5 Ways A Small Business Can Promote Growth And Expansion
Small business management looking to grow might not understand what it takes to grow and expand the business properly. The one issue that plagues businesses trying to expand in too quick of a fashion is that of the growth impacting their quality of product or service negatively. A focus on customer experience during growth might slow growth a bit but long term customers are what huge corporations are built on. Adapting in an efficient manner will help a company deal with problems on account of rapid growth. The following are strategies that will help promote growth and expansion at a small business while keeping product quality in mind.
White Label Another Company’s Services (And They Do The Same)
To white label a service is to offer this service as a company while another company handles the work associated with this. Most of the time the sales materials have logos changed with a markup on pricing for the business selling the services will make a profit. One drawback to growing revenue in this fashion is that if a partner is not selected carefully then it can ruin client relationships with subpar work or constantly missing deadlines. This can be a mutually beneficial relationship as both companies selling products helps increase the reach of both companies. This is far better than expanding a department in the sense that there is minimal risk with a reliable partner. Growing a company to offer new products comes with the risk that these products or services will not sell or simply will not be competitive with others in the niche.
Purchase A Related Smaller Business
A small company should look to buy a business with products or services that are complementary to the ones they currently offer. This can be an immediate payoff in terms of investment as current customers can be offered new products to increase revenue while absorbing the purchased company’s clients. The trick is to find a company with a good reputation that has similar processes as this will help for a streamlined merging of the companies. A merger can also be an option if there is not the capital to purchase an entire company. Making sure any contracts signed are bulletproof is essential as losing part of the business due to confusing wording would be devastating.
Scale Processes To Enable The Sales Team To Go Wild
Limiting how much the sales team can sell due to limits in production needs to be solved if the company is to grow. Scaling processes with freelancers can be a great way to save money and avoid hiring people full-time that might not have enough work. Automation can be a great way to save time on things like transferring data from one platform to another. Integrating certain platforms or software can allow for this to be done instead of having to manually enter the data into a new file. The sales team should never worry about closing a big deal due to scaling processes to increase production on demand without sacrificing quality delivered to the customer.
Open Another Office or Location
Opening another office in a healthy market for the industry can be a risk for a small business. It takes time to make another location profitable which can demand quite a bit of cash. Even with this investment it does not mean the location will be a success so doing market research is imperative. One aspect that can be handled is who is promoted to run the new location as they should reflect the values of the original location. Not all employees will be willing to relocate so this will reduce the candidate pool. The owner of the business is likely to spend a lot of time in the new location during its infancy which will help promote company values.
Utilize Data To Help Do More Targeted Marketing
Gathering as much data on marketing and advertising campaigns could not be more important. A targeted approach should be taken as the data will help garner translate exactly what the business’ target demographic truly is. A business might find that they see a much larger return investing in digital marketing versus traditional marketing. This would help them allocate more budget to digital marketing until they hit a saturation point where the ROI was not as high. Small businesses that market effectively are sure to grow if they are targeting their customer demographic perfectly, bringing in quality leads, and the sales team closes high percentages of these leads. This recipe for success is what helps small businesses grow into juggernauts over time.
Growing a small business has to be done with balance and with company core values in mind. Use the tips above to help make this expansion a success whether it is to a new location or expanding revenue!
