Customer types let you categorize your customers in ways that
are meaningful to your business. For example, you could set up your
customer types so that they indicate which industry a customer
represents, a customer's geographic location, or how a customer
first heard about your business.
You can create reports and do special mailings that are based on
your customer types. For example, if you use customer types to
categorize your customers by location, you could print mailing
labels for all the customers in a particular region.