In marketing terms, understanding the difference between clients and customers can significantly impact your business strategy. Let’s delve into the nuances:
Clients:
Definition: A client is a specific type of customer who seeks professional services from your business.
Nature of Engagement:
Clients engage in long-term relationships with your company.
They value personalized attention, advice, and solutions.
Typically, clients are loyal and continue to work with you over time.
Examples of Client-Based Services:
Law firms
Design studios
Insurance agencies
Accounting firms
Real estate agencies
Marketing/advertising agencies
Customers:
Definition: A customer is someone who buys products or services from your company.
Nature of Engagement:
Customers engage in transactional relationships.
They purchase tangible goods or use services without necessarily seeking personalized advice.
Customers may be one-time buyers or occasional shoppers.
Examples of Customer-Based Services:
SaaS (Software as a Service) companies
Retail stores
Subscription-based businesses
Banks
Restaurants
Amusement parks
Why It Matters:
Strategic Decisions: Recognizing the difference helps you tailor your customer service approach.
Service Type: If your company has a customer service department, it likely serves customers, not clients.
Hybrid Cases: Some companies have both clients (high-value customers) and regular customers.
For instance, in subscription-based companies (like SaaS), some customers may purchase professional services and become clients.
Customer vs. Consumer:
Customer: Buys goods or services from a business.
Consumer: A specific type of customer who buys goods or services for personal use.
Consumers are the end-users of a product, while customers can purchase from both B2C and B2B companies.
Remember, understanding these distinctions helps you tailor your marketing efforts effectively!
If you need help defining your marketing strategy for you clients of customers give us shout!