What is a Market Development Strategy?
Your market development strategy is incredibly important since it serves as the primary roadmap for all of the marketing campaigns that you will run. In short, it is the planned timeline for all of your marketing, both digital and otherwise. The strategy will allow the business to reach or serve existing target audiences that they have been thus far unable to reach. It serves as a plan for continued and consistent growth.
It will include all of the specific business goals and metrics that you want to meet or achieve. It will show your available budget and other resources, and help with the analysis of the resulting sales data. There will be breakdowns of the various channels that you will be marketing on, and the key performance indicators that will determine either success or an opportunity to improve.
Your market development strategy will also help to define the main messages that will be at the heart of your brand, the targeted audience or demographic, and what channels will be leveraged in what manner in order to win the audience over, in terms of sales conversions.
An effective market development strategy will often require extensive, and expensive, research. A marketing consultant can often help you determine who your business is the best fit for and the best ways to target them. In order to create a productive campaign, you need to know who your target audience is, and how they are going to respond to various forms of marketing engagement.
Benefits of Using a Market Development Strategy
The advantages of using a market development strategy in today’s market can bring a huge competitive edge to businesses and organizations that utilize them effectively. By effectively developing your market, you can gain new customers, increase revenue, and drive overall company growth.
The prospect of new customers in a yet untapped demographic is often an incredibly enticing prize for those considering a market development strategy. Success in this strategy can often be achieved in a variety of different ways.
The first way that many businesses try to break into a new market, or access potential customers that may have been unwilling or unable to commit to a purchase, is to adopt a different pricing policy or structure. By offering lower-cost options that have not been previously available, some organizations are able to effectively drive sales conversions. This can be as complex as creating an entire value-priced product line to cater to demographics that you may have priced out previously, or temporarily offering discounted prices or rates to entice new customers into trying your product or service and then counting on your quality and customer experience to create a bond.
Another effective technique is to utilize new and various distribution channels. If you offer a product or physical goods of some sort, this can mean setting up new digital storefronts on channels that aren’t the usual giants. Smaller digital shops are gaining market share since many Millennial and Gen-Z customers are turning away from the current global leaders.
While it is not an option that is available in many circumstances, some organizations find success with entering a market in a novel geographic location. Again, with the proliferation of online marketplaces and shops, many businesses are able to find new audiences by making their products available in states, regions, or countries that were previously unavailable.
While your customer base is growing, you should also make sure you are engaging with your customers. Some businesses find a great deal of success in focusing on increasing revenue by up-selling products and services to existing customers. A strategy that can work in line with this, to build revenue during market development is to develop a new product line to offer to incoming leads and new customers.
New sources of revenue may also be created if your business assembles a plan to sell any existing services or goods to new or expanded demographics. This can often be done by adding retail locations, shipping sources, widening a delivery or service radius, or similar initiatives. This can even apply to leveraging additional social media channels, forums, or other platforms to reach audiences that you may have overlooked or had weak conversion performance with in the past.
Best Market Development Strategy Companies
The best market development strategy companies will have a wide range of talents in addition to just creating market development strategies. They will have a demonstrated versatility in building websites and other digital products, working to produce industry-leading design and content.
Familiarity and enthusiasm for branding and brand identity should also drive your chosen market development strategy company. Focusing on bringing your brand into the forefront of the market should be one of their primary goals. But while you want someone that is going to pay attention to your wants and needs and give you personalized service, you also want a firm that is experienced and can manage much larger clients that ask for far more than you do, because that is where you and your business may be in a year.
Their formidable knowledge of SEO, paid marketing, and sponsored advertising should give your online presence a bold and clear digital voice. They should facilitate building a lasting bond between your business and your customers. The strategy that they develop with you should outline significant growth milestones, for both customer base and revenue, as well as achievement benchmarks, that can be used later as a key indicator of the performance of your market development strategy.
Most of all, the market development strategy company that you choose to work with, should have a proven track record of similarly satisfied customers or clients. You may not be their biggest or most expensive contract, but your business should matter just as much, and they should utilize all avenues to ensure that you are delivered the best market development strategy for your needs.