Not one, not two, but three monumental punches

This one’s for all the small independent businesses still operating in these unique and challenging times, from the tradesmen we meet every day in our speciality sector to other niche micro-operations charting their way through these choppy seas.

When we first set about starting Eureka research in 2016, nobody, not even Michel de Nostredame (Nostradamus to his friends) could have predicted the epic challenges we, and the wider business community would soon be facing. They say bad luck comes in threes, but really: Brexit, a worldwide pandemic, and the current cost of living crisis, how unlucky can you be? Throw in a recession or two, four different prime ministers, soaring inflation and a monumental skills gap, how many black cats have we crossed, and mirrors have we broken?

Brexit was a real slap in the face for small businesses like ours, largely unseen by media and the man on the street. Many of our clients cut back; we all know market research is an easy win for trimming budgets. While Brexit claimed a prime minister, we worked hard to stay relevant and visible, hoping the fallout from this generational event would be swift. It wasn’t, but we survived, onwards and upwards we thought.

Wuhan what have you done?

And then what about a once in a lifetime worldwide pandemic, you really couldn’t make this stuff up if you tried. How do you even begin to survive as a small business against such a catastrophe? Our order book dried up, and government support (financial and economic) was pitiful. While the big businesses hoovered up support (with an estimated £1.2 billion fraudulently), we along with many others struggled on. While we turned our attentions to undertaking our own research to promote our brand (see our covid work), our colleagues in the trade faced strict protocols to even get near a customer’s home, that’s if the phone rang at all: who wanted a tradesperson in their home at the peak of this? This period claimed many small businesses, our own trade research saw the monumental impacts, not only on order book value, but also the mental health of business owners as they struggled to stay afloat.

Back to the 1950’s

While post Covid many in the trade enjoyed a brief hiatus, and benefitted from pent up demand from customers, many businesses were clawing their way back towards normality, hoping for calmer waters. But that didn’t last long, as were now deep into another recession and the most damaging cost of living crisis since the 1950’s. As belts are tightened once more, it’s inevitable the small business will feel the pinch most, and once again will need to find innovative ways to navigate the coming months and years.

A recent report in the Guardian* laid out the facts as they are. While record numbers setup new businesses during the pandemic, almost 600,000 businesses closed in 2021/22, up nearly one third from the previous year. Looking forward, this year is expected to be even worse, compounded by the cost of living crisis. A survey of 1,000 small-business owners by Opinium on behalf of Sage, the accounting software firm, found that 38% were on the brink of burnout, with 17% blaming rising energy prices, rocketing inflation and supply chain delays.

Most worryingly, more than half said they were considering giving up altogether, and 54% said their mental health was affected by worries about their ability to hire and retain staff. Back in 2021 we undertook our own research on mental health in the trade where similar figures were reported; over half knew someone in the sector impacted by mental health challenges.

We’re still standing

So, the challenges keep on coming, and we keep on rolling with the punches. Small businesses like us, and our trade experts are the lifeblood of our economy, over 5 million of us contribute more than half of the turnover of the private sector, its critical we survive and grow. How will the trade, big and small, cope in the current climate, what does the future hold for these businesses? Its in challenging times like this when market research becomes even more valuable to organisations, allowing us to keep up with the rapid changes we are experiencing.

So, what’s the point of this little blog anyway, I hear you ask! Well, its two-fold really. One is an unashamedly self-congratulatory pat on the back to us, Eureka! Research, were still going strong, providing excellent services to our wide and varied client base despite everything that has been thrown our way over the past 6 years, just check this testimonial we received last month from our friends at Taylor Wimpey: “We engaged Eureka to conduct qualitative and quantitative research on one of our customer-facing systems. Richard and Dave took the time to understand our systems and objectives and conducted a very thorough three-stage research process with a selection of our customers. The final report exceeded our expectations, was full of insights and was easy to understand. We couldn’t have asked for a better outcome and found Richard and Dave a pleasure to work with”.

But also, it’s an acknowledgement of mutual respect and admiration to all the other small businesses out there that are still providing excellent service, particularly in the trade, despite everything that has been thrown at them over the past 6 years. This sector has become the bedrock of our work, and we love meeting and spending time with these business owners, understanding their challenges and motivations on behalf of leading brands. This period has undeniably brought us closer together, we really do get it, why would you undertake trade research with anyone else?

*https://www.theguardian.com/business/2022/sep/17/uks-small-firms-founded-during-pandemic-face-grim-outlook-as-recession-looms