Having a proper growth strategy is vital for all businesses, especially startups and small scale enterprises. These plans underline the journey a company has to take, in order to achieve its core goals and reach new heights. Steven Rindner says that a growth strategy can be defined as a plan of action that enables businesses to achieve a superior market share that they currently enjoy. He also mentions that for the best results, businesses should ideally focus on both long and short term growth strategies. In typical cases, successful growth strategies feature a good blend of marketing, leadership, design, and product management principles.
A growth strategy goes beyond just envisioning the long-term success of any business organization. According to Steven Rindner, growth strategies can be considered to be a type of ladder, where the lower-level rungs present a low risk and minimal growth opportunities. Small businesses, especially startups, must start off with the lowest rungs of the ladder and then gradually move their way up. Facing and mitigating risk is a crucial part of growth strategy.
There is no fool-proof method for a company’s growth. Entrepreneurs and company managers must be methodical in their approach to design strategies that have the maximum probability to boost the growth prospects of their business. Steven Rindner underlines a few factors that people especially must take into consideration while creating their business growth strategy:
- Defining the ideal customer: The target market of a business often expands and evolves with time. As a business increases or upgrades its offerings, the target audience interested in their products and services also might chance. Hence, one must research on their current customers to gain a good understanding of what appeals to their targeted market. The interests, major pain points, and spending of the targeted audience should be evaluated.
- Highlight the business value: To grow a business, it is crucial to convince the targeted customers to make purchases from there. This cannot be done without showing the value of the business to the customers, and showcasing why it is better than the competitors. The potential business growth strategies of a firm must develop from its unique selling proposition. Talking to the customers, especially the ones making purchases from the business for a long time, would be a good way to understand what exactly the patrons value about the brand.
- Review customer engagement strategies: Customer engagement is needed to keep the patrons interested in a business, as well as to transform first-time customers into loyal patrons. All businesses must focus on creating experiences that foster relationships with customers. From the moment a prospect hears about a business, they form an opinion. One needs to provide them with a positive experience right from the first contact to all the way through the sales pipeline.
The elements underlined above are vital for creating a systematic growth strategy for any business.