“Half my advertising budget is wasted – the trouble is I don’t know which half.”

This quote has been attributed to more than one famous name, but is most likely by Lord Leverhulme, founder of Lever Brothers. It’s a common problem but one that’s solvable without great expense. A little research with your customers will tell you how they found you, so you decide on which media to spend your budget and how much in each. A little bit more work will also tell you how to reach your target customers...

In these uncertain times, is research a luxury you can’t afford?

Simply put, no. Understanding your customers is now more important than ever. You also need to understand your ex-customers (to find out why they went away – you may be able to fix a problem easily); your never-became-customers (i.e. those you’ve given quotes to, but who didn’t buy – do you really know why?); your potential customers – to find out what they want.

Now more than ever your customers will be looking for the best value (not necessarily the cheapest supplier), the suppliers that give them the most confidence and meet their needs most closely, and the suppliers that can help them enhance their own businesses. They will be watching the pennies more, so you...