Published on February 22nd, 2020 | by Sunit Nandi0
Ways to Accelerate Your Business Growth in 2020
If you’re doing everything right and the market is responding positively to your product/service, chances are that you’re on a path of gradual growth. However, some people are impatient to hit figures that they’ve set as their goals, which can be quite problematic. Don’t get us wrong, having goals and being ambitious about them is an amazing idea, still, sometimes it just takes time. On the other hand, there are so many things that you can do to accelerate this growth and here are five of them.
1. Diversify your offer
The first thing you need to do in order to accelerate the growth of your business is to diversify your sources of income. How do you do this? Well, by offering one more service/product to your audience. Ideally, it would not be too closely related to the original product, in order to avoid it being affected by the same market changes as your primary product. On the other hand, it’s crucial that the product belongs to the same industry, in order to keep your primary target demographic. If this is the case and the value of the latter product is somewhat lower than one of the primary products, you can always use this to enhance your cross-selling and upselling strategies.
Another great opportunity that this creates is a fact that you get to study the market using an in-field method. You see, instead of having to guess what sells better, you get to see the figures. If your second product/service outperforms the first, you will have a clear cue to pivot and have a much easier job doing so than if you were planning this from the start. All in all, by diversifying your offer, you get to accelerate your business growth by quite the margin.
2. Make an ironclad hiring policy
Once you start growing your business the workload that you’ll face will increase, as well. So, the next thing you need to do is figure out the best way to bring new people in. What is your “Now hiring” ad going to look like? What does the hiring process entail? Do you have a special email where recipients can send you their resume? Do you do a background check in order to see if they have a police record? What are the best questions for the interview? All of this needs to be answered as soon as possible.
Another thing you need to bear in mind is the idea of hiring telecommuters. This way, you get to reduce the overhead by not having to provide your employees with a suitable workstation. Also, freelancers can be hired short-term, which is a great safety measure for those who are uncertain if the increase in workload is just a fluke or if this is something that is here to stay. Hiring people only to lay them off a month later is a horrible and incredibly ineffective practice. With more and more people working as telecommuters in various industries finding suitable help is easier than ever.
3. Invest in digital marketing
In order to grow, you need more work. More work can only be generated with more attention, which brings us to the issue at hand – you need more exposure and, therefore, more digital marketing. There are two major mistakes that people make when it comes to digital marketing. First, they focus on the global so much that they completely ignore their local presence. In truth, about 78 percent of local mobile searches end up being offline sales, so there’s that. Second, they go for the rule of thumb that you should set aside 10 percent of your average annual revenue as your marketing budget. In truth, in competitive fields, even 20 to 50 percent shouldn’t be too much.
Now that we’ve already covered the importance of going local, you might want to further indulge in this notion by hiring local mobile experts to help you out. For instance, if you are, by any chance, running a Queensland based enterprise, hiring the best SEO that Brisbane has to offer would be your safest bet. Proximity to your headquarters is what can improve the collaboration by quite the margin.
4. Create return customers
The most important thing when it comes to growing your business is your ability to create return customers. The reasons why this is so important are incredibly simple and straightforward. First of all, only 8 percent of your regular customers will be responsible for as much as 40 percent of your entire profit. Second, it costs you five times less to make an old customer return than to make a new conversion. In other words, this method is not just cost-effective, it’s crucial for your profitability, to begin with.
So, even if you were to put an emphasis on creating new customers, how would you do it? First of all, the above-mentioned cross-selling and upselling methods are not there just to increase your profit. They are also there to provide your customers with an excess value of a purchase. A post-sale follow-up is also an incredibly important method that you should definitely use. One of the simplest ways to do so is to send your customers a digital receipt. Later on, you can follow up with a new offer and restart the cycle. Then again, every industry has its own set of rules. For instance, in the cosmetic industry, you would want to go for specific marketing methods.
5. Cut costs
Another thing you need to do in order to increase your profit is to cut the costs of doing business. The problem with this method is that it’s not nearly as simple as it may sound. First of all, sometimes cutting costs means downgrading the quality of service that you’re providing. For instance, if you were in the manufacturing industry and you try cutting costs by reducing the number of materials that go into your products, you’re actually compromising the quality of the end result. In other words, you need to find a way to cut costs in a safe manner.
First of all, you could go green and reduce your utility bill by quite a margin. Second, we’ve already talked about the idea of hiring telecommuters, which is a fail-proof method to save money on not having to expand your office space and buy new equipment. Lastly, you can always negotiate with your suppliers, your utility company, etc.
At the end of the day, there’s only so much of your business growth that you can accelerate. This means that even with all of these methods on your side, one thing that you need to learn is how to patiently wait for your business to live up to its success. Unrealistic expectations always lead to disappointment, regardless of how skilled you are.