Question

Why doesn't every company already differentiate its customers by needs? (customer relations)

Answer 1

Every company doesn’t already differentiate its customers by needs even though they claim to have a customer-centric approach to business. This is mainly due to the fact that differentiating customers on the basis of their needs is not only a fairly new concept but also a difficult task as well. Needs differentiation of customers involve making use of feedback from an identifiable customer. This feedback is not always easily available and when available not always accurate and precise.

Due to this difficulty companies often end up grouping customers on the basis of very-similar and individually expressed needs. Thus customers are differentiated and grouped more on the basis of traditional approaches and not on the basis of feedback from a particular customer that determines which needs group that customer belongs to.

Thus companies often end up differentiating customers on the basis of their value and not on their needs.