EEZ: Do you really know who your customer is?

We all know there have been drastic changes to the global and local economic environment over the past five years.  However, in spite of the challenging economy or maybe as a result of it, the entrepreneurial spirit continues to thrive in Bermuda.  

We, at the BEDC, continue to meet with hundreds of entrepreneurs every year. In 2013, BEDC officers met with over 700 persons seeking business planning and management advice, a significant increase over the prior year.  

As more and more people find themselves unemployed or underemployed due to the economy they are turning to entrepreneurship in order to carve out a living for themselves.  

These “necessity entrepreneurs” have many great entrepreneurial ideas but often the reality doesn’t measure up to the expectation because although they had a great product or service, they didn’t tap into the right customer. We have found that our clients find success only when they clearly understand who their customer is.  

For example, located in our St. George’s EEZ, David Rose Jewelry could have been just another jewellery store surviving in a struggling retail sector, but through knowing exactly who their customer is, they were not only able to sustain their first year in operation, but supercede their expectations.

Likewise, Building Blocks Academy, located in our North East Hamilton EEZ, started with a clear vision of who their target market was and hence who their customers would be. This vision translated into a successful preschool which outgrew its anticipated numbers of students in a short period of time, resulting in it having a waitlist.

The Corals Bed & Breakfast, located in our Somerset EEZ, is another example of a business that knew its customers and as a result has found success.  Heavily booked with vacationers since becoming available a couple of years ago, The Corals taps into visitors’ desire for accommodations that are affordable, tasteful, quaint, and a home away from home.

So how do you identify the ideal customer for your business like the three businesses above? Start by asking yourself probing questions like:

• Will your customers be individuals or businesses?

• What are your customers’ needs and problems?

• How will you solve these needs and problems?

• Who are your best customers?

• What’s most important to your best customers?  

These questions are just the start of the analysis of identifying your target customer and how to reach them. But if you want to learn more about identifying and serving your customer, then I invite you to take an upcoming MOOC course called Entrepreneurship 101: Who is your Customer? being taught by the Massachusetts Institute of Technology (MIT).  

The BEDC has partnered with the US Consulate General in order to further entrepreneurial activities in Bermuda. For the first time, Bermuda’s entrepreneurs will be able to participate in a free Massive Open Online Course (MOOC), while the BEDC will facilitate weekly discussion sessions in Bermuda for those who are enrolled in the course.

Participants who are interested in taking this free course should enroll online here (www.edx.org/course/mitx/mitx-15-390x-entrepreneurship-101-who-1312) and then register with the BEDC at [email protected]. Course discussions will run from 5:30pm to 7pm on consecutive Tuesdays beginning on March 18 and ending on April 22.  

The discussions, which are required, will be held in the BEDC Training Room at Sofia House, 48 Church Street in Hamilton.  Participation Certifications will be given for those who attend the discussions.  For more information, please contact Erica Smith at [email protected] with MOOC in the subject line. 

Erica Smith is Director of the Economic Empowerment Zones Agency.