My Thoughts by Rick Stephens

Do you have customers or do you have clients? Someone asked me yesterday to explain the difference. He claimed that it was just semantics and that basically customers were clients and vice versa. I was surprised that he felt that way, because there is a distinctively important difference between the two.

So exactly what is the difference between a customer and a client? Let’s look at a couple of examples of each, and you will understand why having clients is better than having customers.

If you walk into a convenience store and buy a cup of coffee, are you a customer or a client? You are a customer, of course. If you go to a lawyer’s office and hire the attorney to represent you, are you a customer or a client? In this case, you are a client. Some might discern that the difference is whether you provide a service or a product. But no, that is not it either. Here is another example. If you go to a car wash and get you vehicle cleaned (a service), are you a customer or a client? In this case you are still a customer. If you go to an insurance agent and purchase a life insurance policy (a product), are you a customer or a client? I would call you a client. So the difference is not whether you provide a product or a service.

The difference is the relationship you have with the person buying from you. Clients make a commitment to buy your product or service from you on a long term basis. A customer is a hit and run type buyer. If you cater to customers, you have to be continually searching for them. Clients on the other hand don’t need to be replaced as often, and they will generally pay you more for your product or service.

If you strive to turn your customers into clients, you will work less and earn more. Will the next person who buys from you be a customer or a client? You decide.

To Your Success -