Bill Canady breaks down a 2x2 customer-product matrix where Quad 1 (your best customers buying your best products) is your core business to protect, and Quad 4 (lower-value customers buying low-value products) has minimal strategic value. Vague definitions of these segments lead to loose decisions.
Let's define Quad 4 precisely because it gets used loosely and loose definitions produce loose decisions. Segment your customers into A and B. A is the vital few at the very top. They're the ones we want to keep. B is everything else. You don't need C and D. It's either the ones you want, the ones you don't want. Segment your products the same way. Now you got 4 boxes. Quad 1 is A customers buying A products. That's your business. Protect it with everything you have. Quad 4 is B customers buying tell products, the bottom of your customer base buying the bottom of your product line.
