The concept of an “Ideal Customer Profile” (ICP) is nothing new, and most companies have in mind the qualities they’re looking for in a customer. Identifying your ideal customer helps you home in on which projects to pursue to get the most bang for your buck. 

So who is your ideal client? Rather than starting with the question, “Who are they?”—ask “Who are we?” first.

Who Are You?

Companies often miss a critical component when forming their ICP—they neglect considering who they are as a vendor!

Not only ask yourself, “What customers do we want?” but also, “Who can we serve best?”

Answering that second question requires knowing your strengths and weaknesses. For example, a small contractor who is exceptional at building decks to elevate homeowners’ outdoor living spaces, probably shouldn’t be marketing bathroom remodeling services to large hotel chains.

• Which projects are most profitable and get the most positive customer feedback?
• Which projects require more time than they should or result in rework?

Questions like these can help you zero in on your ICP. And you might discover that your ideal client is someone other than you previously thought. If you’re encountering do-overs, missing deadlines, or are repeatedly overbudget—you might be targeting the wrong customers.

Can Your ICP Evolve Over Time?

Absolutely! As your industry and your capabilities change, so can your ICP. And an ICP can shape your company. If you want to serve a type of customer or provide a certain service now but currently don’t have the skills, equipment, etc., to do that, you can make changes strategically to achieve that objective.

The Bottom Line

Assess your ICP regularly to be sure you’re serving the right customers and capitalizing on your strengths. By getting a firm grasp on your ICP, you can maximize profitability as you focus on what you’re really good at. You’ll save time, use fewer resources, and deliver superior results!