Choose your Business Growth Rate and Build your Business Towards It
We may be living in a negative economic cycle right now, but it’s up to you to decide what your business growth rate should be. Despite the pundits, headlines, and uncertainty, you can grow your business during a recession. The headlines may tell a negative story, but my current experience serves as a reminder that every situation, no matter how negative, presents opportunities for your business. The news will tell you that foreign investment in South Africa is faltering, but we’re currently helping a South African small business negotiate a lucrative partnership with a foreign company. Take your eyes off the headlines and stop waiting for change to happen - choose your business growth rate and build your business towards it. On The Money Show with Bruce Whitfield, Pavlo Phitidis told us how to build for a 35% business growth rate, no matter what happens in the world around you:
Solve new problems
Your customers’ problems change as the environment shifts, so it’s time to create new solutions using your products. Do this by:
- Analysing your current products and services;
- Adapting them to respond to the new problems your customers face;
- Test the response and,
- Then adapt or enhance your products and services to boost your business growth rate.
Philip, who works in the clothing manufacturing industry, called in to the show and agreed with me that new opportunities exist for South African businesses during the recession. He may work in a currently beleaguered industry, but the environment is shifting, and new opportunities for South African production channels are coming to the fore. Christopher Whitfield (no relation to Bruce!) called in to highlight how his business had transitioned from pharmaceuticals to high-tech laboratory equipment, backed by foreign investors.
Break to build your business
You can boost your business growth rate by breaking to build your business. Do this by:
- Reshaping your system of delivery to ensure it responds to your customers’ new problems;
- Test your customers’ response to their new experience with your business and then,
- Adapt or enhance your system of delivery to ensure optimal success. Remember to assess and adapt around your levers of growth.
- Remain focused on building simply – simplicity is easy to scale, teach, and control. Moreover, building simply frees up your time as a business owner, so you can find new ways to build towards your 35% business growth rate.
Capacitate your team
As your business changes in response to new customer problems, you need the right people on board. The negative economic cycle has led to job cuts and retrenchments – the right people are now available for you to employ. Hire the right kind of people, with the right kind of character and commitment, to boost your business growth rate.
Invest in your lead generation tools
Your lead generation strategies must change as the business environment shifts. Now’s the perfect time to trial new strategies, test the response, and adapt accordingly. Where you can’t close a lead and directly provide a service to an interested customer, don’t be tempted to change your whole system of delivery. Instead, focus on your business and use your network of collaborators and suppliers to solve your customer’s problem.
Assert yourself and set your mind right
Refusing to participate in the recession and focusing instead on building your 35% business growth rate begins with getting your mind right. Don’t settle for the word “no” in negotiations, and ensure your deal making structures are beneficial to your company. Lead by example, and don’t let your team get weighed down by the negative business environment. Boosting your business growth rate to 35% is possible, no matter what the headlines say.