What is the Difference Between Consumer and Customer?

🆚 Go to Comparative Table 🆚

The terms "consumer" and "customer" are often used interchangeably, but they have distinct meanings in the context of business. Here are the key differences between the two:

  • Consumer: A consumer is anyone who uses a product or service, whether for personal or business use. They are always the end-users of the product or service and do not necessarily purchase it themselves. For example, a parent who purchases diapers for their baby is the customer, while the baby who uses the diapers is the consumer.
  • Customer: A customer is an individual or business that purchases a product or service. They are the ones who make the payment for the product or service and may or may not be the end-user. For instance, a customer who purchases a movie ticket and watches the movie is also a consumer.

In summary, the main differences between consumers and customers are:

  1. Consumers are the end-users of a product or service, while customers are the ones who purchase it.
  2. Consumers do not necessarily pay for the product or service they use, whereas customers always make a payment.
  3. A customer can be a consumer if they purchase a product or service and use it themselves, but a consumer is not necessarily a customer if they use a product or service purchased by someone else.

Comparative Table: Consumer vs Customer

Here is a table outlining the differences between a consumer and a customer:

Feature Consumer Customer
Definition A consumer is the end user of any goods or services. A customer is the one who purchases the goods.
Ability to resell Consumers are unable to resell any product or service. Customers can purchase the good and are able to resell it.
Need for purchase For a consumer, purchasing a product or service is not essential. Customers need to purchase a product or service in order to use it.
Motive of buying The motive of buying is either for resale or for consumption. The motive of buying can be for personal use, resale, or for consumption.

In summary, a consumer is the end user of goods or services, while a customer is the one who purchases the goods. A consumer may not necessarily purchase the product or service, as they can use it without buying it. On the other hand, a customer is always involved in the purchasing process and can potentially resell the product or service.