In the first chapter we looked at finding, attracting and converting customers to drive growth. But this means nothing if there isn’t the product innovation there to both satisfy customers’ needs and stimulate their interest to want more. Managing product growth needs the same focus on your USP as customer growth and it may be that adding services could be the bigger win.
When it comes to using product to drive growth there’s a whole host of challenges that need to be carefully managed in order to deliver product expansion that actually delivers business growth – rather than distracting from the USP of what you were selling in the first place. It’s easy to assume that if something is working well then delivering more of it will deliver growth – right? Sadly, if only it were that easy.
Key takeaways from chapter two:
- Don’t assume that increasing your product range by X will deliver the same result in
revenue and profits – be targeted and use your data to work out what will sell
- Listen to what your customers like by canvassing their opinions to help identify what new
products would suit and take note of what they are asking for.
- Premiumise your product range to expand choice and enable upselling.
- Look at how you could better improve your services offering to sell more of the product
range you already have.
- If you are going to launch new services research and pilot beforehand so you are confident
it is something that will actually help the customer buy more.
- Let your customers know about both new products and services offerings and, if possible,
make premium versions of such services a benefit within your loyalty scheme so it
becomes a customer reward.