May 03, 2021

A Strong Customer Development Plan

Yesterday I showed you a situation where a brand had no Customer Development Plan to speak of. When that happens, the same items sell at the same rate across all customer segments.

 
When every item sells at the same rate across all customer audiences, your failed to find ways to customize your assortment and thereby facilitate the development of customers.

The table above represents actual data for the top 25 items selling at a specific brand.

The table below represents actual data for the top 25 items selling at a brand that knows how to Develop Customers.


The 10th best selling item (overall) is the 6,957th best selling item to the Acquisition Audience, and is the 1,713th best selling item to the Welcome Audience. Among Loyal buyers? It's the 3rd best selling item.

This is what it looks like when you are fusing your Merchandising and Customer Development strategies. You pick and choose the products that appeal to customers based on different life cycle situations.

Does that make sense?






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