SIL Masterclass for Entrepreneurs

What Does Your Customer
Really Want?

"What does my customer want?" It sounds like a simple question. Dr. Yogesh Pawar explains why customer needs should always remain a business priority — and how better interaction, not assumption, is what uncovers them.

YP

Dr. Yogesh Pawar

Founder, School of Inspirational Leadership

Beyond What You Already Know

Knowing what a customer buys is not the same as understanding what they actually need.

Most businesses believe they understand their customers. They know which products customers purchase, what price they pay, and how frequently they place an order. But this information does not always reveal what the customer truly needs.

A customer may purchase a product because it solves an immediate problem. However, the customer's actual expectations may also include faster service, greater reliability, clearer communication, simpler implementation, or reduced business risk. If entrepreneurs do not understand these deeper expectations, they may continue improving features that customers do not value while ignoring the issues that influence buying decisions.

In the SIL Masterclass, "What Does My Customer Want?", Dr. Yogesh Pawar explains that customer needs should always remain a business priority. The video highlights customer interaction as an important way to identify and understand those needs.

Understanding customers is not a one-time research activity. It requires regular conversations, careful observation, active listening, and the willingness to improve the business based on genuine customer insight.

7 ways to understand what your customer wants

  • 1Identify the right customer
  • 2Ask open-ended questions
  • 3Listen to understand, not only to respond
  • 4Observe customer behaviour
  • 5Collect feedback at the right moment
  • 6Involve customer-facing employees
  • 7Convert customer insights into action

Prefer watching? Jump to the full SIL masterclass session below, or keep reading for the detailed breakdown.

Why It Matters

A Business Exists Because It Creates Value for Customers

If the business does not understand what customers value, it may struggle with:

  • Low sales conversion
  • Repeated price objections
  • Customer dissatisfaction
  • Product returns
  • Service complaints
  • Low customer retention
  • Weak referrals
  • Unsuccessful product launches
  • Poor marketing performance
  • Increasing competition

Understanding customer needs helps the organisation make better decisions across marketing, sales, product development, service delivery, and customer support.

It helps entrepreneurs answer important questions such as:

  • Which customer segment should we focus on?
  • What problem should our offering solve?
  • Which features matter most?
  • How should we communicate our value?
  • What price will customers consider reasonable?
  • Which service gaps require immediate attention?
  • Why do customers choose competitors?
  • What will encourage customers to return?

The video's central message: entrepreneurs must learn how to extract customer needs through better interaction rather than relying only on internal assumptions.

Read Between the Lines

Customer Needs Are Not Always Clearly Expressed

Customers do not always describe their requirements in a complete or structured manner.

What the customer says

"Your price is too high."

The immediate assumption may be that the business needs to reduce its price. However, the customer may actually mean:

  • The value is not sufficiently clear.
  • The proposal does not include an important feature.
  • A competitor has offered more favourable payment terms.
  • The customer does not trust the expected result.
  • The solution appears too complicated.
  • The customer's budget has changed.
  • The decision-maker is not convinced.

The pattern repeats everywhere

When a customer asks for faster delivery, the underlying need may be business continuity, customer commitment, inventory planning, or reduced operational risk.

Entrepreneurs must learn to go beyond the first statement and understand the reason behind it. This requires thoughtful questions and active listening.

Watch the Session

See the full masterclass with Dr. Yogesh Pawar

Everything covered so far — and what's ahead — comes from this SIL Masterclass session, 'What Does My Customer Want?'. Watch it in full, or continue reading below.

01

Way 1 of 7

Identify the Right Customer

Before trying to understand customer needs, the business must clarify which customer it wants to serve. Not every person or organisation will be equally suitable for your product or service.

A consumer-focused company may consider:

  • Age group, location & income
  • Lifestyle & interests
  • Buying habits & product usage
  • Purchase frequency & digital behaviour
  • Personal priorities

Avoid trying to serve everyone

When the target customer is too broad, the business may struggle to create focused marketing, sales, and service strategies. For example, a consulting company that serves start-ups, family businesses, large corporations, retailers, manufacturers, and professionals may find it difficult to communicate one clear value proposition.

Each segment may have different needs, budgets, decision-making structures, and expectations. A clearly defined customer segment makes it easier to understand what matters most to that customer.

Create an ideal customer profile — document:

  • Who the customer is
  • What problem the customer faces
  • What result the customer wants
  • How the customer currently solves the problem
  • Why the existing solution is insufficient
  • Who makes the purchase decision
  • What may prevent the customer from buying

A business-to-business company may evaluate customers based on:

  • Industry & business size
  • Annual turnover & location
  • Number of employees
  • Operational requirements & purchase volume
  • Buying process & decision-maker
  • Budget & business challenges
02

Way 2 of 7

Ask Open-Ended Questions

Customer needs cannot be understood properly through questions that produce only "yes" or "no" answers.

Instead of asking:

Closed question

"Are you happy with our service?"

Ask:

Open-ended question

"What has been your experience with our service?"

Ask follow-up questions

The first answer may not reveal the complete need. When a customer mentions a problem, continue with questions such as:

  • Why is that important?
  • Can you give me an example?
  • How frequently does this happen?
  • What impact does it create?
  • What have you already tried?
  • What would happen if the problem remained unresolved?
  • How would you measure a successful outcome?

Avoid leading the customer

A leading question encourages the customer to provide the answer the business wants to hear.

Leading question — avoid

"Wouldn't a faster system solve your problem?"

Useful questions include:

  • What is the most important challenge you are currently facing?
  • How are you managing this challenge today?
  • What is not working in the current approach?
  • What result are you trying to achieve?
  • What would an ideal solution look like?
  • Who else is involved in the decision?
03

Way 3 of 7

Listen to Understand, Not Only to Respond

Customer interaction is not only about asking questions — it is also about listening carefully to the answers. Salespeople and entrepreneurs sometimes begin preparing their response while the customer is still speaking, moving too quickly towards explaining the product without fully understanding the customer's situation.

Confirm your understanding

After listening, summarise the customer's requirement, for example:

"If I have understood correctly, your main concern is not only the delivery time. The delay also affects your production schedule and customer commitments. Is that correct?"

This gives the customer an opportunity to confirm or correct your understanding. It also shows that you are genuinely trying to understand the business impact rather than simply completing a sales conversation.

Listen for emotional needs — customers may also want:

For example, a customer purchasing a maintenance service may not only want equipment repair — they may want assurance that production will not stop unexpectedly. Understanding this emotional need can improve how the organisation positions and delivers the service.

  • Confidence & convenience
  • Recognition & security
  • Control & simplicity
  • Reduced uncertainty
  • Peace of mind

Active listening requires the entrepreneur to:

  • Give the customer complete attention
  • Avoid unnecessary interruptions
  • Note important details
  • Ask relevant follow-up questions
  • Observe the customer's tone and hesitation
  • Confirm what has been understood
  • Avoid making immediate assumptions
  • Separate the stated request from the underlying need
04

Way 4 of 7

Observe Customer Behaviour

Customers may say one thing and do another. This does not necessarily mean they are being dishonest — their behaviour may reveal priorities they have not clearly expressed.

Search for patterns

One customer's opinion may be useful, but repeated behaviour across several customers provides stronger evidence. For example:

  • If several customers abandon the process at the payment stage, there may be a payment or trust issue.
  • If customers repeatedly ask the same question, the communication may be unclear.
  • If a feature requires frequent explanation, it may be too complicated.
  • If customers buy one service but ignore another, the value of the second service may not be clear.
  • If customers continue requesting customisation, the standard offering may not meet their actual needs.

Observation helps entrepreneurs identify gaps customers may not report formally.

Businesses should observe:

  • Which products customers purchase
  • Which features they use — and ignore
  • Where they leave the buying journey
  • Which questions they ask repeatedly
  • What causes complaints
  • Which customers purchase again, and why others stop
  • How customers interact with the website
05

Way 5 of 7

Collect Feedback at the Right Moment

Customer feedback should not be limited to an annual survey. The organisation should collect feedback at important stages of the customer journey.

Different stages provide different insights. For example, feedback after onboarding may reveal whether the process was easy to understand. Feedback after a complaint may show whether the customer felt heard and supported.

Keep feedback simple — ask a limited number of meaningful questions:

  • What worked well?
  • What could we improve?
  • Was the process easy to understand?
  • Did we deliver what was promised?
  • How likely are you to continue with us?
  • What is one thing we should do differently?

Close the feedback loop

Collecting feedback without taking action can damage trust. When customers share meaningful feedback:

  • Acknowledge it.
  • Evaluate the issue and assign ownership.
  • Decide the action, and inform the customer where appropriate.
  • Review whether the change produced improvement.

Feedback stages may include:

  • After an enquiry
  • After the sales conversation
  • After proposal submission
  • After onboarding & delivery
  • After issue resolution
  • After renewal or cancellation
  • After losing a sales opportunity
06

Way 6 of 7

Involve Customer-Facing Employees

Employees who interact regularly with customers often have useful insights — sales representatives, customer-service executives, account managers, delivery and installation teams, technical support, and more. They hear customer questions, complaints, objections, and suggestions every day.

However, these insights may remain with individual employees unless the organisation creates a process to capture them.

Avoid dismissing frontline feedback

Senior leaders may have access to reports, but customer-facing employees experience the customer's practical reality. Their feedback should be evaluated alongside data and direct customer conversations.

Conduct regular customer-insight reviews — ask frontline teams:

  • What are customers requesting repeatedly?
  • Which complaints are increasing?
  • Why are sales opportunities being lost?
  • What do customers find difficult?
  • Which competitor is mentioned most often?
  • What causes delays during onboarding?
  • What new need is emerging?
07

Way 7 of 7

Convert Customer Insights into Action

Understanding the customer has little value if the business does not act on what it learns.

Prioritise improvements — evaluate each suggestion based on:

A single custom request may not justify changing the complete offering. However, repeated feedback from an important customer segment may indicate a genuine market need.

  • Number of customers affected & business impact
  • Customer value & cost of implementation
  • Brand alignment & operational feasibility
  • Revenue opportunity & risk reduction
  • Long-term relevance

Communicate improvements

When customer feedback leads to a change, communicate it, for example:

"Based on customer feedback, we have simplified our onboarding process and introduced a single point of contact for project updates."

This demonstrates that the organisation values customer input and takes improvement seriously.

Customer insights should influence:

  • Product development & service design
  • Pricing
  • Marketing communication & website content
  • Sales conversations
  • Delivery processes
  • Employee training & customer support
  • Business strategy
Look Deeper

Understand the Difference Between Wants and Needs

Customers may express a want, but the business must understand the need behind it.

Customer wantPossible underlying need
A lower priceBudget predictability or clearer value
Faster deliveryReduced business disruption
More reportsBetter visibility and decision-making
Additional featuresA more complete solution
A dedicated contact personFaster support and greater accountability

Entrepreneurs should respect what customers request while exploring why the request matters. The deeper need can help the business create a more effective solution.

See the Whole Path

Create a Customer Journey Map

A customer journey map shows the different stages through which a customer interacts with the business.

01Awareness
02Research
03Enquiry
04Evaluation
05Purchase
06Onboarding
07Delivery
08Support
09Renewal
10Referral

For each stage, document:

  • What the customer is trying to achieve
  • What questions the customer may have
  • Which interaction takes place
  • Which employee or team is involved
  • What difficulty the customer may experience
  • What information the customer requires
  • What action the business should take
  • How success will be measured

Example: Customer enquiry stage

Customer objectiveUnderstand whether the solution is suitable
Customer concernPrice, credibility, and business fit
Business actionRespond quickly and ask discovery questions
OwnerSales team
MeasurementResponse time and qualified-opportunity rate

Journey mapping helps the organisation understand the customer experience across departments rather than evaluating each interaction separately.

Bring To Your Next Meeting

Questions to Ask During a Customer Discovery Meeting

These questions should guide the conversation, not make it feel like an interrogation.

Understanding the current situation

  • Can you describe how you manage this activity today?
  • What is working well in your current approach?
  • What creates the greatest difficulty?
  • How long has this problem existed?
  • Which employees or departments are affected?

Understanding the impact

  • How does this issue affect customers, revenue, costs, or operations?
  • What happens when the problem is not resolved?
  • How much time does your team spend managing it?
  • Does it create any financial or operational risk?

Understanding the desired result

  • What outcome are you trying to achieve?
  • What would success look like?
  • How would you measure improvement?
  • Which requirement is non-negotiable?

Understanding the buying decision

  • Who will be involved in evaluating the solution?
  • What factors will influence the final decision?
  • What concerns may prevent the decision?
  • What implementation timeline are you considering?
  • Is there an approved budget?

Understanding future needs

  • How do you expect this requirement to change?
  • What additional capability may be required later?
  • Are there other teams or locations with a similar need?
Learn From Others

Common Customer-Interaction Mistakes

01

Speaking More Than Listening

The purpose of customer discovery is to understand the customer, not simply explain the offering.

02

Presenting the Solution Too Early

A premature recommendation may fail to address the customer's actual problem.

03

Asking Leading Questions

Leading questions may produce agreement rather than genuine insight.

04

Assuming All Customers Want the Same Thing

Different customer segments can have different needs and purchase criteria.

05

Focusing Only on Price

Price objections may indicate unclear value, insufficient trust, or unsuitable commercial terms.

06

Ignoring Lost Customers

Customers who stop buying can provide valuable insight into service, quality, price, or competitor performance.

07

Collecting Feedback Without Taking Action

Customers may stop sharing feedback if they see no visible response.

08

Depending Only on Surveys

Direct conversations and behavioural data can reveal insights that surveys may miss.

09

Promising Everything Requested

Not every customer request is commercially or operationally suitable for the business.

10

Failing to Document Insights

Customer knowledge should become organisational knowledge rather than remaining with one salesperson or founder.

From Insight to Revenue

How Customer Understanding Improves Sales

Sales conversations become more effective when the salesperson understands the customer's problem, impact, and desired result. Instead of presenting every feature, the salesperson can focus on the aspects most relevant to that customer.

What a needs-based pitch sounds like

"You mentioned that delayed information is affecting customer commitments. Our central dashboard gives your team one view of project status, helping them identify delays before they affect the customer."

This connects the offering directly with the customer's need. The purpose of customer interaction is not to manipulate the customer into purchasing — it is to understand whether the business can genuinely solve the customer's problem.

Better customer understanding can improve:

  • Lead qualification
  • Proposal relevance
  • Sales conversion
  • Value communication
  • Objection handling
  • Customer trust
  • Negotiation
  • Retention
  • Referrals

Customer insight helps the organisation decide:

  • Which features should be developed
  • Which features should be simplified
  • Which services should be removed
  • What customers are willing to pay for
  • Which customer segment values the solution most
  • Where the customer experience needs improvement
  • What additional offering may be required
Build What They'll Actually Use

How Customer Insights Support Product Development

Entrepreneurs can become emotionally attached to their products and services. This can make it difficult to accept that customers may value different features from those the business owner considers important.

Before making a significant product investment, test the idea with suitable customers. Understand whether the proposed feature solves a meaningful problem and whether customers are willing to adopt or pay for it.

Why It Matters

Why Customer Understanding Matters for MSMEs

MSMEs may have fewer resources than larger organisations, but they often have one important advantage: closer customer relationships. The founder or leadership team may interact directly with customers and respond more quickly to feedback.

However, as the business grows, customer knowledge can become fragmented. Sales may understand objections. Service teams may understand complaints. Operations may understand delivery challenges. Leadership may review only the final reports.

A structured voice-of-the-customer process brings these insights together. The SIL Masterclass positions customer interaction as an essential entrepreneurial skill for uncovering what customers truly need.

For an MSME, better customer understanding can support:

  • Stronger market positioning
  • Improved sales conversion
  • Better customer retention
  • Useful product improvements
  • Reduced service complaints
  • More relevant marketing
  • Higher referrals
  • Sustainable revenue growth
Put It Into Practice

Customer Needs Checklist

Use this checklist when evaluating customer needs.

Customer profile

  • Have we clearly defined the ideal customer?
  • Do we understand who influences and approves the purchase?
  • Do we know which customer segment creates the greatest value?

Customer problem

  • Do we understand the customer's exact problem?
  • Have we measured its impact?
  • Do we know how the customer currently manages it?

Customer expectations

  • What result does the customer expect?
  • Which requirement is most important?
  • What may prevent the customer from purchasing?

Customer interaction

  • Are we asking open-ended questions?
  • Are we listening and confirming our understanding?
  • Are customer insights documented?

Customer feedback

  • Do we collect feedback at important stages?
  • Are complaints and lost sales reviewed?
  • Do we act on meaningful feedback?

Customer experience

  • Is the buying process simple?
  • Are commitments communicated clearly?
  • Is there clear ownership for customer support?

Improvement

  • Are customer insights used in business decisions?
  • Can we measure the impact of improvements?
  • Do we communicate relevant changes to customers?
Final Thoughts

Understanding what customers want is not about asking one question and accepting the first answer.

It is a continuous process of interaction, listening, observation, analysis, and improvement. Entrepreneurs should:

  • —Identify the right customer.
  • —Ask open-ended questions.
  • —Listen to understand.
  • —Observe customer behaviour.
  • —Collect feedback at meaningful stages.
  • —Involve customer-facing employees.
  • —Convert insights into action.

The SIL Masterclass emphasises that customer needs should always remain a business priority and that entrepreneurs must improve their customer-interaction skills to uncover those needs effectively.

Customers may not always describe the complete solution they require. However, they can provide valuable information about their problems, priorities, frustrations, and desired outcomes. The entrepreneur's responsibility is to listen carefully, ask the right questions, and turn that understanding into meaningful customer value.

The most useful question is not simply:

"What do we want to sell?"

It is:

"What meaningful problem does our customer need us to solve?"

Frequently Asked Questions

Quick answers, before you go

A business can understand customer needs by defining its ideal customer, asking open-ended questions, listening actively, observing customer behaviour, collecting feedback and analysing repeated customer concerns.

Understanding customer needs helps a business improve its products, services, marketing, sales communication, customer experience and retention.

Entrepreneurs should ask customers about their current challenges, existing solutions, desired outcomes, buying priorities, concerns, decision-making process and definition of success.

Active listening means giving the customer complete attention, avoiding unnecessary interruptions, asking relevant follow-up questions and confirming what has been understood.

A customer want is the solution or feature the customer requests. The underlying need is the problem, objective or outcome that makes the request important.

Businesses can collect feedback after enquiries, purchases, onboarding, delivery, complaint resolution, renewals, cancellations and lost sales opportunities.

Customer feedback helps businesses understand objections, improve value communication, create more relevant proposals and address concerns that prevent customers from purchasing.

MSMEs can become more customer-centric by regularly speaking with customers, documenting insights, involving customer-facing employees, reviewing complaints and using customer feedback in business decisions.

Build a More Customer-Centric Business

Understanding customer needs can transform your value proposition, experience, sales performance, and long-term growth.

SIL works with entrepreneurs and growing businesses to identify customer needs, strengthen business strategy, and develop structured systems for sustainable growth.