Business growth is an increase in the gross revenue of a business. Financially sound, bold and adventurous managements vote for growth strategies. So what's your plan? You’ll learn: So if you’re ready to learn and gear yourself up with growth wisdom, let the fun begin! There are different ways of growing a business. The key takeaway for you is to get out of the building, in front of your customers. Dropbox works on a freemium to premium model, offering all users 2GB of storage with a free account. There’s no shortcut to growth success. On the other hand, the realities of growing a SaaS startup can be daunting and you may not have as much control over metrics as you’d like. To learn more, check out this growth hacking playbook next. The service hit its million users milestone by April 2009, doubled that figure only five months later, and made it to three million just two months after that. You’ve just got to test different growth strategies to find the one that works best for you. According to an annual report from their parent group, Match Group, Tinder raked in over $800 million in direct revenue in 2018. For example, let’s say that you are planning your strategy for the next five years and that your goal is to grow 15 percent a year. Uber also sponsored several tech events and provided free rides to their users in their early days. There might not be a term thrown around more often by marketers than conversion rate. The company also hired a bouncer, and any student who wanted to get into the party had to download Tinder at the door. An example of horizontal integration would be Apple entering the search-engine market or a new industry related to laptops and smartphones. Business development (BD) is the process that is used to identify, nurture and acquire new clients and business opportunities to drive growth and profitability. So using your existing customer base to spread the word about your product or service is a great way to grow, while also simultaneously builds trust with customers. A growth strategy is a plan to increase revenue. Again – we suggest writing out a detailed growth strategy plan to gain the understanding and buy-in of your team. It takes time, and it involves learning your internal processes even better to find … But just because you have a to-do list that’s longer than War and Peace, it doesn’t mean you can afford to skip the important step of creating a growth strategy.. Your growth strategy entails more than just demonstrating how your revenue will grow. That's a pretty stellar growth metric. The key takeaway here is to provide a solution that solves a real problem, be visible to your user base through sponsoring events they attend, and incentivizing sellers to register on your app! This attention to customer service led directly to positive word-of-mouth amongst its early adopters. Here are 10 growth hacks any business can use to increase their customer base and product reach. It’s about what’s supposed to happen. Examples: Zong is the best example, as they entered in the market with low prices and most of the times, they offer discount. Instead, companies need a more deliberate, stepwise approach to building growth initiatives and capabilities. Another growth strategy you can utilize is to capture an entirely new market share. Tinder’s growth strategy took off at the University of Southern California in 2013. Identify their strategies, test them in your niche, and see what works best for you. Whichever growth strategy you employ, you'll likely utilize some business development principles since the goal is to develop the entire organization. When entering a crowded marketplace, you've got to stand out. Introduce a Double-Edged Referral Hack. In this scenario, you grow by serving underserved or unserved customers. Expanding purchase locations (i.e. Think you know customer segmentation? Almost two billion people shop online each year. 1. Strategy can be as simple as a list of bullet points, or brief descriptions, or even a series of photos. If that's true, then learn which big-business growth strategies might work for you. Think Apple and the iPhone. We’ll go over five of them: market penetration, market development, product development, diversification, and acquisition. This made Uber an extremely lucrative way for drivers to make a living, helping grow the number of drivers they had on their app. Growth Strategies Sumit Kumar Rai Balbodh Chauhan A. Koti Reddy 2. For more information, check out our privacy policy. To develop good business strategies, perform a SWOT analysis of your business. Build your own business intelligence roadmap with our ready-to-use template (just like above ☝️). This is a common goal of investors, management, employees and stakeholders in a firm such as governments. Organic Growth. Growth platforms are specifically named initiatives selected by a business organization to fuel revenue and earnings growth. It’ll create a viral loop, so you’ll continue to win new customers through positive word of mouth referrals. In the beginning, Slack made itself available to large, established companies like Rdio and Flickr, generating plenty of early press coverage. Business Growth Strategies – The Takeaway. One way to grow is by developing a current or new product in order to meet or exceed customer expectations. Without one, you're at the mercy of a fickle consumer base and market fluctuations. One of the common growth strategies is the integrative growth strategy. 2. Your business will never increase in value without growth. You could also differentiate your company through the exact way you do your marketing — by making your value proposition more attractive and consistently appealing to potential customers. Expansion into new regions, locations, cities, or countries. In the most simple light, a growth strategy is a few tactics or a plan of action you use to grow your company revenue and market share. We prefer to organize these objectives into these four buckets and have provided some examples of each: Financial Strategic Objectives. Why should users go with your product or service instead of someone else’s? By the end of the month, they had 500,000. 10 Marketing Strategies to Fuel Your Business Growth You need more than one strategy. It’s not about explaining or defending a business for outsiders. Alternatively, growth can be obtained with mergers and acquisitions. There are four major types of business growth strategies: market strategy, development strategy, diversification and product strategy. For example, you can analyze each of your current products or services to determine their profit margin and alignment with your business strategy. As a trailblazer in the cloud storage software arena, Dropbox launched in 2008 and introduced the world to the ease of keeping files in the cloud, rather than on a physical device. For example, Disney purchased Pixar, Marvel, Lucasfilm and, most recently, 20th Century Fox. 3. Part of the appeal is that the viral loop flips the traditional funnel upside-down: Instead of needing as many leads as possible at the top, a viral loop funnel requires just one satisfied user to share with others. New Products New products are an obvious way to grow sales, but their issuance often is poorly executed. When it comes to key growth hacking strategies, Dropbox’s referral scheme will always come to mind. A company's industry and target market influences which growth strategies it will choose. That’s right, they physically went to various university campuses and created a buzz around their app so people would sign up and start using it. Successful companies plan for growth. 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