In a worldwide world be are living nowadays attracting customers to your brand or product seems tricky. Saturated markets are those with a large number of competitors and offered products. These markets are more difficult to penetrate as existing products already cover the offer.
Operating in a saturated market leads us to no other option than to find new market opportunities; markets where there are customers still demanding the product offered. Generally, these markets are less attractive to big companies thus small companies have bigger opportunities to compete in.
During crisis periods, companies’ profits tend to decrease and it’s hard to increase conversions; finding new markets to operate in is a way to counteract the effect of the economic recession. Here are some tips on how to find new markets to maintain or increase sales. The most popular way is to put an eye into abroad or in different geographical although is not the only way.
1. Geographic diversification
Geographic diversification is the traditional way to find new markets, it consists of selling the same product but in a different geographic area. Often happens that the offer in a market is not enough for all the companies operating on it. However, there might be others demanding that same product.
This method has become simple due to globalisation; connections and communications between boarders have improved. Consequently, sales in another country are possible and secure for both companies and customers.
2. New distribution channels
In order to reach new customers is important to analyse the distribution channels the company and competitors operate with. The study o the distribution reveals relevant information of customers’ behaviours and needs. The Internet has become one of the most popular distribution channels and a source of relevant information, that companies used to approach different customers.
3. Small Niche
Occasionally, there are small groups of customers which big companies do not pay attention to due to the reduced number of demand. Nevertheless, this market niche can report a big benefit. In most of the cases, adjustments in the product are made to adapt it to the niche’s need.
The prices in niches speciality are more likely to be high, due to the low amount of offer, companies increase the price and customers are willing for it.
4. Alternative markets
The last alternative is to innovate the offer from your company. By adding small variations of the product or service companies are able to approach a different public. It is crucial to study the best alternatives that the market has, and for this purpose, it is vital to gather enough business data to make the right decision. Products are modified, although the sector is the same so the experience achieve is exploited.
In conclusion, a deep study of the issues around the company is crucial to decide between the best alternatives for the company. Any of these ideas could help increase your company’s sales, although the key is to choose the most convenient alternative.