Reach new markets
Consider expanding into a new market if you have a range of products or services that has done well locally. Depending on your current setup, that might mean looking for new opportunities in nearby communities, expanding into new provinces, or exporting internationally.
Analyze the market where you’d like to expand before making the leap. What other companies are offering similar products and services? Are there underserved portions of that market? And what is the real estate market and labour like? The cost of real estate is an important component to the cost of doing business in that jurisdiction, as well as the availability of talent.
You should also consider the tax implications of doing business in a new geography, including the corporate tax rate and the logistics of collecting and remitting sales taxes in a different province or country.
The availability of financing should also factor into the decision to expand. There are several government programs and private financing options that can help you invest in new equipment, R&D, staffing, and other capabilities needed for expansion.
Explore a new pricing strategy
For many business owners, raising prices during a period of financial constraint will seem exceptionally risky—the prospect of driving customers or clients to your competitors by asking for more can feel like a bridge too far. At the same time, it’s dangerous to leave potential revenue just sitting on the table.
To help overcome the reluctance to raise prices, forecasting and modelling are an effective approach. By gaming out how a potential change will play out, can provide the confidence needed to push forward with a new strategy.
Add a direct-to-consumer channel via e-commerce
You can sell directly to consumers through e-commerce if you manufacture or distribute consumer products but only ship to retailers and wholesale distributers.
E-commerce offers many retail strategies that allow you to tailor your approach to what best fits your business. You can reach your customers through a company website, app, or social media, for example.
Adding new channels is a good way to reach as many potential customers as possible, but you should be prepared to meet this increased demand by ensuring you have the proper logistics to handle payments, ship your products, handle returns and customer questions. There are also tax considerations when conducting business online in new jurisdictions.
Expand your product or service offering
Developing new products and services can help you increase your volume of business with existing customers or reach new pockets of customers within your market—both have the advantage of letting you utilize your established sales and marketing channels. You can also leverage your knowledge of your customer base and current customer needs to develop new offerings that will drive new sales.
You may also be able to tap into government grants to support new product innovation and development. For example, the Scientific Research and Experimental Development (SR&ED) Tax Incentive Program applies to a wide range of expenses.
Make an acquisition to fuel growth
Acquisitions are another growth strategy to consider if you are interested in gaining market share, adding to your customer base or filling a gap in your market. Further, if you have a bigger share of the market, you’re in a better position to negotiate with larger customers and retailers. Buying another business can also help you add new skills and intellectual property.
An acquisition is a significant undertaking that goes beyond the price of buying another business. You should also factor in what will be needed to integrate a company and consider the tax implications of the sale and subsequent merged businesses. As with expansion into new markets, finding financing is a critical component of an acquisition, especially in current market conditions. A solid 100-day plan coupled with detailed forecasting and modelling can provide lenders with the confidence they need to say ‘yes’.
Leverage your marketing strategy to grow market share
Marketing is an important element for driving new growth, and a well-designed marketing strategy will include multiple avenues to reach current customers and new prospects. You have many options for getting your marketing message out and engaging your audience, including your website, social media, email marketing and advertising.
Consider using tools like a customer relationship management (CRM) system to boost your growth strategy. CRMs track customer interactions with your business that allow you to develop tailored marketing offers and communications. Data analytics can highlight areas of success, which is especially important if you’re expanding into a new market or changing your products and services.
If it’s been a while since you’ve reviewed how and where you’re marketing your business, now may be a good time to consider each of these elements and identify where there may be gaps, or opportunities to update and upgrade your marketing game.
No matter which method of increasing your sales and revenue you choose—we can help.
We’ll work alongside you to develop clear solutions for complex challenges. Contact us today.