Customer Mix - Meaning & Definition

Published by MBA Skool Team, Last Updated: October 19, 2014

What is Customer Mix?

Customer mix is the sales driven by a particular type of customer segment expressed as a percentage of business’s total sale.

For Example: Consider a company Dean Food’s “Fresh Dairy Direct” segment which produces markets and distributes branded and private label dairy products. Below is the customer mix of Fresh Dairy Direct as of FY2012

It shows that retailers form largest customer for Fresh Dairy Direct at 66% of sales. Next is Food Service which contributes to 13% of sales. Government Schools form 7% of sales while convenience stores and distributors both form 6% of sales of Fresh Dairy Direct. 2% comes from other customer segment.

Customer mix tells what all customer segments are being serviced by the business. It shows which customer segment is the most important in driving the sales and which segment is lagging behind.

This article has been researched & authored by the Business Concepts Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

Browse the definition and meaning of more similar terms. The Management Dictionary covers over 2000 business concepts from 5 categories.

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