Even in a harsh economic environment, you can still start with some growth strategies in your business. In fact, it is in depressed markets that you can take advantage. As a default and some negotiations, your business will grow.
What are the four growth strategies you can implement?
- Market penetration
- Product development
- Market expansion/development and
When you deploy a market penetration strategy, it means growing your customer base at the expense of your competitors.
Tactics can include promotions, specials, reducing your pricing, etc.
You are aiming to increase your market share, ideally by increasing your marketing efforts.
You need to ensure that you can service the clients that come to test your waters. A bad customer experience will negate any work or expense you have made.
Essentially, you have to excite the customer enough to stay with you and not migrate back to your competitor.
Discount wars can be dangerous and a race to the bottom. Be careful if you deploy these strategies in an already discounted environment, because you can crash and burn as well.
You are creating new product lines or expanding your product offering to service your existing customer base. It can include increasing basket size for increased profits. Fast food chains do this without you being aware. McDonald’s offers a meal as a standard. Rather than just buying a burger, they up sell with fries and a drink. They also mapped the health market. You can order juices, water, and salads to cater to the whole family if you want a healthier option.
It entails entering your business, service, or products into new and unchartered territories. Growing into a new suburb, country, or industry can increase your sales. Any business can conduct business across borders with online shopping. Companies can ship their products all over the world and not have a physical shop.
If you want to diversify your business, you need to create a whole new product line. Some companies do this well, while others fail. You do, however, need to understand the risks vs. rewards before embarking on an entire diversification strategy.
Whatever you choose to do, let us know if you can use a Bizcash Business Loan to help you along.Get in touch with us on 0861 93 93 93 or email us on email@example.com or contact us here.
For more tips on business, follow our social media pages.