TGG Service: Market Expansion Strategies
Market expansion is a growth strategy
Crafting successful market expansion strategies requires careful examination and identification possible strategy options. This is because this strategy can be employed to pursue a wide variety of business goals and implemented in a wide variety of ways.
Some market expansion approaches are intended to increasing sales, volumes, some are more focused on revenue. Others may need to be more focused on improving margins, profits, or the cost of goods.
This is a classic framework used for thinking about market expansion:
At TGG, we focus on developing strategies intended to increase the sales volume of CURRENT PRODUCTS.
The reason: We know from experience that there is almost always significantly less risk in working with products you already have and pursuing business in markets you already understand. We especially discourage pursuing a diversification strategy unless a client has deep resources and a highly experienced. a highly sophisticated leadership team.
Regardless of the desired goals, before any strategy option can and should be selected, and before any plan(s) for implementation can created, the following must be done – preferably by professional strategists:
- A state-of-play market analysis to evaluate revenue potential
- Strategy options identification and evaluation
- Execution requirements analysis