DEFINITION of 'Customer'

An individual or business that purchases the goods or services produced by a business. The customer is the end goal of businesses, since it is the customer who pays for supply and creates demand. Businesses will often compete through advertisements or sales in order to attract a larger customer base.


Businesses often follow the adage that "the customer is always right" because happy customers will continue to buy goods and services. Companies closely-monitor the relationships that they have with their customers, eliciting feedback to see if new products should be created or adjustments be made to what is currently offered.

  1. Vendor

    The party in the supply chain that makes goods and services available ...
  2. Consumer Goods

    Products that are purchased for consumption by the average consumer. ...
  3. Product Differentiation

    A marketing process that showcases the differences between products. ...
  4. Customer Relationship Management ...

    The principles, practices, and guidelines that an organization ...
  5. Marketing

    The activities of a company associated with buying and selling ...
  6. Consumer Staples

    Essential products such as food, beverages, tobacco and household ...
Related Articles
  1. Entrepreneurship

    5 Ways to Make Money on Twitter

    Find out how people are making money online on Twitter, and get some ideas that can turn Twitter into a source of revenue for you or for your small business.
  2. Entrepreneurship

    5 UPS Tools to Help Your Small Business Go Global

    Understand small businesses' struggles and the types of tools they need to go global. Learn about the top five UPS tools that help small businesses go global.
  3. Budgeting

    Top 7 Money Saving Tips for Eating Out

    Discover seven money-saving options available to consumers who are looking to partake in the luxury of dining out while cutting down on cost.
  4. Entrepreneurship

    5 Steps to Become an Entrepreneur

    Understand what it takes to become an entrepreneur, and learn about five steps that can help someone become an entrepreneur and build a successful business.
  5. Professionals

    Keeping Clients Through Good And Bad Times

    If you work in the financial industry, the secret to keeping clients happy is to be consistent.
  6. Professionals

    How To Target Ideal Customers

    Expand your definition of a lucrative client and uncover a new realm of possibilities.
  7. Options & Futures

    Whom Should Corporations Please?

    Companies balance the interests of owners, customers and employees. Find out who comes out on top.
  8. Entrepreneurship

    9 Tips For Growing A Successful Business

    Give your business what it needs to thrive and it will reward you for years to come.
  9. Professionals

    The Marketing Director's Pitch

    Are your shoulder's wide enough to carry a company's reputation?
  10. Financial Advisors

    How Educating a Prospect Can Win You a New Client

    Financial advisors have many tools at their disposal to turn propects into clients. Educating them, rather than selling to them, is the first step.
  1. To what extent can fast food restaurants like McDonald's pass along rising input ...

    For fast-food restaurants such as McDonald's to pass along rising input prices to customers, they have to increase the price ... Read Full Answer >>
  2. How do I decide whether a credit card offer is a good deal or not?

    Externalities lead to market failure because the price equilibrium does not accurately reflect the true costs and benefits ... Read Full Answer >>
  3. How does Federal Trade Commission use the Herfindahl-Hirschman Index to evaluate ...

    Examples of U.S. products that rely on protective tariffs to survive include paper clips, canned tuna, tobacco and sneakers. Paper ... Read Full Answer >>
  4. What's the difference between Porter's 5 forces and PEST analysis?

    The major difference between Porter's five forces and PEST analysis is that PEST analysis is designed more for the company ... Read Full Answer >>
  5. How do companies like ClickBank help websites make money?

    Companies such as ClickBank help websites make money online by providing digital marketplaces for entrepreneurs to participate ... Read Full Answer >>
  6. What are key factors that are generally considered in demographic studies conducted ...

    Key demographic factors that a company might examine to assess a potential market and more effectively target potential customers ... Read Full Answer >>

You May Also Like

Hot Definitions
  1. Cyber Monday

    An expression used in online retailing to describe the Monday following U.S. Thanksgiving weekend. Cyber Monday is generally ...
  2. Bar Chart

    A style of chart used by some technical analysts, on which, as illustrated below, the top of the vertical line indicates ...
  3. Take A Bath

    A slang term referring to the situation of an investor who has experienced a large loss from an investment or speculative ...
  4. Black Friday

    1. A day of stock market catastrophe. Originally, September 24, 1869, was deemed Black Friday. The crash was sparked by gold ...
  5. Turkey

    Slang for an investment that yields disappointing results or turns out worse than expected. Failed business deals, securities ...
  6. Barefoot Pilgrim

    A slang term for an unsophisticated investor who loses all of his or her wealth by trading equities in the stock market. ...
Trading Center