The main difference between customer and consumer is that the customer is the person who buys or purchases the products or the services while the consumer is the person who uses the products or the services.
The two terms customer and consumer are essential terms in the economic ideology of Consumerism. Consumerism in brief means the ‘a social and economic order and ideology that encourages the acquisition of goods and services in ever-increasing amounts’.
Key Areas Covered
1. Who is a Customer
– Definition, Features, Types
2. Who is a Consumer
– Definition, Features
3. What is the Relationship Between Customer and Consumer
– Outline of Association
4. What is the Difference Between Customer and Consumer
– Comparison of Key Differences
Key Terms
Consumerism, Customer, Consumer, Economics, Products
Who is a Customer
Customer is the person who pays the price and purchases the goods or services of a certain producer or a business. Therefore, the customer is not essentially the consumer as well. The customer may pay the price and buy the products and give them to a different person who then becomes the consumer of them.
Furthermore, the main aim of the business world is to impress the customer to buy more of their products. In other words, all the marketing activities of the businesses act to influence the behaviour of the customers, inducing them to buy more of their products or goods.
Customers are also categorised into two categories as :
- An entrepreneur or trader (sometimes a commercial Intermediary) – a dealer who purchases goods for re-sale
- An end user or ultimate customer who does not re-sell the things bought but is the actual consumer or an agent such as a purchasing officer for the consumer
Evidently, the main focus of attention of any business is their customers. Therefore, motivating the customers to buy the products more will directly impact on the increase in profit and optimise the production rates.
Who is a Consumer
Consumer is the person who consumes or uses the goods or the services. The customer can be the consumer as well, however not in all cases. Nonetheless, it is the consumer who will know the genuine quality and the nature of the product or the service since it is the consumer who consumes it.
However, it is noteworthy when a certain product fails to please the consumer; it will directly affect the reduction of the production rates as well. As such, consumers play a vital role in the economic system of a nation. Without consumer demand, it will be futile for the producers to produce goods and services that are not sold well.
Therefore, business strategies such as gathering data on the quality of their products and opinions on the improvement of their products and services through consumer reports and surveys have become essentials in the business world.
Relationship Between Customer and Consumer
- The customer and consumer can the same person or not.
- The consumer’s opinion may directly affect the customer as well as buying the products or services.
Difference Between Customer and Consumer
Definition
Customer basically refers to the person who buys the products or services from a shop or business while consumer is the person who uses these products or services. The customer and consumer become the same person in cases where someone purchases goods and services for personal use.
Significance
Since it is the customer who spends the money and buys the products or goods, the main focus person in the business world is the customer. On the other hand, since it is the consumer who actually consumes/uses the specific products, he or she may identify the genuineness of the marketing procedures. Therefore, the significance of the consumer is highlighted in the numerous consumer surveys and reports the business world performs.
Conclusion
People use the two words customer and consumer interchangeably without knowing their distinctions. In fact, the customer and consumer may or may not be the same person. The difference between customer and consumer is that customer is the person who buys the products or the goods while consumer is the person who uses the products or the goods.
Reference:
1. “Consumerism.” Wikipedia, Wikimedia Foundation, 10 July 2018, Available here.
2. “Customer.” Wikipedia, Wikimedia Foundation, 10 July 2018, Available here.
3. “Consumer.” Wikipedia, Wikimedia Foundation, 5 July 2018, Available here.
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