Just invest in Archer Damadge upgrades and reduced unit cost at first. Than if you have maxed them out invest in "Heal spell" When you started a level build 2 Taxmen and drag and drop them around to gather as much money as possible. As soon as you have the money start building some Rangers. Later build Elf's when they are available. Drag and Drop your Archers to a single blob and steamroll over the map. As soon as the enemy summones casters heal your squad once in a while.
Funny Game, but i don't see the point in upgrading or even repairing a town? Mostly i start the game by building two infantry units and rush every castle, before the enemy even has troops in them.