By Jacob Braun
After you have passed the stage of existential threat for your business it is time to think about moving forward and how to maximize your income and how to grow. There are multiple ways of growing your business, but it falls upon you to settle for a specific way on how to do so. Today, we will talk about 5 ways of expanding your business and hopefully, it will give you insight into where you could improve.
- Dominate a Niche
The first step towards success is making yourself known as the best provider of a specific good. You want your brand to be synonymous with the product/service you are offering. If you are able to overcome the competition in a category, you are bound to succeed as a business. This is a long and hard road with the final goal practically being owning a monopoly. This can be done by researching a wider market and the sub-group of the said market that you can lure in whose needs aren’t being met. Of course, you cannot use this model around an absurd niche like Sri Lankan eagle trainers. It needs to be a niche where profit can be made (this means that it has more people than you can count on your fingers).
- Extend Your Reach
While it may seem contradictory to focus on a niche and expand your reach at the same time, it should be viewed as a transitioning strategy, and not necessarily meant to go hand in hand with each other. Once you have successfully established yourself as the dominant provider for a certain niche it is time to expand. As the logical next step, your growth will be possible by branching out into other categories and markets. This can be achieved by several means.
- Reach out to a new demographic or target group: Find different target groups that could possibly align with the products you are already selling. Furthermore, you can advertise your goods to that branching demographic in order to get wider attention.
- Become more accessible: The simplest way of extending your reach would be by making your product more accessible to the wider public. This can be done physically, by opening up new shops or virtually, by making a new website or improving an existing one. Making your website more accessible can be done by improving the page speed, making it accessible from mobile phones, and adding other language options.
- Diversify your products: Once you have proven to be a trustworthy brand for one type of product, it is time to expand your offers, but now it will be way easier because the customer will trust you more due to (preferably) good previous experience.
- Make a Customer Loyalty/Referral Program
One of the best ways to introduce new people to your product is by making a referral program. Research has shown that certain demographics are more likely to buy a product if recommended by their friend. Use this to your advantage. By providing special offers for referrals you will gain a wider audience and more profits in the process. While you want to expand into new territory, you mustn’t forget about your existing customers. Providing a customer loyalty program allows you to maintain existing customers so that they do not feel left out or unappreciated. The worst thing you could do is please your customers and then treat them as if were permanently in your grasp. Customers are living beings and you must treat them as such. They will be looking to your competition if they are left unsatisfied with your services, so don’t allow yourself to lose them.
- Make a Franchise Model
Down the line, if you see considerable success in your business and want to amplify it, a good way of doing so would be by franchising. The immediate costs will be high, this is why you must make sure you are financially stable in order to go through with this endeavour. The process can prove to be complex as well, but nothing worthwhile in business is easy. Franchising, if done correctly can boost your income significantly and allow you exponential growth.
- Construct a System for Passive Income
At some points you hit a wall when growing your business, you will start to look for any way of making extra income. One such way is by building streams for passive income. Investing in passive income streams can prove to be a worthwhile long-term project. It allows you to have a constant income stream and allows you to fill the budget holes where necessary. It’s a good foundation for further improvement without hampering your growth by a significant margin. Remember, in order to gain money, you need to be willing to spend it.
(Jacob Braun is a writer and a fan of most things online. He writes about web design and development, digital and traditional marketing, small businesses, social media-related subjects and most things revolving around the entertainment industry. Twitter: @JBtheotherone).