While more SMEs realize that keeping customers happy is key to staying competitive, they often struggle with issues like limited access to technology, tight budgets, a lack of trained staff, and unreliable infrastructure.
For instance, consider a local clothing store in Kisumu that wants to offer online shopping to attract more customers. They might find it tough because they cannot afford a good website or lack reliable internet access. Additionally, they may not have staff who are trained in online customer service, making it hard to provide a seamless shopping experience.
Despite these hurdles, some Kenyan SMEs are finding creative ways to enhance customer experience. They’re using mobile phones and social media platforms like WhatsApp and Facebook to interact with customers, which is more affordable and accessible. There are also more training programs and government initiatives aimed at helping SMEs improve in this area.
Capital Business sat with Lynnet Kamau, Design Director at MarathonXP, and below is what she had to say:
What is user research, and why do you believe it is essential for SMEs in Kenya’s current market landscape?
User research is about understanding what your customers really want, their struggles, and what excites them. By doing this, you can create products or services that truly resonate with them. For SMEs in Kenya, this is critical because understanding your customers is the key to standing out in a competitive market. It is especially important in sectors like fintech or retail, where customer loyalty is the difference between success and failure. If you know what your customers need, you will not only keep them coming back but also grow your business in the long term.
For instance, consider how companies like Twiga Foods have refined their digital platforms to address the needs of local smallholder farmers and retailers. This level of user research is what keeps them innovative and customer-focused as they work on their logistics and product offerings. Ensuring better service delivery in the food supply chain.
In your experience, how does investing in user research provide a competitive advantage, especially in sectors with tight competition?
What are some of the main barriers that prevent SMEs from adopting user research practices, and how can they be overcome?
Many SMEs in Kenya face barriers like limited budgets, a lack of CX expertise, and sometimes the belief that user research is a “nice-to-have” rather than a necessity. Some fear negative feedback, while others focus too much on short-term sales (being reactive) instead of long-term insights (being strategic).
To overcome these challenges, start small. You don’t need to spend a lot. Simple surveys or feedback forms can offer valuable insights. Leverage platforms like Google Forms or use social media polls. Just chatting with your customers can reveal a lot. It is also essential to reframe negative feedback as an opportunity to improve.
Considering the high failure rate of SMEs in Kenya, how can user research contribute to their survival and long-term growth?
Understanding your customers through user research is crucial for the survival and growth of SMEs in Kenya. By learning what your customers really need and want, you can make better decisions that directly improve your products or services.
For example, let’s say there’s a small clothing shop in Mombasa. By talking to customers, the owner might discover that there’s a high demand for affordable, locally-made beachwear. With this insight, the shop can start offering these products, attracting more customers and standing out from competitors.
User research helps businesses:
Create products and services people truly want, reducing the chance of investing in ideas that don’t sell..
Keep customers happy and coming back by continuously improving based on their feedback.
Differentiate themselves in a crowded market by offering something unique that meets specific customer needs.
Stay adaptable by spotting changing trends and preferences early on.
Use their resources more effectively by focusing on what matters most to their customers.
In essence, by actively listening to and understanding their customers, SMEs in Kenya can improve their chances of not just surviving but thriving in the long run.
With Kenya’s growing tech hub status, how are customer expectations changing, and how can SMEs stay ahead by leveraging user research?
As Kenya’s tech industry grows, customers are expecting more from businesses—they want faster, more convenient, and personalized services, especially through digital platforms. They are used to the ease of apps and online services, so they expect the same level of efficiency from all companies, big or small..
For example, imagine a local pharmacy in Nairobi. Customers might start expecting to order medicine online and have it delivered to their doorstep, rather than visiting the store in person. If the pharmacy notices this pattern, they can use user research to understand exactly what their customers want from an online service.
By talking to customers, the pharmacy might learn that people value quick delivery and the ability to consult with a pharmacist online about their prescriptions. With this information, they can develop an online ordering system and perhaps an online feature for consultations.
By leveraging user research, SMEs like this pharmacy can adapt to changing customer expectations. They can offer new services that meet the demands of today’s tech-savvy customers, helping them stay competitive and grow in a market where customer needs are always evolving.
How can continuous user research contribute to the sustainability of SMEs, especially in a rapidly evolving market like Kenya?
Continuous user research is vital for the sustainability of SMEs in a rapidly evolving market like Kenya. Here are some of the things user research leads to:
Enhancing Customer Understanding: Regular feedback helps SMEs adapt to changing customer needs and preferences.
Supporting Innovation: Ongoing research facilitates effective product development, reducing the risk of failure and promoting continuous improvement.
Improving Engagement and Loyalty: Engaging customers through research fosters loyalty, as customers feel their feedback is valued and implemented.
Informing Strategic Decisions: Data-driven insights from user research guide strategic decisions, improving efficiency and resource allocation.
Leveraging Technology: Digital tools streamline the research process, aligning with the tech-savvy nature of Kenyan consumers.
Overall, continuous user research empowers SMEs to navigate market changes effectively, ensuring long-term sustainability and competitive advantage.
What advice would you give to SMEs that are hesitant to invest in user research due to perceived high costs or lack of resources?
You do not need a big budget to get started with user research. Start small, use free tools like google forms, whatsapp polls Or better yet, engage directly with your customers through one-on-one conversations. Every interaction is an opportunity to learn. Focus on key areas that impact customer satisfaction the most. You will be surprised how much insight you can gather by just paying attention to customer feedback from platforms you already use, like social media or customer service interactions.
In the long run, the insights you gather will pay off in terms of customer loyalty, better products, cost savings, and more informed business decisions.
