Five Types of Customers in the Retail Setting Essay

Five Types of Customers in the Retail Setting - Essay Example In fact, grabbing customer attention is not a big deal but retaining customer loyalty requires strategy and sound thinking at the top. A satisfied customer often takes pride in becoming a goodwill ambassador for the company. Companies admit that the loyal customer base is often not more than 20 percent, but it is widely believed that often this segment constitutes more than 50 percent of sales for the company1. The loyal customers buy because they simply prefer the shop, feel a sense of belonging to the shop, and find it hard or even impossible to source their goods from other retailers. These loyal customers visit the stores at a specific interval and often buy everything that they need in the outlet. Discount customers form another very important customer segment. A retail store in particular needs to take into account the changing needs and requirements of the customers, depending upon the changing environment, food habits, time management, availability of alternates in the market, increasing awareness about environmentally friendly goods and services etc. This certainly proves to be a dependable strategy for the store to earn the loyalty of the customer while successfully attracting more customers. In addition, providing discounts on different occasions also proves to be a big attraction. Christmas time is one of those occasions when every store puts up billboards announcing the sale and another bonanza for their customers. The sale happens to be a favorite word for customers in general. Then a search starts to look for best bargains which could fetch the customer more value for their money. Though loyalty counts on such occasions as well, because first of all the customers wou ld look towards their favorite store for such announcements, they don’t mind visiting another store delivering quality products at attractive prices.