An entrepreneur takes pride in their business if it survived its first few years. Getting out of the red is something worth celebrating. Before long, black becomes green. When a business has enough profit, an entrepreneur might wonder what the next step would be.
Having a thriving business and not doing anything about it may lead to its staleness. Every year, startups are trying to make their mark in the business world. A running business must always be up on their toes to keep themselves relevant in the market. One effective strategy to do this is to expand. Here are some effective ways to pull it off.
Offer New Products or Services
Adding new products or services will help to pique the interest of consumers. After interacting with your brand for a time, they may lose interest in it if they see the same offerings. Potential customers may also pass up on doing business with you if you do not have the exact thing they need.
The key is to listen and observe the need in the market. For example, if you are in the insurance sector, look at an emerging market. Nowadays, people prefer to live in condominiums. Thus, it is wise to offer comprehensive condo insurance. Encourage them to protect the interior of their dwelling and personal properties.
Bringing something new to the table also tells that you are always in tune with consumers’ needs. It is more than bringing in more profit. Diversifying your products show that you have the passion to provide solutions.
Have a Niche Market
A niche market is a specific group of people with unique needs or preferences. Expanding does not always mean going broader. Sometimes, targeting a certain population in the market will do the trick.
Develop a niche market that you are comfortable with. This is because you would channel all your efforts in understanding this group of people. You would not only look at what they want in passing. Instead, you would delve deeper into the reasons behind these choices. For example, sell office needs for remote workers, instead of general office needs.
A niche market works for expansion because there would be less competition. Also, you can expect a higher brand loyalty with niche markets. You would have strong referrals. Word-of-mouth could help your business name get across to more people in the given niche.
Dive into eCommerce
Brick-and-mortar stores have their advantages. But, no one can deny the wider reach of eCommerce. Having an online store is a very effective yet low-cost strategy to expand your business.
An easy-to-navigate yet eye-catching website is a necessity for eCommerce. You should also think of payment options that are convenient for your consumers. Impeccable customer service can make them feel the warmth that physical stores offer.
The target of having an online store is to have a wider reach. But, do not forget the patrons of your brick-and-mortar store. Be sure to inform them that they now have the option to do their shopping online.
It may have started with a friend who brought your product abroad. A customer may have gifted something from your store to a friend living outside of the country. These small acts can introduce your products to a different geographic location. Once you see that there is a potential market out there, you may consider exporting.
Exporting comes with some thoughtful consideration. Other countries may have different laws when it comes to their trade and customs. Be sure to be well-versed with those laws and have strict compliance with them. Having a reliable courier would also help you ship your products. If you have perishable goods, you must also consider their shelf life versus their shipping time.
Look at Franchising
Are you confident that you can have a system that others can replicate with ease? Then, you can develop franchising opportunities. The key here is to train or guide your franchisee to maintain the same quality that your business has.
This is an excellent expansion technique because you can cover new locations. Also, you can create revenue without having to do much of the work. It also helps people who want to try their hand at business but are at a loss with a business idea. Finding the correct franchisees is a win-win situation.
Expanding your business is not an overnight endeavor. Whatever technique you choose, it would entail you to study it at great length. Some extra costs may also come up as you apply the expansion strategy you have chosen. But, when you see your business take on a new and higher level, the fulfillment is worth all the work.