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The customer isn't always right

May 11th, 2014
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The customer isn’t always right.

So says Robert A. Lutz, the former President and Vice Chairman of Chrysler Corporation and the author of the book “Guts – The seven laws of business that made Chrysler the world’s hottest car company.”
One of Lutz’s Immutable Laws of Business says that the customer isn’t always right. In fact, Lutz says that nobody in his or her right mind could possibly believe that the customer is always right.

  • Customers don’t know what they want.
  • Customers lie.
  • Customers can’t predict the future.
  • Customers certainly don’t have the industry-changing ideas that companies need to succeed.

Since customers and prospects aren’t very good at pointing companies in the right direction, many firms decide to play it safe. They create products and services that are right for everybody.

Lutz believes that this approach is doomed.

Companies can make more money, Lutz tells us, if they create niche products and services that are enthusiastically embraced by prospects and customers. When you water down your product or service, and try to please everybody, you end up not pleasing too many people at all.

In today’s marketplace, people no longer have to settle for their second choice. Prospects simply won’t buy bland, one-size-fits-all products and services.

I don’t recommend your adopting Lutz’s strong anti-customer attitude. But all software developers should give serious thought to creating niche products and services. Alternatively, create software applications that target the mass market, but create separate niche marketing campaigns for each sub-market that you’re targeting.

– by Al Harberg, the Software Marketing Blog guy

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