Top 5 Business Growth Strategies
All the huge companies we have today have started as small businesses. Those can be a proof that with effective growth strategies, small ventures could really expand. Expansion could be a really great challenge but if businesses could deal with it more effectively, it could be the right ticket to success.
Here are five recommended growth strategies that could be helpful when adopted by small and even large businesses. Your business might implement some or all of these approaches to ensure growth.
- Market segmentation
Your business would be more effective if it would focus on a specific segment or portion of the market. Pick a sub-set of the whole marketplace so you could organise all your sales efforts to target consumers in that segment. You would eventually realise that this is a more logical approach since your business could save time and effort in marketing even to untargeted market segments. After market segmentation, it would also be easier to create a more unique and effective selling proposition.
- Make acquisitions
Acquiring another business is a typical growth strategy especially of bigger companies. Some small business may also opt for this strategy after carefully studying the advantages of doing so. Acquisitions could boost profitability. Those could bring about business and market growth to any company because resources, operations, and network of the two companies could combine for a bigger scale. However, businesses should be very careful when taking this strategy because acquisitions could be costly and the process could be tedious.
- Leading the industry
Businesses that become industry leaders almost always succeed. Big companies could find this easier to attain. But small companies could also become leaders. One way to do so is to become a pioneer in offering a product or service. Your business could be the first to offer a product or service. By being an industry leader, more customers and business partners could come into your company’s doorsteps.
- Leveraging partnerships
Numerous small business owners complain about how they could not compete with vendor relationships enjoyed by their bigger competitors. Good managers know that even small businesses could leverage productive partnerships so they could compete better with the major rivals. Before getting into a partnership with another company, determine the weakness and limitations of your business. For instance, if you have confidence about a specific product you manufacture or produce, you may have to take a partner who has a better record in effective marketing and distribution, an area where your business may not be that effective. This way, you could be sure your sales would be robust and you may focus on manufacturing to keep your product and business in better shape.
- Use modern marketing techniques
Marketing need not be costly these days. Fortunately, you could always use the social media and the growing mobile portal to reach out to more prospective clients. Interestingly, doing this form of modern marketing would not be as costly as the traditional approach. It could also reach more prospective customers in no time. Your business may also use viral marketing to bolster sales and support its visibility in the market.