Posted in Finance, Accounting and Economics Terms, Total Reads: 597
Definition: Consumer Orientation
It is an approach to the business where all the key decisions are centered around customer needs and satisfaction. In simple terms, it is the customer-centric business. This model focuses on establishing strong relationships between the consumers and the producers by designing the products after a detailed understanding of the consumer needs and expectations. In the past, business attention used to revolve around the products and services of a company or in other words business was product-centric.
But, in the current era where consumers hold greater control in the marketplace owing to multiple options, the business orientation has switched to customer-centric business. Everything from product creation to selling and servicing places consumer focus as the top priority. Employees and management align their team and individual objectives around satisfying and retaining customers.
Example: Consumer orientation is observed when consumer surveys or feedback are taken to introduce a new product or to improve the existing product.