close
test_template

The Three Most Important Levers for Business Growth

About this sample

About this sample

close

Words: 555 |

Page: 1|

3 min read

Published: Dec 12, 2018

Words: 555|Page: 1|3 min read

Published: Dec 12, 2018

The growth of business and the increase of customers is the goal that every company has on the horizon and aligned with it there are endless marketing tactics, campaigns, and messages that can be used to achieve this fundamental objective for the existence of the company. However, there are only three strategic sources of growth of any business, regardless of the type of size of the company.

'Why Violent Video Games Shouldn't Be Banned'?

While there are three columns on which the growth of the business is based, it is essential that the differences between these three levers are known to carry out with a good foundation the choice of which of them are appropriate for your business in particular. Let’s look at these three sources of growth.

  1. The growth of the market.
  2. The objective of this strategy is to attract new customers that at the moment they do not use the product category to start using it. A right way to think and graph this is the increase in the "cake" from which you will eat the product category of your business. As an important feature, this is one of the most costly and difficult growth levers because customers will often have to be taught a new way of doing things.

    A good example of this is Apple’s iPad, most people who initially bought an Ipad did not use a tablet before but probably did it with a laptop. Apple’s strategy is "pay a tuition" to attract people to the new category of Tablet PC. Typically, companies that focus on this growth lever often have their dominant market share in their group.

    Of the three levers of growth, this is not usually the most appropriate for small businesses in a competitive category.

  3. Increase the volume of purchases with your current customers
  4. The objective of this level is to search among the four walls of your business and stimulate the volume of sales with your existing customers.

    There are three ways to do this:

  • Increase current usage: that is, get existing customers to use more of your product or use it more frequently. For example, a brand of mouthwash might encourage your current customers to use toothpaste twice a day instead of just once a day.
  • Stimulate new uses: get existing customers to use their product for new purposes. For example, a product initially used as a glass cleaner promotes its use in the cleaning of sports shoes, plastic devices, etc.
  • Reduce the loss of customers: prevent existing customers from canceling your service or withdrawing as users of your company. For example, Internet and cable providers have retention programs to intercept clients before they expire and offer them attractive promotions to stay.
  • Earn market share that the competition had.
  • This lever is the easiest to understand. If you are a small player in a competitive market, you will want to focus messages and tactics on stealing a competitor’s share (or two). Larger competitors have already invested significant resources in educating the market about the category their small business is part of; now you have to define a clear positioning statement, expressing why it is better and why customers should believe and focus his efforts in the action of taking away another competitor’s market.

    Get a custom paper now from our expert writers.

    The marketing activities are to make decisions and put disproportionate attention. You have to make sure that you focus on a bright source of growth that makes the most sense for your business.

    Image of Prof. Linda Burke
    This essay was reviewed by
    Prof. Linda Burke

    Cite this Essay

    The three most important levers for business growth. (2018, December 11). GradesFixer. Retrieved December 7, 2023, from https://gradesfixer.com/free-essay-examples/the-three-most-important-levers-for-business-growth/
    “The three most important levers for business growth.” GradesFixer, 11 Dec. 2018, gradesfixer.com/free-essay-examples/the-three-most-important-levers-for-business-growth/
    The three most important levers for business growth. [online]. Available at: <https://gradesfixer.com/free-essay-examples/the-three-most-important-levers-for-business-growth/> [Accessed 7 Dec. 2023].
    The three most important levers for business growth [Internet]. GradesFixer. 2018 Dec 11 [cited 2023 Dec 7]. Available from: https://gradesfixer.com/free-essay-examples/the-three-most-important-levers-for-business-growth/
    copy
    Keep in mind: This sample was shared by another student.
    • 450+ experts on 30 subjects ready to help
    • Custom essay delivered in as few as 3 hours
    Write my essay

    Still can’t find what you need?

    Browse our vast selection of original essay samples, each expertly formatted and styled

    close

    Where do you want us to send this sample?

      By clicking “Continue”, you agree to our terms of service and privacy policy.

      close

      Be careful. This essay is not unique

      This essay was donated by a student and is likely to have been used and submitted before

      Download this Sample

      Free samples may contain mistakes and not unique parts

      close

      Sorry, we could not paraphrase this essay. Our professional writers can rewrite it and get you a unique paper.

      close

      Thanks!

      Please check your inbox.

      We can write you a custom essay that will follow your exact instructions and meet the deadlines. Let's fix your grades together!

      clock-banner-side

      Get Your
      Personalized Essay in 3 Hours or Less!

      exit-popup-close
      We can help you get a better grade and deliver your task on time!
      • Instructions Followed To The Letter
      • Deadlines Met At Every Stage
      • Unique And Plagiarism Free
      Order your paper now