Question

QUESTION 1

i) Define the concept customer profile.

(ii) Discuss the various business benefits of building customer profiles.

Question 2

According to Zimmerer & Scarborough (2008), an entrepreneur can be described as “one who creates a new business in the face of risk and uncertainty for the purpose of achieving profit and growth by identifying significant opportunities and assembling the necessary resources to capitalize on them”. If you want to become a future entrepreneur, you would be a Maker, Merchant, Magician, Mobilizer or Master. Therefore, explain the difference between all the Five (5) entrepreneurial styles, looking at their fears, priorities, desires and limitations and their strengths.

Answer 1

1.i)Customer profiling is a way to create a portrait of your customers to help you make design decisions concerning your service.A customer profile template helps a business to know more about a customer,who they are,what they do,and where they do it.

ii)Benefits of customer profiling:

a)Tailor relevant audience:Customer profiling enables businesses to tailor communications based on the interests and behaviour of the customer.

b)Enhance response rates:A customer profile aids businesses to communicate with the right people at the right time.This helps in driving improved and desired results from sales and marketing campaigns.

c)Better customer acquisition:A customer profile enables businesses to understand their best customer and this,in turn,can help identify prospects with similar characteristics.Such prospects can turn out to be potential customers and are always expected to have greater interest in your service and offering.