Clich but true: customers come in all shapes and sizes. Just check out any grocery store or gas station: you see a cross-section of society, right? You find people from many walks of life and all income levels. But underneath the surface these people share something in common: for some reason--known or unknown to the store's owner--they all made a choice to shop at the same place.

Here's the small business marketer's primary puzzler: why do they come to my store? What do they have in common that makes them my customers? Once I know that, then I can discover (and reach) more of them.

If you are fortunate enough to have a customer database then you can integrate known data, primarily purchase data, with psychographic or demographic data you acquire from outside. You can then combine both the internal and the external data to construct a composite of your customer base.

However, if you are like most retail stores, you will have to rely on other types of data, such as survey data and research data, to establish your customer profile.

This type of research can get expensive. Very expensive. Frankly, top-drawer research data is often outside the budget scope of many small businesses. Yet, as a small business marketer you know that understanding your customer is a key to gaining a competitive advantage over your competition.

We suggest two sources which are far less expensive than traditional research. Of course, if you have the budget, by all means spend a portion of it with a reputable research firm. But if you don't here are a couple of sources that can give you some insight.

First, look to your peers in your industry. Your trade association and your trade publications both have general information on your industry's customer base. Granted, this isn't primary research specific to your individual business. Plus, this is data typically compiled at the national level. Yet, you can combine this industry material with your own common sense and your state or city economic and demographic data. Once done you will have a localized picture of your industry. This can yield some good, if general, facts about your customer base.

A couple of half-days spent in this type of research often can yield insights that can't be acquired without extensive (and expensive) research that is hired out.

The second asset: employee research. More on that in our next article.

Remember: Brand (who you are) + Package (your Face to the Customer) + People (customers and employees) = Marketing Success.

2006 Marketing Hawks