On a scale of 1 to 10, where does diversification fall within the priorities of your business? If all of your business eggs are currently in one basket, your company is far too vulnerable to the ever-changing wants and needs of consumers. Diversification is the key to protecting your business relevance, brand, and bottom line.
The following three strategies will help you dip your toe into the pool of diversification and become familiar with strategies proven to lead to success.
Adapt Your Product Line
If your business sells products, either tangible or digital, begin your diversification process by adapting and tweaking your line up. Blockbuster learned this lesson the hard way after RedBox and Netflix emerged. Consider these techniques for product diversification:
- If you only offer “high end” products, reveal less-expensive or hobbyist versions of the same products
- Find or create related products that match well with your current line up. Training materials, integrated solutions, and new technologies are often popular choices
Use the Internet For All It’s Worth
Are you using the magic of the vast world wide web to your benefit? If you don’t already offer your products or services online, it’s time to start! An e-commerce element has the potential to save your business, especially as so many consumers move from brick-and-mortar to online shopping.
Hit a New Market
Working to attract a new market or audience is an important diversification strategy. If your products or services are currently catered to homeowners or senior citizens or your tristate area, pick one growing area for expansion. For larger businesses, this could even mean offering products and services overseas.
Partner With the Right Professional
If you aren’t a diversification expert, partner with someone who is. KMG Marketing serves small to medium-size businesses and their owners by identifying key challenges and potential growth opportunities, and then taking on all work involved to directly implement diversification programs and even managing leadership, marketing, and operational teams.
Call (727) 376-7200 to speak with a KMG expert and put your business on the fast-track to success.