QB Issue Resolution:

There is no customer type in QBO, you might try using the Other field in the customer record but you would have to type in the type for each customer, and I do not think you could sort on that field in reporting if you wanted to report by customer type but that is a guess.

Resolution for Issue 'Where is the Customer Type option? This product is worthless to a business like mine without the ability to classify customers' available: Yes (Solved).
Source: Intuit Community forum.

Where is the Customer Type option? This product is worthless to a business like mine without the ability to classify customers: this issue or error code is a known issue in Quickbooks Online (QBO) and/or Quickbooks. Support for this issue is available either by self-service or paid support options. Experts are available to resolve your Quickbooks issue to ensure minimal downtime and continue running your business. First try to resolve the issue yourself by looking for a resolution described below. If it is a complex issue or you are unable to solve the issue, you may contact us by clicking here or by using other support options.

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