Crafting a business growth strategy isn’t a one-size-fits-all affair. In reality, given the fluctuating market dynamics, modelling strategic plans on the triumphs of others would be a folly. One should not mistake this for not learning from other businesses. Instead, it suggests that employing a cookie-cutter strategy is not an option.
Your strategy should smoothen out inefficiencies in your organization and hone its strengths to suit your clients- who are unique to your organization.
Remember Specific is Terrific.
More specific the strategy, the more the probability of success.
If you draft your strategy focusing on your business and customer, the resulting actions will more likely result in customer delight. Which will keep your customers content and keep them coming back.
Factoring in business data analytics to draft a successful strategy is a must for a greater understanding of your business and its complexities, which will impact the way forward and the growth.
Key to any growth strategy is to plan ahead of time. However, for an effective growth strategy, you must consider these factors:
- Determine your value proposition.
First and foremost, define your USP – the unique selling proposition that you and only you bring to the table. For long-term success, you must identify what differentiates your company from your competitors. Determine why people should choose you for a product or service. What makes you unique, distinct, and credible? Use your response to design your communication when presenting your offerings in the market.
Some businesses, for example, compete on “authority”, like how Le Marche is known to be the one-stop shop for all sorts of imported, organic food items across Delhi NCR. Others compete on price and quick delivery, such as the growing online platform ‘Blinkit’ and ‘Zepto’.
Once the USP is determined, focus on that.
- Choose a specific area for expansion.
- Articulate what expansion means for you.
- Strategic growth initiatives may include:
- Growth in employee strength;
- Expansion of existing office, retail, or warehouse space;
- Establishment of additional locations or branches of your company
- Geographical Market Expansion.
- Enhancement of product portfolio – introduction of new items or services.
- Sales channel expansion
- Increase in income or profit
- Growth of clientele or customer acquisition rate
- Expanding customer base
- Place more emphasis on your strong points.
Focus on strengths, not your flaws, when developing growth methods. Reorient the playing field to your strengths, and capitalize on them to expand your business.
- Design your course of action.
Once the growth strategy is well articulated, it’s time to define the path to achieving them. It is essential to acquire the team’s comprehension and buy-in to the growth strategy at this stage. Draft an action plan, take assistance from several available online templates, and include the list of action items, deadlines, departments and individuals involved, their roles, and required resources for attaining your growth objective.
- Set growth goals.
After you’ve identified what and why you’re expanding, the following stage is to figure out how much you’ll be growing. Create SMART objectives centred around the long-term aspirations of where you want your firm to go.
Define the measure of growth – for only what can be measured can be improved, e.g. aiming to “raise sales by 30% quarter over quarter for the next three years” is significantly more specific than simply saying “increase sales.”
- Analyze your competition.
Your competitors are excelling at something that you are not. Look at similar firms and analyze the new and innovative tools and technologies they are adopting and input that into your development plans. Do not hesitate to seek guidance. Consider why your competitors took different decisions. Are they correct? Or are your enterprises in different category?
Researching the condition of your industry is also a great approach to assessing whether your planned expansion is both required and attainable. Examples include conducting surveys and focus groups with current and future clients and analyzing the latest industry data.
This step’s information and facts can define the project’s expectations and growth goals and help determine a realistic timeframe, budget, and target.
- Finally, Action Time.
Once the planning, resourcing, and goal-setting is in the bag, it’s time for action – it’s time for implementation.
During this phase, ensure to hold your stakeholders accountable, set up the lines of communication, and compare initial outcomes to your expected growth targets to determine whether your defined strategy is suitable or needs tweaking.
While the growth strategy you employ will be unique to your business, there are some universal strategies that you could borrow thoughts from to get a jump start.
- Viral Loops
- Milestone Referrals
- ‘When They Zig, We Zag’ Tactic
- In-Person Outreach
- Market Penetration
- Market Development
- Product Development
- Growth Alliances
- Organic Growth
You don’t have to be a multi-billion dollar global brand to grab market share from your competition. What you require is an unstoppable business expansion strategy.
Of course, with growth comes risk. That’s why really successful businesses seldom rely on a single strategy. Instead, they mix multiple growth strategies to win, like market development, disruption, product expansion, channel expansion, strategic partnerships, acquisitions, and organic growth.
Crafting a growth strategy is critical, but so is executing that strategy. Use the actionable measures and compare results to the forecasting model to reconfirm you’re on the right track.
If not, don’t be afraid to make changes. You may boost your chances of successfully expanding your business if you have a well-developed growth strategy with its proper execution in place.
Controlled, long-term growth is the key to corporate success. Industries are continually evolving, and it is a necessity for businesses to acclimate.
So, ready to draft your growth strategy?