Primary Research Data


Primary data consists of data that is obtained directly from the source. It is generally captured through surveys, interviews, focus groups, or other direct interactions with individuals. The use of primary data has increased dramatically over the past few years, and with the advent of bar code scanners, home shopping, interactive television, and other electronic media, the number of channels through which primary data can be collected will increase exponentially.

Primary data consists of two major types:

  • Individual level demographic data such as age, income, and home value.
  • Attitudinal and behavioral data.

In the past, primary data was often the province of market research, and was used primarily to provide direction for marketing programs that addressed large groups of customers and prospects. Demographic data was used to get a better “fix” on the characteristics of the larger market, and attitudinal data was used to provide a sense of which issues were important to various groups of customers, and therefore should be emphasized in promotional materials.

Market researchers use primarily data to identify new product opportunities or new segments within the customer file. This is usually done by sending surveys to a representative sample of customers or prospects to determine what products and services they are interested in but do not currently purchase from the firm sending the questionnaire. In this way, primary data gathered through market research surveys can lead to the development of products that are either new to the firm or, in some cases, new to the industry.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

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Expanding into New Functions


A common difficulty for entrepreneurs during the growth of their business is expanding into another distinctive business function. When we read or hear about outstanding entrepreneurs we see the exponential portion of their record. The long, slow foundation building is not interesting to the investment community or the media. But the truth is there was a long period of solid building within one distinctive business function.

A new business or a young business can barely support the management, administration, and marketing it has to have to operate in one distinctive function. Different business functions require different handling in each of these areas. This imposes an additional nonproductive burden on an already overburdened revenue-generating segment of the business.

Successful entrepreneurs start the smallest possible viable business concept and concentrate on it until it works very well. They get to know more and more about their little business until they know more about it than anyone else. They become the expert about their business.

When discussing the entrepreneur’s career path they perceive growth opportunities. At this point it is very easy for them to conclude that having made this business work they can make any business work. They frequently see green pastures on the other side of the fence. The successful entrepreneurs develop and refine a business concept for the growth they will undertake. They then expand their little business. They don’t leap after someone else’s headaches. They build on their own experience and expertise.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, Lectures, Line of Sight

Customer Retention Program


To develop an effective customer retention (CR) program, organization can follow this five-step process:

  1. Determine your current CR rate. It is surprising how few companies know the percentage of customers that leave (the defection rate) or the percentage of customers that they are able to retain annually (the retention rate). There are many ways to measure customer retention. Choosing an appropriate measure provides a starting point for assessing a firm’s success in keeping customers.
  2. Analyze the defection problem. This is a three-pronged attack. First, we must identify disloyal customers. Second we need to understand why they left. There are six types of defectors. Customers go elsewhere because of lower price, superior products, better service, alternative technologies, market changes (they move or go bankrupt), and “political” considerations; (switching motives) can also provide insight here. Third, strategies must be developed to overcome the non-loyal purchasing behavior.
  3. Establish a new CR objective. Let’s assume that your company is currently retaining 75% of its customers. A realistic goal may be to improve client retention annually by at least 5%, to 80%, and to keep 90% of your clients within 5 years. Customer-retention objectives should be based on organizational cabalities (strengths, weaknesses, resources, etc.), customer and competitive analyses, and benchmarking with the industry or sector, comparable firms, and high performing units in your company.
  4. Invest in targeted CR plan to enhance customer loyalty. The cost (potential lifetime value) of a single lost customer can be substantial. This is magnified exponentially when we realize the overall annual cost of lost business.
  5. Evaluate the success of the CR program. As an iterative process, the final phase in designing a solid customer retention plan is to ensure that it is working. Careful scrutiny is required to assess the program’s impact on keeping existing customers. Upgrading current customer relationships may be a secondary business objective. At this point, we gather new information to learn to what extent our CR rate improved. We may need to revisit our benchmarks and further probe isolated causes of defection. CR strategies and tactics will be closely analyzed to determine which methods worked best and those that had little or no impact on keeping customers.

 My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, Line of Sight