Idea #8 to Grow your business in 2010
Create a new market
Have you ever thought about targeting a new market or even creating a new type of demand for your products and services? Of course, this idea won’t work for every company, but if you start to think creatively, you may realize you could generate significant revenue by going where your competition is not.
For example, when talking with financial advisors, it seems they always say they work with baby boomers, people who are approaching retirement, and/or high net worth business owners. How many times have you ever heard a financial planner say they want to work with recent college graduates or people who are below the age of 40? It’s unusual because that demographic does not tend to have a high net worth, but many of them will in the future – especially if they work with someone who can help them plan for financial security when they have very little.
One of the best books about this topic is "Blue Ocean Strategy" by W. Chan Kim and Renee Mauborgne. It describes several strategies that companies used to create their own market niches and, in a sense, eliminate competition. They tell the story of Cirque du Soleil and how they created a new entertainment category aimed at adults who wanted a unique experience and would pay a premium price for it. At the time it started, there were no other performances that were similar. Seeing a Cirque du Soleil performance is much different than going to some of the typical choices in major cities: movies, concerts, plays, opera, etc. It’s theater, music, drama and athleticism combined under their own wildly dramatic big top tents.
So, what can you do to create your own market that is so different from what your competitors are doing that you’ll attract a new set of prospects and clients? Here are 3 steps to get started:
1) Brainstorm - Think without any limitations on what is possible or reasonable. Write down all of your ideas. Do this alone or with a small group of people within your company who you trust and will enjoy this type of activity. Make sure everyone understands there are no ‘stupid ideas.’
2) Be selective - Choose one or two of the best ideas and begin to do some research on what it would take to implement them.
3) Start small - Begin with a small trial of your new idea to see how your new market responds. You will know, based upon demand and watching your numbers whether it makes sense to increase efforts and expenses to introduce your idea to a larger audience.
If you decide to try this, please let us know if you have questions along the way! And to all who are reading this...have a successful day!
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