james hardie siding replace siding install vinyl siding lakewood concrete siding siding companies barrington hills .. Chicago Drug testing

Analyzing Customers in Your Business Plan

The Customer Analysis section of the business plan assesses the customer segments that the company serves. In it, the company must 1) identify its target customers, 2) convey the needs of these customers, and 3) show how its products and services satisfy these needs.

The first step of the Customer Analysis is to define exactly which customers the company is serving. This requires specificity. It is not adequate to say the company is targeting small businesses, for example, because there are several million of these types of customers. Rather, the plan must identify precisely the customers it is serving, such as small businesses with 10 to 50 employees based in large metropolitan cities on the West Coast.

Once the plan has clearly identified and defined the company's target customers, it is necessary to explain the demographics of these customers. Questions to be answered include: 1) how many potential customers fit the given definition? is this customer base growing or decreasing? 2) what is the average revenues/income of these customers? and 3) where are these customers geographically based?

After explaining customer demographics, the plan must detail the needs of these customers. Conveying customer needs could take the form of past actions (X% have purchased a similar product in the past), future projections (when interviewed, X% said that they would purchase product/service Y) and/or implications (because X% use a product/service which our product/service enhances/replaces, then X% need our product/service).

The business plan must also detail the drivers of customer decision-making. Sample questions to answer include: 1) Do customers find price to be more important than the quality of the product or service? and 2) are customers looking for the highest level of reliability, or will they have their own support and just seek a basic level of service?

There is one last critical step in the Customer Analysis -- showing an understanding of the actual decision-making process. Examples of questions to be answered here include: 1) will the customer consult others in their organization/family before making a decision?, 2) will the customer seek multiple bids? and 3) will the product/service require significant operational changes (e.g., will the customer have to invest time to learn new technologies? will the product/service cause other members within the organization to lose their jobs? etc.).

It is essential to truly understand customers to develop a successful business and marketing strategy. As such, sophisticated investors require comprehensive profiles of a company's target customers. By spending the time to research and analyze your target customers, you will develop both enhance your business strategy and funding success.

As President of Growthink Business Plans, Dave Lavinsky has helped the company become one of the premier business plan development firms. Since its inception, Growthink has developed over 200 business plans. Growthink clients have collectively raised over $750 million in financing, launched numerous new product and service lines and gained competitive advantage and market share.

In The News:

How to become a Career Coach for Profit

A career coach could be simply defined your job seeking... Read More

Personal Success - Take a Break from Business

Have Some Time to Yourself One of the most important... Read More

10 Filler Activities for the Summer Business Slowdown

Summer is a time for the outdoors, for that well-deserved... Read More

Dig Deep for Small Business Ideas Before You Start the Wrong Business

If you're serious about wanting to start a business, the... Read More

The Benefits of Using Freelance Consultants / Trainers for Your Project

What are the benefits of using a Freelance Consultant /... Read More

Small Business - Would You Still Need An Accountant If You Didnt Need A Tax Return?

After over thirty years advising small business it still comes... Read More

Small Business Pricing Strategies

TACTIC #1 -- Never simply slash your prices, unless you're... Read More

How to Prevent Home Business Burnout

As a home business proprietor, you may already realize why... Read More

Dispute Resolution; Competing With Other Franchisees

If you are in a franchise and have a territory... Read More

Work is a Four Letter Word

I love work, I can watch it all day.I am... Read More

Small Business - Big Business...Whats the Diff?

Small Business, Big Business ? What's the Diff?Well a lot... Read More

Looking for a New Office Chair?

Perhaps you are building a new home office or you... Read More

3.5 Million People And A Possible UK Home Business Opportunity

Has this ever happened to you... 'John, you have a... Read More

Low Cost or Highly Funded Start Up

Many new ventures are preoccupied with all the money they... Read More

Private Investigator Tactics

A Private Investigator is a professional trained in the art... Read More

Never Burn a Bridge

Why should you always maintain a good report with a... Read More

Find Some Sample Payroll Check Stubs on the Net for Easy Reference

Starting a business? For many people, the bravery to venture... Read More

Truck Wash Business Case Study

Often smart entrepreneurs look for out of the way businesses,... Read More

Be Nice to Your Payroll Department

Ok, so next to the taxman, your company payroll department... Read More

Starting Your Small Business

Where do you find more customers?How do you compete with... Read More

Increase Your Profits with a Point of Sale (POS) System

Whether you operate a chain of restaurants, a mom-and-pop convenience... Read More

Home Based Franchise Case Study

Here is an interesting case study of a company, which... Read More

Don?t Wait for the Perfect Plan

1. Don't Spend Too Much Time PlanningWhen you are entering... Read More

Dont Wait - Sell The Future Now!

Just as you are about to say "good-bye" to your... Read More

Finding a Venture Capital Firm

Many ventures are faced with the challenging task of raising... Read More

induction self-ballasted lamps induction highbay Pete's produce ..
induction self-ballasted lamps induction highbay Pete's produce ..