customers as you have ever imagined. It is easy, you are in flow and they are the right kind of customers for you and your business.

In addition, I spoke about why you should even bother going through this process of identifying your ideal customer. And that is specific to your business.

Frequently when I ask many business owners to ‘describe your ideal customer’. Many respond with their ideal customer is ‘anyone’. Unfortunately if you’re marketing to ‘anyone’ this becomes a very expensive exercise.  This is because you’re not standing out in the market as unique or different. Advertising to everyone is near pointless because not everyone is going to want what you have to offer.

Identifying your Ideal Customer will enable you to have a few more passengers along for the ride instead of marketing to everybody in a meaningless way.

Therefore, I encourage you to market to a specific type of person. A niche. When you do this, you

stand out from the crowd in your marketing. You stand out as an expert. Although you’re marketing to a specific type of person, all types of people end up coming to you. Why? Because you look like an expert when you’re very specific. You come across as knowing what you’re talking about and that’s how it looks in the marketplace.

How do you Identify your Ideal Customer?

I recommend you look at your existing client base. If you already have a very successful business you may want to refine what your Ideal Customer is perhaps be a bit more selective with who you work with. And if you’re new to business, then you have a clean slate to begin with and dream up who your dream client is. Write it down.

Therefore, whatever the reason, whether is to:

Attract more Customers or to Attract High Quality Customers:

Step 1. Begin with your existing clients or past clients over the last quarter or year.

Step 2. Look at the top twenty percent of clients

Step 3. Use this information to create a case study

So you look at your top twenty percent clients. Top twenty percent can be defined as those that:

  • Are worth the most to your business. I.e. the most revenue
  • You loved working with or
  • Are out there shouting from the rooftops and sharing about your business

Whatever your definition of the top twenty percent customer is, then go through all those people and look our for common characteristics.  For example, are they:

  • Women or men?
  • Age range?
  • Small business owner? Business professional, meaning do they work for somebody else.
  • Are you naturally attracting people from selective industries and so on

Include details such as:

  • how they connected with you,
  • how you found them,
  • what social media outlets they prefer,
  • how they watch the news,
  • where do they go to hang out?
  • Common occupations…

High aesthetic appeal and a value of the arts or fashion is often a common thread with customers in my businesses.

That is not to say that by marketing to a specific type of person that you are excluding all other types of people. It simply means you’re much more specific. It means you sound more confident in the marketplace. You sound like the expert you are with the ability to address certain problems directly for your ideal type of customer.

Bonus Training

Here is an additional training video from my business community, Out of the Box Biz, where I share an application on how knowing your ideal customer increases your results and effectiveness in business networking:

 

Many people I work with, whether they’ve been in business for a short time or a very long time find it very useful when they come to work with me on a one-on-one basis in a mentoring capacity to redefine or review their ideal customer.

This is the second step on a three-month mentoring program that I take people through. This program begins with:

  1.  A Visualization process that draws out your values and your vision, mission and your most immediate goals.
  2. Then we move on to this step, the ideal customer and then we move on to,
  3. What I like to call the ideal customer journey which is more commonly known as the sales funnel. That’s a topic that I’ll deal with in another how-to video/ another weekly update. I’ve mentioned the visualization process on a previous weekly update and i’ll talk more about how you can draw out your vision, mission and goals from the values raised in another article.

For now, I encourage you to leave your comments or any questions in the below comments discussion. Feel free to share your experiences defining or revising your ideal customer too:

 

2 Replies to “Weekly Business Update – How to Identify Your Ideal Customer”

  1. I agree that narrowing down and identifying your ideal customer is a great idea. If you haven’t been in business awhile do you want to try to focus on what you think would be your best customer or do a more of a shotgun approach till you get enough customers to do an analysis on?

    1. Thanks for stopping by to share your comment Chris. I think it is best when you’re new in business to focus on what you want your ideal customer to be and measure and compare who you actually meet and work with against this ideal. Over time you can refine this ideal customer and work towards ways of improving how you attract them.

Leave a Reply

Your email address will not be published. Required fields are marked *