By M. Isi Eromosele

It is not enough for a company to be profitable. It must also grow. Growth engenders increased and sustained profitability. Not developing growth initiatives is courting disaster.

Many companies excuse their lack of growth by stating that they are in a matured market. Surviving in a matured market requires marketing and operational imagination. As such, a company can always find ways to grow in any given economic and market environment.

Chrysler introduced the minivan into a car market that was considered matured. Yet, the vehicle was a resounding success for the company. Markets are rarely fully penetrated. All markets are made up of segments and niches.

To grow, a company can implement four segment moves:

• Move into adjacent markets. Nike started by marketing superior running shoes, then moved into sports shoes - basketball | tennis | football | soccer.
• Perform a finer segmentation. Nike segmented the basketball shoe market into granular segments - shoes for the forceful player | the high jumping player and so on.
• Hop into new segments. Nike moved into selling clothing closely tied to its shoes for various sports
• Conduct market re-segmentation. Rebock, a Nike competitor re-segmented the market by producing well made stylish shoes for the leisure market without sports in mind

A company can also redefine the market in which it operates. Here are some examples:

• Nike has redefined itself as being in the sports market rather than being a shoe and clothing manufacturer.
• Coca-Cola moved from the soft drink market to becoming a total beverage marketer in a bid to increase its market share
• Armstrong World Industries moved from floor covering to ceilings to total interior decoration
• AT&T redefined itself from being known simply as a long distance telephone company when it moved into carrying voice, image, text and data on telephone lines, cable, cell phones and the Internet
• Taco Bell went from being strictly an in-store fast food restaurant to selling food in kiosks, convenience stores and airports

The following frameworks can help your company in its search for growth opportunities:

• Persuade your customers to purchase more of your products
• Cross-sell by recognizing other products that your present customers could use
• Target new markets or market segments in which to introduce your products
• Procure new businesses that will enable you to serve new markets

Attaining growth necessitates the development of a growth mentality with the company stakeholders, be they employees or partners. Be conversant of customer needs that are not being satisfied.

Explore hidden assets that can be utilized to satisfy higher order needs in your markets. Use a combination of relationships, market positioning, networks and acquired information to create value for your customers and growth for investors.

M. Isi Eromosele is the President | Chief Executive Officer | Executive Creative Director of Oseme Group - Oseme Creative | Oseme Consulting | Oseme Finance

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