In the current business world, sustaining business growth and profitability is never guaranteed. Scientific and technological advances cut down the life cycle of products. This instability provides room for new business opportunities. One company our writer found out that expanded quickly with these strategies was Auto Towing. In this article, we’ll focus on ways that will help the entrepreneurs identify new opportunities for business growth.
Identifying a framework is an important aspect as it will help you search for opportunities. To be able to achieve this, it is therefore important to understand the direction of your business and have adequate knowledge of its strengths, resources, and capabilities.
After the understanding of your company’s goals, the next step will be to analyze the market, assess the customers’ needs, and how you are going to meet them.
Market analysis techniques
In order to understand your market demand, identification of consumer segments that share common characteristics is paramount. Some of these characteristics can be hard variables such as gender, residential location, level of education, age, level of income, occupation, or the soft variables which are attitude, lifestyle, purchasing motivations, and values.
Hard values can enable you to estimate the number of customers that your business can attract. For instance, a diapers seller should be in a position to tell the number of children that are there in his/her location of the business. On the other hand, the soft variables will be of help in identifying the motivations that lead to buying decisions including prestige, durability, design, and price.
Purchase situations must be evaluated to unearth expansion opportunities. The following questions should be asked when examining the purchasing analysis:
- When do customers purchase your product?
- Is it when they require it?
- What are the methods of payments?
Looking at various channels such as distribution and payment methods can help you on how to position your products appropriately. Also, offering new shopping options can bring in new customers. For example, introducing machines to make yogurt and bake cakes can promote consumption.
Another aspect which you can introduce is various means of payments. For instance, recently, Amazon introduced Amazon cash that enables its customers to shop online using their personal Amazon accounts.
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