Be Different or be dead

May 9, 2016

5 practical ways to diversify your revenue growth

“It’s not good to have all your eggs in one basket” is a saying that speaks well to the business risk of relying on too few assets for a disproportionate amount of your income.

Too much from too few leaves you vulnerable to the negative effects of unexpected economic and competitive events.

Five steps will help you develop valuable diversity.

Target customers where your wallet share is low

These are customers whose spending on your service or product comprises a low percentage of their overall spending in your particular business sector.

Sell current product applications

Focus on applications provided to your most popular customer groups and market them to other customers who don’t currently use your products in the same way. Use existing marketing materials in the sales process to maximize return on investment.

Develop new applications

Develop new applications for your current products based on the wants and desires of your high-value customers. New application success depends on the clarity and ‘intimacy’ of the customer requirements you identify. Emphasize the value derived from your products, not the technology used to deliver it.

Go fast and easy

If you are tempted to pursue new customers for your products, employ the fast and easy approach. Identify those who have good revenue potential and are easy to pitch to and quick to buy. Business risk is increased by going after new customers who pose difficulty and consume too many of your resources as you try to sell to them.

New products

For the longer term, develop new products to satisfy unmet customer demand. This usually involves new technologies that are more difficult to adopt and take longer to assimilate.

But don’t be too diverse.

Provide what your customers care about, and be the sole provider.

Cheers,
Roy
Check out my BE DiFFERENT or be dead Book Series

• Posted 5.9.16 at 05:08 am by Roy Osing
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