Customer needs
A customer is an individual or another business that buys goods or services from a business. Customers have needs: what a good or service must offer, and how it must be sold, for them to be willing to buy it.
The four main customer needs are price, quality, choice and convenience.
| Customer need | What it means | Example |
|---|---|---|
| Price | The amount paid, and whether it fits the customer's budget or feels worth paying. | A student with £35 to spend on a school bag looks for one within that budget. |
| Quality | How well made, reliable, long-lasting or effective the good or service is. | The student checks the straps are strong and the fabric is waterproof, so the bag will last. |
| Choice | The range of options, such as sizes, colours, features or brands, so the customer can pick one that suits them. | The student wants a bag with a laptop pocket in a colour they like. |
| Convenience | How easy and quick it is to buy and use, including location, opening hours, delivery, stock and payment. | The student buys from a shop near home that opens after school, or orders online for next-day delivery. |
The needs are linked. A bag that is cheap but falls apart quickly fails the quality need, and one that is strong but sold in a single plain design fails the choice need. A shop that has the bag in stock and is easy to reach meets the convenience need.
A business can be a customer too. A café buying coffee beans is a customer of its supplier, and its needs may include a trade price, consistent quality, a choice of roasts and reliable delivery.
Edexcel GCSE Business · 1.2.1 Customer needs