Small business growth strategies

All small business owners want to see their businesses grow. Some want to grow the business just enough to be profitable and make a good living; others want to reach mega-success. Whatever side you fall on, you should consider these strategies to take your company to the next level:

Market Penetration

Capture a wider share of the market, either by reaching your competition’s customers or by having more people use your product. The most common way to do this is via pricing, but be cautious: a price war with a powerful competitor can quickly put you out of business.

Market Expansion/Development

Offer your product to a wider or adjacent market. For example, if your local market has become saturated, you could begin selling to a nearby city or country that has less competition. With the use of the internet, market expansion could be as easy as creating a website in a different language.

Marketing Partnership

Partner with another company that reaches a new demographic. A basic marketing-list swap can often work for this type of arrangement, but the most successful partnerships create campaigns where both brands are highly visible.

Product Expansion

If you have one item that sells very well, try to expand on that success by developing a new line around that product. Conduct research to find out what your customers want before you begin creating new lines, as a marketing campaign for a new but failing product can cost a company much more than just money.

Alternative Selling Channels

Transition to selling your products through new channels. For example, if your business has historically operated online, try to get your products into physical locations. Be creative in this process, as there are many ways to sell a product that are not always immediately obvious.

Consider the costs of each strategy compared with what you gain by employing it. With the right growth strategy, your business can achieve its potential.

Are you using the right business growth strategy?

Adapted from an article by Jaimy Ford, docstoc