(And How You Can Avoid Them)
Every company aspires to grow, but the road to success isn’t always pleasant. As your business expands, the systems and foundations you once relied upon becoming frayed or obsolete, unanticipated expenditures occur, and mistakes happen more and more frequently. What’s more, your consumers may notice these growing pains and desert you. This is not what you pictured when you dreamed of crossing that 7-figure revenue mark!
So, whether you’re on your way to becoming a big company or just starting out, here are the top ten business growth blunders companies make when scaling, plus how to avoid them.
1) Marketing without a strategy
If you don’t have a plan, your marketing efforts will most likely be ineffective. Plan out what marketing channels you’ll use, what content you’ll create, and how you’ll measure success.
2) Skipping social media
Social media is one of the best ways to connect with customers and build relationships. You’re missing out on a key opportunity if you’re not using it!
3) Not investing in marketing
Allocate enough time and resources to your marketing efforts. This is one place you don’t want to cut corners. If you want to grow your business, you’ll also need to get the right people in place to help you pave your way toward success. Don’t be afraid to spend money on marketing efforts to help you reach your goals.
4) Not tracking results
If you’re not monitoring your metrics, you’re essentially flying blind. You have to track your results to know what’s working and what’s not. Conduct an initial audit to determine your pockets of success, gaps, and areas of opportunity. Then use that info to fill in gaps and nurture untapped potential. Track your progress and adjust your marketing and strategic plan accordingly. Otherwise, you’ll risk falling behind or veering off course.
5) Not delegating enough
When trying to grow your business, taking on as much work as possible can be tempting, but this leads to burnout and decreased productivity. It’s important to set boundaries and focus on your priorities.
Delegate tasks and free up your time to focus on the big picture. Hire more employees or outsource work to contractors.
6) Focusing on the wrong things
Don’t get caught up in details that don’t matter or busywork; instead, concentrate on your company’s objectives. Stay focused on sales, profitability, and your clients’ demands.
7) Not having a value ladder
A value ladder builds diversity of income streams. Of course, you’ll always have your core offer, but what if your audience requires a taste before handing over their wallets for big-ticket items? A value ladder helps you meet your prospects where they are, and as they become raving fans, they’ll always have something to purchase next. This is the “Do you want to super-size that?” strategy that made Mcdonald’s famous. Those “extra” options are key to more revenue AND greater profitability.
8) Not planning for growth
In Mike Michalowicz’s book, Fix This Next, he discusses the importance of proactively planning for expansion and recommends setting aside at least six months of funds to cover growth costs, such as growing your team or moving to a new office space. Map out your marketing strategy, hiring goals, and plans for financial endurance. And set money aside for your business’s future, because growth doesn’t happen without planning.
9) Ignoring customer feedback
As your business grows, listen to your customers and consider their feedback. Expanding your business won’t mean much if you lose your current customers. So, keep your customers happy and learn from them.
10) Underestimating the work involved
Growing a business is hard work! Don’t underestimate the time and effort it will take to achieve your goals. Stay consistent, make informed choices, and tweak your strategy as you go along.
Finally, remember to give yourself credit! You’ve worked hard to get your business to where it is, so be proud of your accomplishments.
So there you have it—10 common mistakes made during business growth. Avoid these pitfalls, and you’ll be on the right track to success.
Growing a business is no easy task—countless things to watch out for and mistakes to avoid. But with careful planning and focus, you can ensure your business thrives. Thanks for reading!