Commentary

Stop Treating Your Customers Like Consumers

I was having coffee recently with a brand manager from a multibillion-dollar food and beverage company who was struggling with the launch of a new brand. "We need to be entrepreneurial," he said, "but I don't know how. How do I start thinking like an entrepreneur?"

As we continued to talk about the presumed consumer need and the demographics driving their marketing decisions, it struck me that the biggest opportunity he was missing to think like an entrepreneur was to stop treating the people who buy his product like consumers and start treating them like customers.

Customers are people we meet in the marketplace -- they have a face and a name. Consumers are people we get to know in PowerPoint decks and belong to cohorts with catchy titles like "Active Annie" or "Budget-Conscious Bob." Customers talk to you when they buy your product and give you real-time, real-life feedback that includes the good, the bad and the ugly.

Consumers are recruited by focus group facilities and get paid to answer questions from a discussion guide. Customers are complex. Their problems are unpredictable and force you to think creatively and make changes quickly in order to earn their loyalty. Consumers are homogeneous. Their problems exist as data points and are often solved by tinkering with concept statements while sitting behind a desk.

And, perhaps most importantly, when you have a genuine relationship with them, customers share their time, their experiences, their ideas and their networks to become your partner in business. With consumers, we have a transactional relationship. While they may reward us with repeat purchases, it is rare that we get more from them than the exchange of cash for goods.

I understand that in the corporate world, the "customer" is the retailer and the "consumer" is the end user but when it comes to launching new products, these are semantics worth changing. Few entrepreneurs I know talk about the people who buy their products as consumers. They use the word customer because they are on the front lines doing the selling.

Unlike the brand manager whose consumer is objectified into demographic criteria, the entrepreneur has an intimate relationship with the people buying their goods through exchanges at the register, on forums and fielding customer service calls. This intimacy frames how they how they solve problems, it results in a rich understanding of real and urgent needs, and is often the catalyst to breakthrough ideas about how to grow the brand.

There are myriad ways in which you can get to know your customers. The key is to put yourself in situations that require a one-to-one interaction and allow you to connect with the customer in a genuine and personal way. Don't know how to get started? Try this:

1. Set up a kiosk at a mall, a fair or an expo and spend a few days selling your products directly to the customer. Give them your contact information and invite them to call you with questions or comments. If they're willing, ask if you can call them back in a few days to get feedback.

2. Join the customer service team. Answer the phones, interact on forums, field questions, try to solve problems and listen to what your customers are saying.

3. Set up a sample station at a retail partner, a community center or a gym. Do more than give away product, engage in conversation and see what you can learn about the people who stop to try your product.

Next time you get stuck on which levers to pull in order to grow your brand, take a moment and ask if you know who your customers are. Step out from behind the desk and go stand behind the register. Put a name and a face and a personal history to the person buying your product. Explore what it's like to be on the front lines. You may be surprised what you learn and soon find yourself treating your consumers like customers.

2 comments about "Stop Treating Your Customers Like Consumers".
Check to receive email when comments are posted.
  1. Steve Howe, March 2, 2010 at 6:18 p.m.

    Jillian, you make some great points - gone are the days of the anonymous consumer - customers expect a more intimate connection with the brands in their lives. I would, however, like to add another way of directly connecting with your customers- using online communities. This gives brands the opportunity to immediately start engaging with their customers- whether you do it through Facebook, or community features on your site, or private online communities. Get executives across the organization involved and essentially bring your customers into your company - ask their input on new products and marketing campaigns, share content and start a discussion, pose questions relevant to your industry; not only will you have the chance to really listen to your customers, but the ongoing, two-way dialog will engender brand loyalty, and even advocacy.

  2. Gregory Yankelovich from Amplified Analytics Inc, March 4, 2010 at 2:54 p.m.

    I agree with Steve, but there are more opportunities to connect. We are experiencing an exponentially increasing engagement of consumers with Social Media. Selection and analysis of customer reviews created by these people about specific products is very educational. When you "listen" what they have to say about their experience you learn a lot more than any focus group can ever offer. In practice there a lot of unstructured data that needs to be processed and most companies that discovered this method, can only handle feedback about their own products. Fortunately there is technology available to "interpret" this valuable data into even more valuable information that assist entrepreneurial marketer to gain insights in Customer experience with their products and competitive offerings.

Next story loading loading..