differences between customer and consumer

Difference Between Customer and Consumer

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In the general scenario, the terms customer and consumer are used interchangeably. But what do you think? Are they the same or different? There are certain differences between them.

In simple terms, The person who purchases the goods or services for further reselling is a customer and the person who ultimately consumes the good is the consumer.

Let us know detailed differences and what is what about customer and consumer.

Who is called a Customer?

A customer is one who visits the outlets and searches for the goods and pays for the goods and may or may not consume the goods. So, the individual who purchases the good is known as a customer.

Categories of Customers:

Trade Customers:

These individuals are the customers who purchase the goods for reselling. In trade, customers include manufacturers, wholesalers, distributors, retailers.

Final Customers:

These individuals are the customers who purchase goods for personal consumption.

Kinds of Customers:

  1. Former customer
  2. Existing customer
  3. Prospective customer

Who is called a Consumer?

A consumer is an individual who consumes the good. The individual may or may not purchase the goods. So the individual who ultimately consumes the goods are consumers.

Example of Customer and Consumer:

  1. For suppose if an individual(varshini) buys a car for her personal use and pays for it. Here varshini is both customer and consumer.
  2. Varshini and her husband buy diapers for their infant baby. Here varshini and her husband are going to pay and the diapers are used by the infant baby so here parents are customers whereas the infant baby is consumer.

Let’s summarize with differences between them

Differences between Customer and Consumer:

Customer Consumer
The individual who buys the goods and pays is the customer. The individual who consumes the goods and may or may be purchased is a consumer.
Other names
The customer is also known as the buyer or client. The consumer is the ultimate user of goods and is also known as end-user
Target group
Customers can be an individual or a business. Consumers can be an individual or family or friends.
Price of product
He/she pays the price for the goods. He/she may or may not pay the price for the goods
He/she buys the goods for resale or for personal consumption or adds value. He/she buys goods for consumption only.

Bottom line:

As a result of the preceding discussion, it is clear that a customer is not always a consumer, and vice versa. Many marketing executives are now debating whether to focus on a customer or a consumer.

Businesses must focus on the two because they must consider what the consumer expects of the product as well as advertise the product so well that it captures the attention of thousands of customers instantly because the purchasing decision is made by the two together or with one in mind. As a result, businesses should place equal emphasis on both.

Further related reading:

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