10 Ways to Grow Your SME
Generating new business and increasing customer base are key goals for most SMEs. However, growth and expansion can sometimes be very challenging. SMEs have to put in a considerable amount of effort to scale their business and grow customer base.
Sure, it’s tough but the rewards are well worth the efforts. Let’s take a look at 10 strategies to take a business to the next level efficiently.
1) Holistic view: See the company as a whole, in a holistic and connected way, not only as a sum of the parts.
2) Focus on goals and objectives: Define a course and steer the entire company in that direction. The key stakeholders should be clear about the goals and objectives of the organization. They should also have clarity about their role in achieving the organization’s goals and objectives.
3) Invest in strategic partnerships: A partnership that is built on a strong understanding of the business needs and expertise can place a SME on a high growth trajectory. For example, a small business that is aiming for expansion to new markets can greatly benefit by partnering with an experienced translation company that can help them with their localisation efforts, giving their audience the much-needed local feel.
4) Market segmentation: It is essential to define the market and the type of customers a business will be selling its products and services to. Serving all customers and market types is a potential failure factor. Having a well defined market segment can also help in making strategic decisions and effective utilization of resources.
5) A well defined marketing strategy: The marketing strategy is drawn in response to ‘how the product or service will be sold to the target market’. This step is easier if the target market is clarity about the target market.
6) Study the competition: Keeping close tabs on the top players in the market is essential for a business to stay relevant and profitable. Studying the competition can give insights like the existing gaps in the market and customer preferences.
7) Financial planning: A financial plan is the most important thing a small business needs. It helps in day-to-day decision making and in keeping track of the revenues. It is important for a SME to have a roadmap that can help it prepare budgets and use them dynamically.
8) Have a cycle of expenditures: Disbursements and payments must also be under control so that a company can observe any resource leakage or any decrease in operating profitability.
9) Perform a profitability analysis: Every company places a lot of importance on its profitability. Performing a profitability analysis is a good way to audit a SMEs overall efficiency and performance.
10) Measure, measure, measure: Keeping track of your progress can help you correct mistakes and exploit the most successful factors.
Having these aspects on the radar allows companies to be able to face the challenges that arise with growth.