While we would all like to assume that people will keep supporting our businesses, there are always market threats out there which businesses must be aware of and make provisions for if they want to continue to grow and thrive. Many businesses will see changes to their customer base over the life of the business. For some businesses there may be demographic changes to your customer base. For example, imagine your business provides parts to tradespeople. If you realise that the majority of your best customers are older, primarily sole-operators that are likely to retire in the next five years, it is urgent to start today to recruit additional younger customers who will fill this void as others retire. If you have good relationships with your existing customers, they may even be able to help you by referring others, but you may have to invite them to talk about your business to their friends and colleagues.
Alternatively, you may provide goods or services which are only relevant to your customers for a particular period of their lives (e.g., baby goods, children's sporting activities). It is critical that you have a thorough understanding of who your customers are, how you are best to engage with them, how long they may need your products or services and what events
or situations would cause them to no longer be your customers.