Properly executed research is vital for continuous business success, writes David Gilroy. The Fox & Anchor pub is on Charterhouse Street, close to London’s Smithfield Market. I’m meeting my friend Vi there for an early morning “City Breakfast”. A total protein fest accompanied by a pint or two of Guiness. Absolutely not what the doctor ordered. Vi has worked at the market for close on thirty years but sadly not for much longer. It ceases to trade in 2028.
Known as “Sweet Violet” to her work colleagues she has a turn of phrase like a carpenter’s plane. And today she’s in top form. Having eviscerated the higher ups at West Ham United she turns her guns onto unsolicited phone calls – research calls to be precise. “Can’t see the point of it. They’re a pain in the aris. I’d like to give em all a good kick in the Oldfields.” She’s devised a new technique to frustrate them. Resorting to cockney rhyming slang or even better, butcher’s back slang. I keep my own counsel. We’re not going to agree on research. I’m a big proponent. One thing I’m clear on is that properly constructed research in whatever guise is vital for businesses. When he was running Booker Wholesale, Charles Wilson set in train a continuous programme of research, review and action. For him, the research results came first before the commercial numbers. His view was get the customer satisfaction right and the results would follow. Mission accomplished I reckon.
I was recently commissioned to undertake telephone surveys in the independent retail sector – qualitative research. After a few days calling I was securing the interview numbers, but I wasn’t happy with the quality. I decided to visit stores and do face-to-face interviews. This was transformative. I found that the retailers were happy to talk candidly. I could see what was really happening in stores and could ask a raft of supplementary questions to get deeper into range selection, merchandising, sourcing, wholesaler performance, business concerns, hurdles, objections and added value services such as parcel collections. I last did retailer research in 2022. Things have changed since then. The spread of product sourcing has widened. Retailers will buy from any provider that they feel offers something different or great value. Even from supermarkets where some simply buy at retail and add a mark-up. Online sourcing has increased in reach and the penetration of direct to store (DTS) offerings has widened. American confectionery and vapes being examples. There are a lot more DTS operators offering a wide selection of categories. The importance of a quality own label range is heightened and even more so in fresh food. Price marked packs (PMPs) are more widely stocked and dominate some categories. Notably in grocery and confectionery. When asked what determined range selection, the retailers I surveyed invariably cited customer requests and feedback as first influencers. High on the list were social media feeds such as TikTok. This was most prevalent in determining new product (NPD) take-up and ahead of any other strand of marketing. I discovered that most retailers had inbound messaging from many sources on their mobile devices and yet continued to collect brochures from wholesalers. They tended to respond very quickly to attractive marketing on their mobiles and were keen to show me examples. Reliable stock availability continued to be the most important consideration when deciding their primary source of supply. In other words, wholesalers.
Customer research serves as the road map in the expedition, guiding management through the complex terrain of consumer preferences, behaviours, and desires. By delving deep into demographic data, psychographic profiles, and market trends, businesses gain invaluable insights into who their customers are and what makes them tick. It can reveal hidden gems of opportunity and unearth potential pitfalls. Using the knowledge gleaned from customer research, businesses can tailor their products and services to meet the exacting demands of their audience. From refining product features to fine-tuning pricing strategies, every decision becomes a calculated manoeuvre designed to resonate with customers on a personal level. After all, in a world of one-size-fits-all solutions, in the B2b arena customisation is the name of the game.
Customer research isn’t just about understanding the present; it’s about peering into the future and anticipating the needs and trends that lie ahead. By analysing past purchasing patterns, monitoring social media chatter, logging customer feedback and staying abreast of industry developments, businesses can stay one step ahead of the curve. In today’s world where customer experience reigns supreme, businesses that prioritize the wants and needs of their audience have an edge over the competition. Customer research provides the blueprint for crafting unforgettable experiences that leave a lasting impression. Whether it’s streamlining the checkout process, personalizing product recommendations, or providing first class customer support, every interaction becomes an opportunity to delight and excel.
Loyalty is key to business success, and customer research is the central to unlocking its elusive secrets. By cultivating a deep understanding of their customers, businesses can forge emotional connections that transcend mere transactions. From loyalty programmes to personalized communication channels, every initiative is designed to foster loyalty and turn customers into brand advocates. In a world where options abound, loyalty is the ultimate currency. Knowledge is power, and customer research serves as a potent contributor. By conducting thorough market analysis and gathering customer feedback, businesses can identify potential risks and mitigate them before they escalate into full-blown crises. Whether it’s a shifting competitive landscape or changing consumer preferences, foresight is the ultimate defence against uncertainty. At its centre, customer research is a catalyst for innovation, igniting the creativity that fuels progress and growth. By listening to customers and identifying unmet needs, businesses can pioneer new products, services, and business models that disrupt the status quo. Innovation is the lifeblood of success; those who operate proactively are the ones who outperform the market.
In conclusion, the importance of customer research in driving business success cannot be overstated. From understanding the customer landscape to anticipating future trends, from enhancing the customer experience to building brand loyalty, customer research is the cornerstone upon which businesses build enduring relationships with their audience. I do hope that Vi never reads this article.
David Gilroy, Store Excel
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