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Customer research
Gathering and analyzing information about customers to understand their needs, behavior and experiences.
Why it matters
A growth problem can have several explanations. Low repeat purchases might reflect the offer, the buying experience, a change in circumstances or a need that has already been met. Research helps you investigate before committing to a response.
Choose methods around a clear question. Interviews and observation can explore experiences; surveys and transaction data can measure particular patterns. Bringing relevant evidence together is more useful than collecting a large amount of information without a decision in mind.
A simple example
Illustrative example, not client research
A local repair service could investigate why some customers request a quote but do not book.
Examine the booking pattern
Review how many quotes lead to bookings, over what period and for which kinds of repair.
Check whether missing records, duplicate enquiries or different repair types could distort the comparison.
Understand the decision
Speak with people who booked and people who chose another option about what happened after they received a quote.
Compare their accounts with the booking data before deciding whether price, timing or another factor needs attention.
This is a proposed research approach, not a finding about repair customers. Obtain appropriate consent, limit the personal data collected and keep observations separate from your interpretation.
Customer research and market research
Customer research focuses on people’s needs, choices and experiences. Market research can also examine the wider opportunity, including demand, competitors, locations and economic conditions. The two often overlap.
Existing customers are one useful source, not the whole market. If you are considering a new audience or location, include evidence about the people you hope to serve rather than assuming current customers represent them.
Before choosing a research method
- What decision will change depending on what you learn?
- Do you need to explore an explanation, measure a pattern or test a possible response?
- Who and what are missing from the evidence you already have?