Customer & Supplier Category
Categorizing customers and suppliers can help companies manage relationships with them more effectively, plan business strategies, and better understand their needs and preferences.
Category
Customer and supplier categorization can be done based on several criteria, including:
- Based on business size: Customers and suppliers can be categorized based on their business size, such as large, medium, or small companies. This can influence transaction volumes and how to do business with them.
- Based on industry: This category looks at the type of industry where customers and suppliers operate. This can help companies understand the specific needs of different customers and suppliers across various industries.
- Based on spending levels: This category can help companies understand how often customers and suppliers make purchases or sales. It can also help in planning sales or purchasing strategies.
- Based on geographic location: Customers and suppliers can be categorized based on their geographic locations. This can help companies plan logistics and shipment of goods more efficiently.
- Based on business potential: This category looks at the business potential that can be obtained from customers and suppliers, such as sales potential or the potential to become a primary supplier for the company.
- To complete segmentation data, click on the Static Data/Distribution/Customer Supplier Category menu. The system will then display the menu as shown in Figure 3.2.8.
- In the Code field, type the desired Customer/Supplier Category code or leave it blank, and the system will automatically assign a code to the Category you register.
- In the Name field, type the desired Customer/Supplier Category name, for example, Distributor.
- In the Type field, select "True" if you want to activate the specified Customer/Supplier Category Type, otherwise select "False" if you don't want to activate it.
- In the Group field, select "True" if you want to activate the specified Customer/Supplier Category Group, otherwise select "False" if you don't want to activate it.
