Five steps to finding new markets
Moving into new markets can be immensely rewarding or a dangerous game. Here’s how to play it safe…
1. Focus: don’t try to make your products or services appeal to too many people. Generic propositions may give you a bigger pool of prospects but they are much harder and more expensive to catch.
2. Decide which markets to target by considering customer needs first. What will they buy? Why? When? Use this information to sketch out your likely revenue streams.
3. Don’t rush it. Think about what could go wrong and what steps to take if things don’t go to plan. Have a very clear idea of when you should qualify out of a market.
4. Put yourself in pole position. Make it very clear to your new markets why you are better than alternative options. Remember that buyers choosing to do nothing is likely to be a big threat.
5. Where’s the cash? Identify how you can enter new markets with value-based pricing. Buying market share with low prices means you must have a low cost base. These are very hard to achieve and maintain.