As entrepreneurs, we do not want to get into a stagnated state. While the business may be running smoothly, the revenue line looks like an EKG line of a person who has just died. The same customer base stays loyal but operating costs rise and the answer is new customers.
You have had brainstorming sessions with your team and some fabulous ideas have appeared. But these new product ideas will require breaking into new markets.
But how do you break into new markets?
I will start by telling you to take a look back in time. Remember how it worked when you started your current business.
You will use similar methods you used to gain a reputation with your current customer base. But you may need to use different approaches for breaking into new markets.
You may ask where my experience is on this subject. Not to “dive” into much detail, I have spent many days and nights in Hong Kong and Singapore breaking into a new market with great success.
Here are 5 tips that will help you.
Breaking Into New Markets Tip #1: Surround Yourself With People Who Understand That New Market
You may want to consider partnering with another entrepreneur who has experience with the market you are attempting to break into.
You also should closely examine past experiences of your tribe. Which ones have been involved with the market you are considering?
Breaking Into New Markets Tip #2: Educate Yourself
I suggest that you read books, watch videos and talk to people who are in or have been involved with the market you are trying to break into.
You want to understand their culture, common phrases and what “turns them off.”
Before traveling to Asia, I read several books and high quality articles.
It helps to understand the people completely so you do not embarrass yourself or upset them.
Even within the United States, a market in the upper East coast is going to be different than a market in Montana.
Breaking Into New Markets Tip #3: Be Flexible
You have to find a measure of flexibility when you are attempting to break into a new market.
While you may have researched night and day, and you know that your idea will solve a current problem within that market, you may have overlooked something and the potential customers are requesting some slight changes.
While it may cut into your profits, it is still wise to be flexible.
Just as an example, let’s say you have designed a product that will help people in India always have clean water to drink in their homes. The product is loved but the color is hated. They want it to be gray and not red.
Sure, the gray may be more expensive but if it achieves a huge volume of sales, the end result will be fantastic!
Breaking Into New Markets Tip #4: Press Release
A well written press release can do wonders!
Journalists are always on the hunt for good stories and your new product or service can be just the news story they are searching for.
Breaking Into New Markets Tip #5: Study The Companies Who Have Already Entered That Market
You don’t have to learn how to do it from scratch. Just look at other businesses who have entered the market you are considering and use some of their methods and strategies.
I would say that you could even attempt to contact the company and explain your idea and ask if they would be willing to advise you; as long as they are not competitors.
Ask Yourself These Questions
I want to remind you, look back to when you first started.
Breaking into new markets is essentially the same thing… You are starting anew.
Try asking yourself these questions; they will help you determine the path you should take.
- Who, in this market, will be the potential customer?
- Have I done enough research about the market?
- What are the potential hurdles I will face to enter this market?
- Do I have the internal tools, and capabilities to succeed?
- Who is my competition?
When you have answered these, I suggest you draw up a plan of action. Move forward in pursuit of your dreams.
In breaking into new markets, there are many tasks and duties. Keeping track of expenses is one. But I have a tool for you that can make that process much easier by automating it.
Several years ago, I developed the Expense Tracker. This handy tool will keep your finances in line with your budget and also show you where deductions on taxes can be found.
At under $20 per month, it is like having an accountant in your pocket.
I hope I provided you some valuable insight today. Please leave your comments telling me if this post helped you.
Will you also share it with others?
Thank you. May your business climb…
To The Top!