Business growth strategy involves more than simply envisioning long-term success. If you don’t have a tangible plan, you’re actually losing business — or you’re increasing the chance of losing business to competitors. If you envision your growth, ask yourself the following questions:
- What is your business value proposition?
Your business value proposition is what makes your business stand out from the rest of the others. For your business to maintain long-term growth, you must understand what sets it apart from the competition.
Discover what will make a customer prefer to come for you among others. What makes you relevant, differentiated and credible? If you get the answer to these questions, it will be easy to get more customers. This is called value proposition.
For example, you value proposition could be lower price, quality, packaging, integrity, innovation etc. Something must set you apart from others.
Like in the telephone industry, Apple products are more expensive but stronger and durable. They have the integrity of durability despite the price, people still crave for apple products.
- Who are your real Customers?
The main aim of any business is to solve a particular problem or meet a need. Hence your customers are the people whose needs you are meeting.
Most entrepreneurs don’t ask this question: who will really need my service or product the most? Identifying those who need your product will determine the marketing strategy you will need to reach them.
Consider the social class of your customers. Are they highly educated, or highly illiterate? , rich, average or poor? What kind of packaging and language do they easily understand and relate with.
This is why Red Bull gets its energy drinks in front of a young, adventurous crowd: They have identified their market. Have you wondered why Red Bull owns a formula one racing team? That’s why.
- Who are your Competitors?
Your ability to know your competitors and device a strategy to outsmart them will give you the edge. No matter your industry, your competition is likely excelling at something that your company is struggling with.
When Pepsi was losing its battle with Coca-Cola to become the best cola company. They tried a lot of things but Instead of trying to beat Coke at its own game, Pepsi focused on a young, fun-loving people.
They started using young stars and celebrities for adverts, making pepsi look like a drink for the young minds. In other words, Pepsi stopped targeting the over-30 crowd and segmented its market.
Even if Coke is still the top dog, but at least Pepsi have carved a niche for themselves and has built a great brand.
- What are your strengths or competitive advantage?
It is better to do what you have the competence in doing, than trying to copy your competitors. Sometimes, focusing on your strengths — rather than trying to improve your weaknesses — can help you establish growth strategies. Reorient the playing field to suit your strengths, and build upon them to grow your business.
- What are the sources of revenue?
Some business ideas only produce after a long time while others produce at a short time. You may have a long term business idea, but you need some short term goals that will generate income to keep the long term one alive.
Always ask yourself, what are your current revenue sources? What revenue source could you add to make your business more profitable? Once you identify the potential for new revenue source, ask yourself if they’re sustainable in the long run. Some great ideas or cool products don’t necessarily have revenue streams attached. Be careful to isolate and understand the difference.
