Small businesses should be ambitious enough to plan for growth and expansion, franchise the business, and increase the reach of the brand. While planning such a business scale-up, a strategic approach with no room for hasty decisions is required. Success depends upon the market choice and strategy, along with the selection of the appropriate combination of technologies.
Growth can be measured by the increase in the number of customers, improved sales and profit, and a strong brand name. With so many options for expansion, small businesses should not be afraid of competition. But entering the competition without preparation is unwise. Here are five tips to help small businesses prepare for business expansion.
Create a strong foundation for your business
Thorough research into everything that is part of the market that you are part of is important before taking the steps for growth and expansion. The functioning of a small business market is unique, and those features and characteristics that constitute the market trend should be understood while planning to grow a business.
In the market analysis, customers and competitors come first. Targeting new customers while maintaining the satisfaction of existing customers is important. The competitors create the momentum of the business. Their presence is vital to the growth of your business as it creates healthy competition that influences the scaling-up decision.
For a business to succeed, it is essential to assemble a strong team. Good teamwork of diverse voices, backgrounds, and opinions that can provide fresh perspectives and positive criticism is required for the company’s development.
For business growth, it is crucial to build a brand that consumers will be able to recognize the company based on the logo, advertising campaign, and product packaging.
If the foundational aspects are not given priority, then further development might not be lasting.
Expand customer base with satisfaction
Customer service success requires expanding your customer base while maintaining the satisfaction of your current clientele. Customer retention is an indicator of customer loyalty, which impacts sales.
Financially, retaining customers is simpler than acquiring new ones. Small businesses should always prioritize customer service by providing discounts, offers, and quick and effective services to make them feel valued. Optimal use of customer relationship management solutions to keep track of customer information and data that can later be used for sales opportunities.
Maintain constant customer communication through your social media presence. Positive or negative, consumers today are quick to provide feedback, which must be addressed expeditiously.
Regularly conducting surveys to gain insights into customer preferences and feedback for improvement will contribute while planning for a business expansion. No advertisement is equivalent to the word-of-mouth publicity of a loyal customer.
Adopt technology to ease the work
Small businesses should always be on the lookout for technological advancements that can facilitate work and boost sales.
Technology enables small businesses to function remotely, allowing employees to work from home, the office, or any other convenient location. It allows business owners to hire globally based on the performance and talent of employees. This dispersed workforce is easily traceable with the support of workplace management tools that quantify employee output.
Blogs, social media, and email technology help maintain customer connections. Small businesses should take advantage of this to establish a more personal connection with their customers for growth.
Small businesses should invest in the development of websites and online stores to expand their reach and visibility while reducing the cost of maintaining their physical stores.
Be socially responsible
With customer demand for socially responsible products, most small businesses have taken measures to be organic, ethically sourced, eco-friendly, and cruelty-free.
Social responsibility is a part of the value you add to your product or service, which can enhance your brand’s reputation. It creates a positive impression of the company and generates media coverage, which functions as advertising and raises awareness of the company’s commitment to the cause.
Businesses use this as a marketing strategy, as they can earn profits from investing time and money in actions that benefit the community. Choosing sustainable, eco-friendly, and recycled resources, treating stakeholders with respect and paying them their rightful earnings, and donating to charity are some of the CSR activities that can facilitate the company’s growth.
There is an increasing number of customers willing to spend more on businesses with a social conscience and stay loyal to them. These customers’ word-of-mouth advertising can provide small businesses with numerous expansion opportunities.
Export the products and services
Exporting is one of the most effective means of expanding a business by entering the international market, which exposes the company to new customers and opportunities while enhancing its competitiveness and boosting its bottom line.
Export Development Canada (EDC), a Canadian government enterprise that promotes and develops trade between Canada and other nations, offers a project titled The Export Impact.
It recognizes that many Canadian businesses are already well-positioned to expand into international markets and helps companies get more international orders, sign new contracts, and make global connections.
Small businesses should use such project funding and programs to enter the overseas market, which can help them increase their customer base, brand reach, and revenue.
Consistent growth is required for any business at all stages, and small businesses should always keep looking for opportunities that help them to be competitive with the changing market trends.
Small business enterprises should set expansion goals beyond what they think they are capable of achieving and devise strategies for attaining them.
If proper planning is conducted, the execution of business expansion is considerably easier, waiting for the right moment to seize an opportunity is an exciting process that requires patience. Small and medium-sized enterprises (SMBs) should cease operating within their comfort zones and begin exploring the frontiers awaiting them.
To read more on business growth and strategies, subscribe to CanadianSME Small Business Magazine https://lnkd.in/dbqmSKN. For the latest updates, visit our Twitter page at @canadian_sme.
