At Easy2Access, we understand constantly trying to find ways to grow your business and expand your client base can be challenging but it is a vital process if you want to succeed. Think about it this way. If you are not growing as a business but your competitors are, who do you think will still be trading in 5 years?
However, growth marketing is not as simple as just attracting new customers; there are in fact four growth strategies that you need to focus on in order to thrive as a business.
What is Growth in Business?
This may seem obvious but growing your business is not just about making more money by selling more; it is also about increasing the profitability of your business by lowering day to day costs.
For example, as you increase your production output, you can seek out discounts for buying in bulk from your suppliers and in turn, lower the price that you can sell your product for, attracting more customers and taking them away from your competitors.
In a nutshell, you need to ensure that you pay attention to your top and bottom line in order to grow as a business.
A business that shows potential for growth is also attractive to employees. This means you are more able to retain the best workers and have more effective selling and customer service, which again leads to an increase in profits.
What are the Best Practices for Growth Management?
There are four areas of growth that you need to focus on to effectively manage your growth marketing strategy and it is important that you take the time to focus on each specific one.
1. Focus on Product Development
Assuming that you already have a product or service that is selling well and that your customers are happy with, the next step is to not become too complacent and to focus some of your efforts on product development.
This could involve improving your existing product or looking to create a new one that will retain your current customers and attract new ones.
2. Prioritise Market Penetration
This involves increasing your marketing share of your existing product or by promoting a new one. This can be achieved by;
● Effective advertising
● Lowering your prices
● Packaging your products together and selling at a lower cost
● Offering discounted for bulk buys.
3. Emphasise Market Development
An important practice for growth, market development requires you to take your existing product or service and try to sell it in a new market. Of course, you first need to identify a new market segment and strategize how you going to appeal to it; research is key.
This practice also involves turning non-customers into customers and increasing the volume of sales per customer. Be warned, this is a risky strategy but one that can prove to be very profitable if executed properly.
4. Leverage Diversification
Having a diversification strategy in place can help minimise risk for your business as by expanding your market share or taking on new products through a merger or acquisition, for example, you are less likely to be affected by a sudden economic downturn in your specific industry.
It should be noted, however, that diversifying is not recommended unless you already have a solid and stable core business with loyal customers.