Understanding Your Customer in 2025: A Guide to Staying Relevant and Profitable

Can you confidently answer the question, “Who is your customer?” If not, it’s time to revisit this critical aspect of your business. Your customers are the lifeblood of your company, and knowing who they are—and how their needs evolve—should be as instinctive as knowing your own name.

While most businesses start with a clear idea of their target customer, many lose sight of this over time. As markets shift and customer behaviours change, failing to adapt can lead to declining sales and inefficiencies. Let’s explore how to identify your target audience and ensure your business remains aligned with their needs in today’s fast-paced world.

Why Understanding Your Customer is Crucial

Knowing your customers forms the foundation of effective business strategy, marketing, and sales planning. This insight allows you to:

  • Structure your business operations around customer needs.
  • Communicate more effectively with your audience, convincing them to choose you over competitors.
  • Retain profitable customers while identifying new ones who fit the same profile.

Regularly updating this information helps uncover new opportunities and keeps internal conversations informed. For instance, while a physical high-street store might have been ideal pre-pandemic, today’s customers may prefer the convenience of online shopping. Adapting to these shifts can significantly boost efficiency, sales, and profitability.

How to Identify Your Target Customers

When defining your audience, start broad and refine as you go. Casting too narrow a net initially could mean missing out on profitable opportunities.

Here’s how to approach it:

  1. Segment Broadly: Begin by separating customers into large categories—such as UK vs international buyers or businesses vs consumers.
  2. Refine Further: Narrow down by factors like price sensitivity (affluent vs budget-conscious) or purchase intent (buying for themselves vs others).
  3. Identify Your Primary Target: Focus on the group that buys the most from you or offers the highest profitability (these may not always be the same).

This process will help you develop a clear picture of who your core customers are while leaving room for secondary audiences that may also drive revenue.

Creating Customer Avatars

Once you’ve identified your target audience, creating customer avatars—or detailed profiles—can help personalise your marketing and sales strategies. Let’s break this down with an example from a flower shop:

  1. Customer Goals:
    • Customer A: Wants to express appreciation or sympathy (occasional purchase).
    • Customer B: Buys flowers for personal enjoyment (regular purchase).
  2. Influences:
    • Customer A: Influenced by online imagery, delivery options, and reviews.
    • Customer B: Prefers in-person shopping for freshness and expert advice.
  3. Demographics:
    • Customer A: Typically male, purchasing online for someone else.
    • Customer B: Typically female, shopping in-store for herself.

These avatars provide clarity on how to tailor your messaging and services to meet specific needs effectively.

Keeping Customer Profiles Up to Date

In 2025, customer behaviours are evolving faster than ever due to technological advancements and shifting societal trends. To stay ahead:

  • Review Top Performers: Regularly analyse who your best customers are and why they stay loyal. Case studies can provide valuable insights into their motivations.
  • Engage New Customers: Ask how they found you and why they chose you over competitors during onboarding conversations—this feedback is gold for refining marketing strategies.
  • Understand Departures: If customers leave, find out why (if possible). This can highlight areas for improvement while keeping the door open for future business opportunities.

Adapting to changes in customer behaviour ensures your business remains relevant and competitive.

How ETC Can Help You Thrive

Struggling to define or reconnect with your target audience? At ETC, we specialise in helping businesses like yours understand their customers better through tailored coaching and actionable strategies.

If you’re new to ETC, take advantage of our free new business review. In just two hours, we’ll provide expert advice and leave you with practical steps you can implement immediately to improve your marketing and sales efforts.

Don’t let outdated customer insights hold you back—contact us today to future-proof your business!

 

Episode 2 – Understanding Your Customer: The Key to Effective Marketing

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In Episode 2 of the Business Made Smarter Podcast, hosts Ed Nell and Doug D’Aubrey explore why understanding your customer is the foundation of effective marketing. Doug explains how identifying your target audience enables you to tailor your messaging, focus your efforts, and maximise marketing success. From creating a customer avatar to tracking changing trends, this episode provides practical insights for refining your marketing strategy.

Key Takeaways

🔹 The Importance of a Target Audience: Marketing to everyone is ineffective. Define your ideal customer to create clear, compelling messaging.
🔹 Building a Customer Avatar: Identify demographics, buying behaviours, and interests to better understand where and how to market effectively.
🔹 B2B vs. B2C Strategies: Selling to businesses requires different marketing approaches than selling to individual consumers—tailor accordingly.
🔹 Review and Adapt: Customer behaviors and demographics change over time. Regularly review your audience and adjust marketing efforts to stay relevant.
🔹 Strategic Partnerships: Understanding your customer helps you identify referral partners and collaborations that reach your ideal audience.

Key Moments

  • “Marketing without knowing your audience is like throwing mud at a wall—some might stick, but most won’t.”
  • “A customer avatar helps you understand where your audience shops, what they value, and how to reach them.”
  • “Even luxury brands like Bugatti don’t market to everyone. They know exactly who their buyers are and target them accordingly.”
  • “Review your customer base annually—trends shift, and failing to adapt can cost your business valuable opportunities.”

About the host

Doug D’Aubrey, founder and Managing Director of Executive Training and Consultancy (ETC), leverages extensive senior management experience to help businesses across the UK and Europe. With tailored consultancy packages ranging from short-term projects to 3-year growth programs, Doug aids companies in improving operations and achieving results. Doug’s success lies in his honest communication with leaders, identifying strategies to enhance management skills and optimise service delivery for measurable outcomes.

Take advantage of a FREE 2-hour Business Review with ETC’s expert consultants to identify goals, tackle challenges, and create a clear plan for growth. Visit https://exec-tc.com/ to book your review.

Subscribe, share, and leave a review to stay connected and keep your business journey moving forward!

Episode 1 – Small Business Marketing

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In Episode 1 of the Business Made Smarter Podcast, hosts Ed Nell from The Media Insiders and Doug D’Aubrey, founder and managing director of Executive Training and Consultancy, discuss how small businesses can market themselves effectively in a competitive landscape. Doug shares ETC’s 8-step framework for budget-friendly marketing, offering actionable strategies for understanding target audiences, creating clear messages, building loyalty, and refining approaches. Whether you’re a start-up or a growing enterprise, this episode provides practical insights to help your business thrive.

Key Takeaways

Marketing on a Budget: Small businesses don’t need big budgets to market effectively. Targeted, data-driven strategies can outperform costly campaigns.

Understanding Your Customer: Defining your target audience is critical to tailoring your messaging, products, and services. Start by analysing your current customer base and identifying profitable segments.

Creating a Clear Message: Simplify your communication so a 14-year-old can understand it. Avoid industry jargon and focus on clarity to attract and retain customers.

Building a Database: Maintain a central, organised list of contacts to streamline communication and marketing efforts. Categorise contacts to tailor campaigns, ensuring GDPR compliance when collecting and managing customer data.

Loyalty Matters: Retaining existing customers is more cost-effective than acquiring new ones. Use loyalty programs and excellent service to encourage repeat business.

Regular Monitoring: Continuously evaluate marketing efforts to identify what works. Track the origins of leads to optimise spending and maximise results.

Key Moments

“Understanding who your customer is changes the language, messaging, and channels you use in marketing.”

“Your marketing message should be simple, clear, and free of industry jargon—it needs to speak directly to your audience.”

“Building loyalty is about creating a positive first experience and maintaining strong relationships with your customers.”

“Expensive marketing isn’t always the most effective—track your results to ensure you’re investing in the right areas.”

About the host

Doug D’Aubrey, founder and Managing Director of Executive Training and Consultancy (ETC), leverages extensive senior management experience to help businesses across the UK and Europe. With tailored consultancy packages ranging from short-term projects to 3-year growth programs, Doug aids companies in improving operations and achieving results. Doug’s success lies in his honest communication with leaders, identifying strategies to enhance management skills and optimise service delivery for measurable outcomes.

Take advantage of a FREE 2-hour Business Review with ETC’s expert consultants to identify goals, tackle challenges, and create a clear plan for growth. Visit here to book your review.

Subscribe, share, and leave a review to stay connected and keep your business journey moving forward!

8 Steps to Market Your Business

Promoting a small business in today’s competitive market can feel like navigating a maze. With endless marketing advice and tight budgets, it’s tough to know where to focus your energy. But don’t worry—by following these eight practical steps, you can effectively promote your products, services, and brand without breaking the bank.

1. Know Your Customer Inside Out

Understanding your target audience is the foundation of all successful marketing efforts. Conduct market research to identify who your customers are, what they need, and how they behave. Keep an eye on market trends and competitors to stay ahead.

Even if you think you already know your audience, revisit this step periodically—customer preferences can shift over time.

2. Segment Your Audience for Precision

Marketing to everyone is expensive and inefficient. Instead, group your customers into segments based on shared characteristics like:

  • Geography: Where they live or work.
  • Demographics: Age, gender, occupation, etc.
  • Behaviour: Loyalty, purchase readiness, or buying habits.

This segmentation allows you to focus on high-potential groups and tailor your messaging for maximum impact

3. Define What Makes You Stand Out

Once you know a bit more about your customer, it’s easy to assume you can jump straight in and start cleverly marketing your business in all the right places. But why should someone buy from you? What makes you different to your competitors?
Why should customers choose you over competitors? This is where your unique selling proposition (USP) comes in. Identify what sets your business apart—whether it’s exceptional service, innovative products, or unbeatable value.

Once you’ve nailed down your USP, integrate it into all your marketing efforts to clearly communicate why you’re the best choice.

4. Craft a Clear and Compelling Message

Your marketing message should be simple, relevant, and solution-oriented. Show how your business solves specific problems for each customer segment. Avoid jargon and assume your audience is new to the market.

For example: Instead of saying, “We’re management consultants,” explain, “We help small businesses grow and increase profits.”

5. Develop a Practical Marketing Plan

A marketing plan doesn’t have to be complicated. Focus on these essentials:

  • Where to spend resources (e.g., social media ads or email campaigns).
  • Why you’re spending there (based on customer insights).
  • What message you’ll deliver.
  • How you’ll deliver it (online ads, newsletters, events).
  • What results you expect.

If your budget is tight, consider creative strategies like guerrilla marketing—low-cost yet impactful campaigns that grab attention in unconventional ways.

6. Build Your Own Database

Your database is a goldmine for direct communication with prospects and customers. Unlike social media followers (who belong to the platform), an email list is yours to own and leverage.

Use it to share newsletters, promotions, or updates that nurture leads into loyal customers. Remember: consistency is key!

7. Foster Customer Loyalty

First-time buyers aren’t automatically loyal—they need reasons to come back. Deliver exceptional service consistently and exceed expectations to build trust.

Encourage loyalty through rewards programs or exclusive perks for repeat customers. Over time, loyal customers can become brand advocates who promote your business through word-of-mouth referrals.

8. Monitor, Review, and Adapt

Marketing isn’t a set-it-and-forget-it process. Regularly review the performance of your campaigns—ideally every three months—to see what’s working and what isn’t.

Use tools like Customer Relationship Management (CRM) systems to track customer behaviour and measure which strategies drive sales. By learning from past efforts, you can refine future campaigns for even better results.

How ETC Can Help You Succeed

Need expert guidance? ETC offers personalized support for small businesses looking to enhance their marketing strategies and attract more clients.

New to ETC? Claim a free two-hour business review! We’ll provide professional coaching tailored to your needs and actionable steps you can implement immediately to grow your business.

Business Made Smarter – Trailer

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Business Made Smarter, brought to you by Executive Training and Consultancy Limited, is your go-to podcast for practical, no-nonsense advice to help your business thrive.

Hosted by Ed Nell and featuring insights from Doug D’Aubrey, founder and Managing Director of Executive Training and Consultancy Limited, this series dives into actionable strategies that businesses of all sizes can use to grow and succeed.

Since 2000, Doug has guided businesses with real-world expertise, covering topics like understanding your customers, refining your unique selling proposition, and more. Each episode delivers tools and insights you can apply immediately to elevate your business.

Plus, you can take advantage of a FREE 2-hour Business Review with ETC’s expert consultants to identify goals, tackle challenges, and create a clear plan for growth. Visit here to book your review.

Subscribe, share, and leave a review to stay connected and keep your business journey moving forward!