Surprising as it is, the global pandemic of 2020/21 has seen an uptake in the numbers of people launching their own business. There are several factors behind this increase, including many people being laid off from work, and Government initiatives and funding designed to help kick-start faltering economies.
In this article, I describe some steps that will help take that fledgling business to the next step. So, if 2021 was the year you launched your dream business and want to know how to grow it, then this article will point you in the right direction.
1 Always be aware of your performance
By tracking the performance of your business, you lay a solid foundation for continuing growth despite market fluctuations and uncertainties. It is important to be aware of what sectors of your business are performing and what is not. If you can identify this, you can act to grow the areas that are performing best and look to see why other sectors are not performing so well.
Never be afraid to drop sectors that are not performing. By monitoring your performance, you can adapt quickly to changing markets and circumstances. Such ability is crucial for achieving business growth.
2 Establish and maintain customer loyalty
Customers are a business’s biggest asset, and they should be treated as such. A loyal customer will come back again, and not only that, but they will recommend your brand to others. Establishing a relationship with consumers through good customer support is essential to maintaining a healthy business growth strategy.
As your business grows, it is important to grow your customer support along with it. It is easy to let it drop by the wayside and losing customer loyalty. These days, social media can quickly do a lot of damage to your business. Customer service became our byword, and we learned the importance of using tools like social media and CRM software.
3 Identify your market
It may seem obvious, but many companies have failed at this step. It can be time-consuming, but by conducting some market research you can begin to focus your attention more accurately towards the right consumer and in a more cost-effective manner.
Once you have identified the target market, you also need to consider the target audience. The target audience can differ from the target market. For instance, everyone uses or benefits from household cleaning products, however, it is more frequently purchased by women.
Once you have identified your market and audience you can target your time and resources more efficiently.
4 Penetrate your market
Of course, identifying your market is all fine and well, but an identified market means nothing if you can’t penetrate it. A good market penetration strategy is crucial for business growth and maintaining a healthy income stream. For a market penetration strategy to work successfully, it should concentrate on three main areas.
• Persuading existing customers to buy more or newer products.
• Target new customers, perhaps using introductory offers, etc.
• Be aware of competitors weaknesses and convert customers by offering improved product or services.
Social Media has also become a powerful tool in this strategy, this is covered in a bit more detail later in the article.
5 Identify and Focus on Your Ideal Customer
Like identifying your market but with a crucial difference. Not all customers are equal, there is an adage that 80% of your business comes from 20% of your customers. While the percentages will not hold for every business, there will be a certain percentage of your customer base that generates a higher proportion of revenue.
Being aware of this will help when it comes to knowing where and towards whom, to concentrate your market penetration strategy.
6 Social media
Social media is now an essential tool in a small business growth strategy. For a business to successfully operate these days social media is an absolute must.
This is not just a case of starting a Facebook page and calling it your social media empire. These days social media should be an integrated mechanism into your whole marketing and customer service machine. If used correctly social media is a boon for small businesses. Equally, it can be troublesome, to say the least, if it is mishandled.
Time and effort should be allocated to ensure that your social media presence is engaging, relevant, active, and targeted. Look out for influencers from within your sphere, use them to reach out to your customer base. Respond to all posts, and not three weeks later. It may become time-consuming, but it is a crucial aspect of any long-term growth ambitions.
Conclusion
Running a small business is challenging and never risk-free. But with some application, a bit of due diligence, and the right steps taken at the right time it is possible to grow that seedling into a sprawling oak tree.
Every multi-national company that exists today was once a small business. While the above steps are unlikely to make your business the next Amazon or Body Shop, they will help you to grow when applied correctly and followed through to their conclusion.
