What Is the Purpose of a Successful Business?

The purpose of a business is to create a customer — Peter Drucker, Management Guru

Who In their right mind would even think about commenting on a Drucker quote other than verbally bowing to its pristine elegance?

But we need to have a conversation around the notion that creating a customer is the fundamental goal of a business. In today’s world with crazy competition, empowered customers and fleeting customer loyalty we need to extend our thinking.

We need to get more focused. ‘Go get a customer’ without some clarity and qualification could be problematic.

Not all customers are created equal; there’s no such thing as a bad customer, but some are better than others— Roy, differentiator

This type of thinking should play a critical role in defining the purpose of a successful business.

A business needs to create the RIGHT customer. It needs to gather as many RIGHT customers as it can.

The RIGHT customer is one:

  • that has the growth potential to meet the organization’s financial goals. No use targeting a customer that doesn’t have the revenue potential you need to grow successfully;
  • who is a fanatic about what you do or what you produce. They care about your products or services;
  • is a part of an extended group of fans who communicate regularly with one another and with others to spread your reach.

Organizations need to get more proficient at choosing WHO they want to serve.

Its not about the quantity of ‘casual consuming followers’ you get; it about attracting the quality ones who are ‘relentless-re-purchasers’ and who virally spread your word while they benefit from the relevance, quality and value you deliver.

Take the emphasis off the customer and put it on what consumption value is derived by someone.

The purpose of a business is to create unique experiences for the customers they choose to serve. If one-and-ONLY relevant and compelling experiences are created, customers will come — Roy, experience creator

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