Running a startup requires diligence and commitment no matter what the environment is. Moreover, not every startup writes its own rules. Sometimes, it’s the market and the surrounding around them that sets the principles, which the business holders have to follow and accept in order to succeed. Here, we will talk about 5 strategies for startups to grow in a turbulent market.
Table of Content:
- Come up with a financial plan
- Review your marketing plan
- Think Big, Start Small
- Put technology to the best use
- Never stop networking
Some of the factors that stir up the market include an unstable economy, the ever-changing customer needs, and the introduction of new technologies. The market’s need to constantly change has made it so fast and volatile that company’s of all sizes fear is they’ll survive. Therefore, to stay on the course, it requires businesses to constantly follow the right tactics to work in an unstable market.
The following are 5 strategies for startups to grow in a turbulent market:
1. Come up with a financial plan
Instead of applying for a loan, turn to trusted and professional advisors and ask them to review your business plan. This will help you to look through all the critical aspects of your business and make accurate financial decisions.
Once you’ve secured financing for your startup, come up with a financial backup plan for your business. This plan will help you with your business as well as personal finances in case you fail to hit your initial revenue projections.
Carefully budget your expenses so you can continue making your most important payments like rent, insurance, utility bills, etc. Finally, make sure your bank balance is enough to support your venture.
2. Review your marketing plan
Starting a new business in a market that constantly fluctuates takes creativity and ingenuity. Marketing then becomes one of the most important strategies for startups to help stay ahead of the game and your competitors.
There are various ways one can use marketing for startups. Go through your business plan and understand your marketing components: What are you selling? Who are you selling to? How much are you selling for? How are you selling?
You stand a better chance to thrive when you focus on a niche. Break your target audience into smaller groups and segments and market strategically. For example, if you offer grooming service geared to men, your target audience then can be men within a specific age range, geographic location, or other demographic.
You can also think about the different ways you can modify or alter your products or services to serve a broader customer base and widen your business appeal. For example, if you own a dine-in restaurant, could you also offer food delivery service or pre-made food for customers who want to grab-and-go?
Research the market, see what your competitors are doing, consider an ongoing competitive analysis. What promotional tactics are they using? How are they presenting their products? What prices are they selling on? What is working for them and what is not? What are the things that they aren’t doing but can be beneficial for you?
You need to study your competitors in the market in order to differentiate yourself and gain market share. Remember to keep a close eye on the competition. For example, if your competitors aren’t targeting a particular segment of customers, you can fill in the gap by capturing that group.
3. Think Big, Start Small
Some of the biggest business ideas were started in a garage. The only way to plan a future for startups is how entrepreneurs think about the strategies for startups. Every entrepreneur wishes to see its startup as the next big thing but to truly achieve it you need to first find that foothold in your niche.
From here only you can pursue the bigger picture. Have a vision that always incubates in the back of your mind but manage your expenses by starting as small as possible. Tighten yourself from the ground and expand when your business takes off. For example, see if you can start off from a more affordable space? Or, think about your staffing needs? How much is too much for you?
Be in love with your vision, but don’t plan to marry it. Let it transform and adapt as your startup grows. The idea is to think big in mind wherever you plan to go.
4. Put technology to the best use
Today, running a business without using technology is something next to impossible. Technology helps a business in numerous ways that not only save money but also increase profit. Some of these including:
- Selling products and services online through different channels.
- Connecting with potential customers and clients using email marketing than going the traditional print advertising way.
- Putting the word out for your business with the help of a website. With contact information, testimonials, and other important content, a website works as a portfolio for your business.
- Optimizing your websites for search engines to stay on top of your customer’s search result page.
- Offering advanced notice of sales, discounts, coupon codes, ad referral bonuses by creating an online customer loyalty program.
5. Never stop networking
Networking is one of the most crucial strategies for startups. Identify and connect with other relevant people in your industry and community. These are the people who can refer to customers who will love to do business with you and help you build your company.
You can also consider joining a professional association – either a local one where you can meet people in person or an online group – tap into others’ ideas.
During a turbulent and uncertain time in the market, you’d not want your startup to paralyze. Instead, you need to carefully strategize your business plan in order to fight and win.
Do your research and take advantage of every opportunity to minimize costs and add value to your customers. These 5 strategies for startups to grow in turbulent markets will help you build a foundation for your startup for long-lasting business success.
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