If you are running a small business then you must be aware of the statistics that 80-90% of businesses fail in the first year. And you don’t want to be a part of this statistics, right? Then you need to read this article till the end to know how to grow a small business fast and ensure up to 20% growth a year.
If you are already running a small business successfully and earning a profit, then Congratulations! However, your work is not yet over because you are perhaps devoting a ton of hours to grow the small business, thus sacrificing family time and other pleasures. And then there are plenty of small business owners who might not be so lucky as you.
The silver lining is that entrepreneurs looking for tips and tricks to grow a small business fast can always draw inspiration from startup owners who have experienced positive results after years of hard work.
And here I am going to share a few such tips and tricks from the successful entrepreneurs who have successfully made the transition from a small business to a big one.
Grow a Small Business Fast- What It Means In Reality?
As a small business owner, your aim is always to increase revenue. But is it enough to grow the business fast? Actually, successful entrepreneurs feel that the business growth is complete when your business generates revenue, hires employees, as well as implements automation to overcome the pain points. Also, it means setting up procedures to monitor and control the entire process of providing a service or selling products.
There are many strategies a business owner can apply for expansion. The strategy selection should depend on
What type of services do you offer?
Which geographic market you are serving currently?
What type of industry does your business belong to?
And the kind of resources you have at present.
What Type of Business Model Do The Fastest-Growing Companies Adopt?
To grow a small business fast, you need to operate methodically and follow a certain set of rules. And that’s what the fastest-growing companies precisely do. These are the strategies that successful companies adopt to beat the market competition:-
- They can successfully arrange funds from banks and venture capital funds.
- These companies keep aside a huge budget for marketing and promotion.
- They make the best use of computer automation to simplify daily operations.
- Many successful startups accept that their companies make no profit in the initial years.
- They focus on maintaining the quality of products/ services rather than counting money!
Though many small businesses won’t be able to adopt all the above strategies, they can learn a thing or two from such a business model. For instance, you can’t spend the money that Apple does to create a promotional video. What you can do is create something unique to engage and entertain the audience. As a new business owner, you can explore different marketing strategies and settle for the ones that work best for your business.
How Do You Get More Business From Existing Customers
To accelerate growth, you should focus on increasing the value of your existing customers. And there are several strategies you can apply to increase total customer value, a few of which are explained below.
Launch Customer Loyalty Program to Grow A Small Business Fast
According to customer loyalty statistics, existing customers contribute to 60-70% of a company’s business. The report further states that 70% of buyers are willing to recommend a company product/service if it offers a good loyalty program. More than 50% of buyers are ready to remain loyal to a brand that goes the extra mile to “get them”.
Considering the fact that the loyalty program satisfaction score hovers around 50%, it is important to plan the loyalty program carefully. This is when you need a CRM to maximize the return from such programs because 88% of potential buyers are likely to convert if the suggestions are tailored to them. There are the top loyalty program apps and software like Smile.io, Candy Bar, Glue Loyalty, Spendgo, and the like, which make life easier for small business owners.
Try Cross-selling and Upselling To Get More Business From Existing Customers
All the top e-commerce platforms upsell successfully. In case you don’t know what upselling is, it is a process of suggesting certain items that match/complement the product that the customer has chosen to buy. All the food delivery platforms do it efficiently and lure customers to buy more! Even Amazon does it smartly with suggestions like “Top Choice”. “Second Choice”. “Explore More Items”. “Buy it Again” and so on.
While planning the upselling strategy, you need to decide whether you would like to offer it as a combo, what all items you would suggest against a certain product category, and so on. Make sure your suggestion is relevant. And this is when you need a upselling software to automate the entire process.
According to top marketers, upselling is an easy trick to grow your profit margin by 30%.
Think of a Subscription Business Model to Ensure a Steady Income and Growth
What if you are assured of a fixed revenue earning from a single customer every month? Sounds great, isn’t it! That’s the beauty of a subscription-based business model. No wonder such a model is so popular among service providers and software sellers.
For instance, Shopify, the top e-commerce platform offers a subscription plan of $79 to be paid monthly. Now, if you chose a yearly billing cycle of 1/2/4 years, then they promise a discount on the subscription charge. Such a subscription-based model assures a fixed yearly income and enables you to plan the business expansion accurately.
While the subscription model sounds great for software and service-related businesses, does it apply to other sectors too? The answer is, yes! For instance, if you release new products regularly, sell fast-moving consumer goods or disposable items then you can work out a subscription plan to stabilize revenue.
E-Mail Marketing Helps Grow a Small Business Fast
Surprisingly yes, e-mail marketing still works for small businesses. And yet, many chose to ignore this strategy for customer acquisition and retention. According to Oberlo Statistics, if you spend $1 on e-mail marketing, you are likely to get a return of $42. So, it would be foolish to ignore such a cheap marketing strategy.
Here are a few e-mail marketing ideas for small businesses:-
- Inform them about upcoming events, and offers. You can send coupon codes to offer discounts on special day shopping.
- Offer relevant tips on how to make the most of their purchases. Let’s say you are selling home gadgets. Then you can send emails to share tips about the gadget use and maintenance.
- If you are running a blog/ vlog, share the links to your latest articles and videos.
- Seek feedback and reviews about the purchase.
- Re-connect with clients who haven’t purchased from your store in years.
- Send “thank you” e-mails after successful completion of a huge Sale or other such events.
Keep working to grow a small business fast. And then if you feel that a process is taking too long or breaking often, fix it. Your endeavor should be to make it easier for customers so that they keep coming back to you.
Stick to the above strategies and learn from your mistakes. You will eventually emerge the winner and may even consider expanding your business overseas!
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Sweta is a veteran content creator, passionate traveler, movie enthusiast, music lover (reasonably good singer!), an informed reader …. and a coffee connoisseur! She has over 10 years experience in developing content for small businesses, internet marketing firms, website development companies and internet entrepreneurs. The experience has helped her develop in-depth knowledge about small business online which she now shares on the OnlismallbiZ platform. In her own words, “I am a dreamer and a doer!”