How many of you know that basically, 50% of starts up businesses make it to the sixth year? The problem is many of them are unable to become product-market fit. When there are no specific growth tactics in place, many startups have no defined way of becoming successful long-term.
However, if you find a way to build your business appropriately, when the time to expand your business comes, you will find yourself in a better position to embark on it. Below are some practical ways to grow your business
Identify Your Ideal Customer
To achieve a good strategy for a startup, the first step would be to build a buyer persona, and not concentrating on the product or service. Having a clearly defined target audience is the best way to begin a marketing strategy.
You may ask “Why”?
Think about it this way, if you lay more emphasis on “what” the product is at first, you stand the chance of losing sight of “who” you will sell to, and it is no secret that your product will fail.
What a buyer persona helps you to do is to determine your potential customers: what they prefer, their demographics, what they want, age-groups, and they think. From such an analysis, you can re-modify your product according to their wants.
Monitor Your Competition
In every business, it is always vital to monitor your competition. Why? First, because of the problem you are facing, your competitors may have found a solution or solved it. So, when you monitor your competition, you can create a faster means of success.
Sometimes, people fail to analyze their competition because of one primary reason, and that is because they are scared that they might discover that their product is inferior to that of their competitors. But what you should know is that you can never hide from the truth. It is better you find a way to improve your product or service or find the next course of action. Then again, another possible reason is that they may not have the know-how to analyze their competitors.
Construct a Business Model
It is straightforward to design a simple model for your business all alone. However, if you are talking complexity, then consider getting the help of a technical and legal consultant.
The first decision you have to make is the payment model you think will be suitable for your product. To achieve this, you have to consider these things; lifecycle, customer satisfaction, and analysis of your product attractiveness.
After that, you have to decide if it is going to be a one-time purchase or a recurring one. Will it be a purchase model or a model for rent?
In the case where it is a service, will it be a service with a fixed price or there would be different packages?
Back in the day, having a business model as investment flowed in was not a necessity. However, these days, things have changed, and it is vital that you have a business model alongside your startup.
Diversify Your Products and Services
Diversifying your product means to broaden the range of your business. For instance, when you open a branch in a new location, you get access to a whole new market because of the geography. In the same way, when you diversify your service or product, you can get access to new opportunities that were not available before and get new customers that would have never picked interest in your product or service. Another advantage of diversifying is that it gives your old customers varieties to select and reasons why they should broadcast your business.
Promote Your Business Online
The importance of promoting a business online cannot be overemphasized. If you want your business to do well and compete healthily with others, it has to have a good online standing. You have to give reasonable consideration to promote your business online above all other forms of marketing strategies.