You know the importance of marketing too well known to need repetition, from building a solid market presence to expanding your customer base.
But to do that, you require marketing strategies that define your business goals, identify your target audience, and lay down the ways of reaching them.
Interestingly, attracting customers is not the only way of increasing your company’s sales or growth. Using an organic growth strategy, you can usher in growth from within the company by taking some steps like reallocation of existing resources and offering newer products.
It carries plenty of benefits, including the low risk involved and higher production. How can you benefit from this strategy, how does it work, what are its benefits, and other information you must know?
What Is An Organic Growth Strategy?
This is a strategy that a company uses to expand in size and increase its sales by utilizing all its resources without taking any help from external sources.
It is diametrically opposite to inorganic growth, characterized by acquisitions, mergers, and the opening of new branches of the company.
An increased efficiency, higher revenue, cash flow, and an improved production rate marks the strategy’s success.
A survey shows that most companies in Europe, the USA, and other parts of the world that adopted this strategy reported higher shareholder returns than companies relying on traditional growth strategies like acquisitions.
Main Strategies Of Organic Growth:
Most successful companies, including small businesses and startups, consistently use various strategies to drive organic growth.
These include investing in those products and services that have previously resulted in organic growth in the company’s history.
Companies also divert money or funds into areas with a higher potential for growth in the future and create newer products or services that offer a unique experience to the customer.
Even though these are the main strategies businesses use for growing organically, these are other methods they benefit from.
1. Research your target audience
You should make the target audience your main focus if you want to grow organically. Its importance is even more profound when a business aims to tap an untapped market or attract newer potential customers.
Doing detailed research helps companies understand customer requirements, expectations, and preferences.
Doing so allows companies to invest their resources, time, and funds into those areas that will lead to customer satisfaction, from product upgrades to expanding social media presence.
2. Identify your company’s differentiators
Differentiation refers to identifying those qualities that set you apart from your competitors in an industry.
You must know your company’s differentiators because it helps the customers recognize your brand’s values and distinguish them from others.
However, before establishing the differentiators, you must ensure they are valid, relevant, and verifiable. If customers find your facts untrue or grossly misrepresented, they will not take it kindly.
You ought to support your claims with figures, data, and statistics and ensure it is relevant to your business in some way.
3. Focus on a specialized area
Once your company has carried out sufficient research to understand the customer’s requirements and expectations, you should put your time, funds, and resources into that area that requires improvement.
Focusing on a niche (a specialized area) helps you avoid unnecessary costs and reduce competition while expanding your market reach, widening your customer base, and allocating resources where they are necessary.
4. Advertise your expertise
Customers highly value expertise in a business and will always be attracted to companies with a team of experts in their industry.
Although expertise will set your company apart from the others, you must first advertise your expertise to the customers since they would not be aware of it unless you made them.
Some ways of doing this are organizing webinars, publishing well-written articles and blogs, and showcasing your knowledge on social media platforms.
5. Promoting an agile culture
An agile culture refers to a working environment where a company’s employees quickly adapt to strategic changes or a different work environment.
It introduces an element of flexibility, retains the best employees, and gains a competitive advantage. An agile culture also supports continuous learning in the workplace when guided by performance metrics.
Organic Growth For Online-Offline Marketing Integration
Adopting a strategy that enables your company to grow organically is also effective for offline-online marketing integration.
Since it requires you to research your target audience, you can shift from offline to digital channels where they are most needed.
For example, if your audience is more receptive to printed materials, you could mention your company’s website address, social media presence, and other digital information on brochures or newsletters.
In contrast, if your digital presence is limited in your early days as a startup, you can utilize this strategy to allocate your resources towards offline advertising methods like billboards, magazines, radio ads, and newspapers.
Why Should Startups Utilize This Strategy?
Most startups face a funding problem, whether it is through personal financing or external funding.
Even though an organic growth strategy might take more time, it will cost less than paid advertising or marketing methods.
Even with limited liquid capital, following an organic approach is beneficial because it gives you complete control of your business expansion.
You should clearly define your monthly financial targets, hire a small but highly skilled team, and run an effective PR campaign to ensure success.
Implementing an organic growth strategy helps your business grow in several ways without resorting to inorganic methods like acquiring other companies or mergers. It is cost-effective, result-oriented, and increases sales once you implement it.