What makes a customer valuable? Do customers need to share a similar worldview as you?
A quality-over-quantity mindset is essential for creating a great product, as well as focusing on the right customers. The ideal customer is one that shares your values, is financially trustworthy, and is willing to work with you.
Here’s how you can define your most valuable customers.
The Standards of Valuable Customers
We’ve consolidated Mike Michalowicz’s definition of the most valuable customers into three metrics:
1. Similar worldview. Valuable customers get along with you well because they have a similar set of rules that they approach life (and business) with. Michalowicz calls these “immutable laws,” as they’re extremely influential and never change. It’s easy and enjoyable to work with people who have similar worldviews, as you’re more likely to want the same things and understand each other. In contrast, you’re more likely to experience misunderstandings and conflict with people who don’t share your rules. You may also feel pressured to change the way you operate—to break your unchangeable rules—to accommodate them. This then leads to internal conflict and unhappiness.
For example, if part of your worldview is “Always take responsibility for your actions,” you wouldn’t work well with people who are focused on protecting themselves from criticism. It would be frustrating to work with them, and they may take advantage of you by blaming you for anything that goes wrong, not just the things you’re actually responsible for. You might then feel tempted to act defensively and refuse to take responsibility at all, contradicting your own worldview and causing internal conflict and unhappiness.
(Shortform note: Can international companies prioritize similar worldviews? Your culture heavily influences your worldview, so people from different cultures often clash in this respect. Some business experts acknowledge that it’s difficult to work with or serve people from other cultures. However, their methods for overcoming this difficulty and building positive business relationships mainly address surface issues, like misunderstanding nonverbal cues, not the kind of immutable laws Michalowicz describes. This suggests that you can accommodate these surface issues without breaking your rules or facing internal conflict. Keep an open mind and research the other culture’s norms so you know what to expect and can look past those surface issues.)
2. Financially trustworthy. Valuable customers use your services regularly, pay their bills on time, and are likely to generate future revenue.
(Shortform note: One way you could increase customers’ financial trustworthiness is by using a recurring payment model. In The $100 Startup, Chris Guillebeau says that recurring payments are more reliable than single payments, and they encourage your customers to continue using your service regularly for an extended period of time. In addition, customers could set up automatic bill payments with a recurring model, ensuring they pay their bills on time.)
3. Cooperative. Valuable customers maintain good communication and are willing to work with you to resolve any mistakes instead of holding a grudge. (Shortform note: Building rapport can be an important part of maintaining good communication. Rapport is a friendly, harmonious relationship with another person, some business experts explain. When you have rapport with someone, they’re more likely to trust that you’re working in their best interests. This makes it easier to communicate—and to work together to solve problems. Building rapport requires attentiveness, positivity, and coordination, so look for customers with these traits.)
