Strategies for Market Growth

Strategies for Market Growth

Companies are facing pressures to keep growing

Evidence suggests that it is hard to sustain above-average growth 30,000 new consumer products are launched

each year – over 90% of them fail! 9 out of 10 companies fail

The best way to enhance the bottom line is to know how to grow

Strategic Marketing Tools

• Developing strategies for growth and downsizing o The product / market expansion grid

• Ansoff's Matrix is used as a strategic

marketing planning tool to evaluate strategies for increasing sales

Ansoff Matrix

Market Penetration

A strategy for company growth by increasing sales of current products to current market segments without changing the product

Market Development

A strategy for company growth by identifying and developing new market segments for current company products

Product Development

A strategy for company growth by offering modified or new products to current market segments

Diversification

A strategy for company growth through starting up or acquiring businesses outside the company’s current products and markets

Downsizing

Reducing the business portfolio by eliminating products of business units that are not profitable or that no longer fit the company’s overall strategy

DISCUSSION