- Add new products and services
While this strategy may appear simple, executing it can be challenging. To start this, you need to identify the kind of products and services your customers need and how much they are willing to pay. Determine if these products and services can sell at a profit because this is what businesses live for. You can accomplish this better by conducting thorough market research and committing resources (human and financial) to these new products and services. Do customer assessments and find out what they think about the new products.
- Focus on your existing customers
Although it is a good thing to try a new customer base, you should never forget your existing ones. In fact, you need to penetrate deeper into your current customer base. Perform market segmentation analysis to identify your current customer segments and focus on segments that have not received proper attention. Focus on components like age, gender, location and customers' buying history to assess the profitability of selling new products and services. With this information, you can better allocate resources for sales and marketing. With advanced sales and marketing on your existing customer base, you can sell more products and get return clients.
- Find new customer bases and territories
Expanding means getting new customers in addition to the existing ones. This can be different segments or niches. It can also mean new locations or countries away from where you operate. If you operate a retail or a storefront business, you may want to expand to new geographical locations- whether a different city or country. This demands additional commitment and investment of both money and time. As such, you will be required to conduct thorough market research to ensure a demand for your product or service in your new territory that justifies your quest for expansion. Determine the efficiency of your existing marketing and advertising strategies and think about how they will work in new markets. If you cannot let people know about the benefits of your product or service, then you are at risk of failing in the new markets. While doing so, try to be as honest as possible.
- Tap into new sales and delivery channels
The internet exemplifies how new sales and delivery channels can transform a small business into a juggernaut. We have all seen businesses that were once small but are now big, having invested in social media as their marketing tool. You can follow this example by taking advantage of online marketing opportunities instead of depending on the brick-and-mortar approach. Open an online store to reach a broader audience through online advertising and delivery of products. Advertise online using search engine optimization (SEO) techniques to rank higher online and reach prospective customers.
- Acquire other businesses
This is the fastest route to expanding to new territories and capturing new markets. Find new businesses and acquire them to double your size overnight and increase your sales and revenue. You must perform thorough due diligence before acquiring another company because not all available ones are good for your growth. Look deeper into the company's financial condition, the brand's strength, management structure, client vase and existing contracts. More importantly, look at the synergies between your businesses.