There are many ways to grow your business, if done right. Some are easy; some just look easy. Staying on top of marketplace trends and customer satisfaction is crucial when planning growth strategies. The one way not to grow your business is to cut investments (costs) in your business. While this may appear to help cash flow, it can have an adverse effect on growing the business. Cost management is essential as long as it is done to invest in the appropriate areas to grow your business.
Increasing sales to your current customer may seem like a simple idea. And it is. If you have provided them with great customer service, and a great product at a fair price then you have established trust and they will come back. If you have well-developed employees who enjoy their job and are knowledgeable enough to meet the needs of the customer, you’ll have repeat clients. It’s as simple as “getting it right the first time” and making the first impression count, every time.
Adding new products for your current customers is probably the easiest of the four to implement. It is simply understanding who your customers are and what their needs are. If you’re selling cars, it’s understanding why they are buying your cars and what they want from cars going forward. Then you implement the new models to fit their needs. Open lines of communication between customer and business make this information easy to gather.
Bringing in new customers can be the most complicated of the four ways to grow your business. You need to maintain your current customer base, giving them what they want and keeping them happy (through value, service and new products). On the other hand, you need to find new customers without losing the existing ones. This growth can be done organically or you can acquire customers from an existing business. Either way requires the business to have the processes in place to meet the needs of your existing customers and the ability to handle the increased requirements of adding new customers.
Increasing/changing the price of your products is probably the hardest way to grow your business. No one wants to raise the prices of their product(s). This is a sure way to lose customers. But not matching your prices with the quality is also a way to lose customers. If you don’t have a realistic view of your products value, your customers will not feel you are offering your best and will leave. Additionally, a business must charge a price which is fair to them in order to meet the objectives set out to grow the value of the business. Investing profits into innovation and delivering new products and services is essential.
Without customers, you have no business. Always keep in mind the fine balance between customer needs and those of the business.