Customers

A customer is a person or organization that purchases or uses goods or services from a supplier. In business-to-consumer contexts, customers buy for personal use, while in business-to-business settings customers may purchase for resale, production, or operations. The term can also describe internal customers within an organization who rely on other departments to deliver services.

Companies aim to understand customer needs and deliver value through products, services, and experiences. Customer relationship management, support channels, and clear communications are commonly used to manage interactions. The customer experience spans product quality, delivery reliability, service responsiveness, and the overall perception of a brand.

The customer journey often includes awareness, consideration, purchase, after-sales support, retention, and advocacy. Segmentation by demographics, behavior, and needs helps tailor offerings. Key metrics include customer lifetime value, acquisition cost, retention rate, customer satisfaction scores, and Net Promoter Score.

Ethical practices and governance are important in managing customer data and relationships. Organizations should obtain informed consent for data collection, protect privacy, provide transparent terms, and offer accessible complaint mechanisms. Fair pricing, accurate communications, and reliable service build trust and reduce risk of disputes.

Understanding customers is central to value creation. A customer-centric approach seeks to align products and processes with customer needs, supporting competition across markets and enabling sustainable growth.