The Right Customer is Always Right

I had a lot of fun this morning jousting on Twitter with another author, John Jantsch of Duct Tape Marketing fame (Twitter: @ducttape). The topic: is the customer always right?

Here is John's blog post on the topic:
http://www.ducttapemarketing.com/blog/2009/07/21/is-the-customer-always-right/

And here is my stand:
http://savvycapitalist.blogspot.com/2009/07/customer-service-profits-or-whats-point.html

Now, the news that may surprise you all (and John, for that matter): He and I agree completely!

Do not sell to the wrong customer! Don't chase the wrong customer in your marketing & sales efforts! Serve the customer that fits your business plan, and serve them slavishly.

...Yes, I said it, slavishly!

At Coiné Language School, we targeted companies, not individuals. We looked for firms that had foreign workers or Americans who traveled. If the company was too small, they might not be able to afford us. That was okay with us. We offered very reasonable, fair rates, and gave much more than our clients paid us for; we did not lose money on our customers.

If you're an upscale retailer, open shop in affluent towns. You with me?

If you're a marine engine mechanic, advertise to boat owners. Don't try selling to bicyclists, wonderful as they are: they're a bad fit for your particular business.

There are so many kinds of businesses, that to opine about the each and every business model is a bit tricky. So I won't. Instead, follow these three basic rules, which work across industries:

Rule #1: The customer is always right.
Rule #2: If the customer is ever wrong, reread Rule #1.*
Rule #3: You're a business. Make money. No matter how great your customer service is today, if you close up shop, you won't be able to serve your customers. So stay in business!

If you're at all savvy, those three rules should work together quite nicely.


*These first two rules are written in stone outside Stew Leonard's, "The world's largest dairy store" (www.stewleonards.com). 4 locations, $400 million/year. Any questions?

As for me, I'm looking forward to reading Duct Tape Marketing.