Evolution of Your Customer

Starts with the evolution of you.

I could end it there... But then I miss the opportunity of completing my daily writing challenge!

Owning a small business has allowed me to see the impact of change on a much faster scale than change in a Fortune 500 company. I am grateful for the two unique experiences as I am constantly learning transferrable skills that elevate my game in both endeavors. The small business is a testing ground where I can get timely feedback on my efforts, and have unlimited opportunity to expand on my creativity. After all, there is no red tape when you are the boss!

When I first opened up shop, I had a loose idea of what I was doing; given my decade of business-to-business sales experience and a plethora of retail experience in years prior, I had confidence. However, as with any new endeavor, there is an eagerness for early success. After all, I poured a significant amount of personal investment into it - it must pay off! So, I started putting forth tremendous effort to find new customers - any customers.

And it worked. I started attracting new customers, making some early sales, getting more likes and follows on my social media pages. However, I found my customer base consisted of a handful of repeat customers, and an occasional buyer of smaller items. It was not sustainable long-term. I began trying all the typical kitschy things - giveaways, games, raffles, etc. - anything to entice new business.

And it came... But I started noticing that there were requests being made that required extra work on my behalf. For the sales and inventory I had at the time, I was reluctant to invest into tools that could help with invoicing and other operational requirements. It was a manual process every step of the way that took up my time and I was losing revenue and profit as a result. However, I was so fixated on serving (correction: over-serving) these new customers, I was ready to bend over backwards for their demands. Whether that was special discounts, showing extra photographs or videos of items previously shown, offering customized payment plans, and more. I was starting to burn out. And with burnout, came the apathy towards this budding business.

While in the first four and a half months of operation, I sold nearly $25,000 worth of crystals, I paid myself $0.00. And my enthusiasm was fading. It took a period of hard self-reflection to realize that:

1) I was operating in lack energy - I felt that I needed new customers, therefore I would do anything to get them! I was missing something and had to do what it takes to get it. And...

2) I was being a yes-person to complete strangers who were treating me poorly and taking my work for granted.

Learning my lessons, I had to course-correct. I started asking for advice, paying attention to what others in the business were doing, and reminding myself of some of the basic lessons I teach my sellers at CDW. Not all customers are created equal and if you want to attract a certain type of customer, then you ought to put out the intentions, energy, and effort that matches the type of customer you wish to attract.

For me, that took the form of creating boundaries. Customers who made unrealistic demands were gently addressed. Certain activities became off-limits, such as complex payment plans. I stopped duplicating work and started working smarter. This faded out a significant portion of my legacy client base.

It also pushed me to focus on selling the type of product that I was passionate about, that I could stand behind, rather than what my - at the time - customers were looking for. Instead of catering their every need, I started being more authentic to my style and my taste. This pushed me to find my niche in the market - I was on the high-end spectrum of the crystal business, rather than the more entry-level and transactional side. There is absolutely a place for each type of business, but the moment I began being more true to my passions, I started to figure out what role I played in the big picture. No longer competing for the bottom dollar, I started sourcing more rare, beautiful, and unique pieces that allowed me to increase my margins and improve cash flow.

And lastly, I saw an improvement in sales and the type of customers that I was attracting. My average order size went from $15-20, to approximately $100. Customers are more willing to leave reviews that help promote my business. I am getting better feedback and more recurring and appreciative customers.

I lost many customers along the way, but those losses pale in comparison to the time, blood, sweat, and tears I lost in learning my lessons. Those customers are better served by others that can offer them what they are looking for. However, I gained so much more as a result of these experiences, and I continue to learn every day.

So I remind you:

1) If you want better customers, think about what you are doing to attract your current customers? What can you start doing differently?

2) Not all customers are created equal - who is your target customer? What does that target customer want that you can offer while playing in your strengths and being authentic to yourself?

3) Know your boundaries. You are a professional and you have value to deliver - stand your ground when you are tested. This can be done gracefully and tactfully.

4) Know your worth. No one works for free. Whether you get paid in dollars or hard lessons is entirely up to you.

Final thoughts... When I made changes to how I ran my small business, some customers adapted with me. In fact, they became better customers. Not everything from my origins was a loss. The customers that no longer served me faded away, and the customers who were there for the long run grew with me. It all starts with the evolution of you.