Every entrepreneur strives to grow their startup rapidly. However, this is exactly where the majority of young companies meet with disaster. Namely, some recent studies show that more than 95% of startups fail. One of the main reasons for this is that startupers love shortcuts and believe that there is a “one-size-fits-all” strategy that might help them win over their customers and beat their competitors.
Well, you need to know that there is no uniform strategy. In order to grow your startup successfully, you need to build your own plan and tailor it to the needs of your market.
Here is how to do so.
Partner up with another Company in your Niche
To overcome the growth challenges they face on numerous fronts, many startups decide to partner with other growing companies within the same industry that share the same vision. This is one of the most powerful startup growth techniques that could help them expand their consumer base and experiment with additional revenue streams.
One such example is Uber, which is famous for making a plethora of strategic partnerships. For example, they teamed up with brands like Pepsi, Yellow Pages, Starwood Hotels, GM, and Toyota. You could follow Uber’s lead, by finding similar companies to team up with through the platforms like AngelList. This site not only helps you look for potential partners but also to allows you to find angel investors, monitor competitors and hire employees. Remember, every partnership made must be a two-way street, ensuring that both companies are benefiting from it.
Invest in Early Content Marketing Strategy
Content marketing is today’s marketing. Precisely because of this, you need to invest in it from the very beginning. Only by creating and sharing data-driven, relevant and quality content will you be recognized as an authority in your industry and stand out from the sea of similar companies. However, to do that, you need to develop a solid content marketing strategy. Here are a few steps you need to take.
- Set your goals
- Do detailed target audience segmentation and create buyer personas.
- Analyze similar businesses in your niche using competitor analysis tools.
- Determine what kind of content you want to deliver, be it articles, infographics, eBooks, whitepapers, videos, images or even innovative micro-content, such as quizzes, gifs, and memes.
- Share your content via multiple channels. In order to make this process simpler, you should use social media automation software that will help you share your content via multiple social networks at once.
- Measure content effectiveness regularly through the platforms like Google Analytics, Google Webmaster Tools, Scoop.it, and Quintly.
Improve your Liquidity
One of the major problems startups face is the lack of investment capital. According to some recent studies, 82% of companies fail due to funding issues. To avoid this, you need to choose the funding method that will meet your business’ needs effectively. Most startups decide to take out a bank loan. However, in order to secure it, you need to have a perfectly clean credit history, deliver thorough financials to show where the money would go, as well as put up your personal wealth as collateral. For many young companies, that’s not an option.
Fortunately, there are numerous more flexible funding solutions. For example, if you desperately need to boost your cash flow, you should resort to invoice factoring or apply for an online loan for small businesses and get the money in 48 hours. On the other hand, if you’re not in a hurry, you could always go with crowdfunding, angel investors, government grants or even apply for a startup contest.
Pivot is not a Failure
We all dream of making a big entrance to the world of startups. However, having a brilliant idea, developing a step-by-step business plan and choosing the best funding option isn’t necessarily enough for your startup to succeed. With this in mind, you should always have a plan B that will enable you to adapt your products to the current needs of both your customers and the market. This is exactly where a startup pivot shines.
You shouldn’t consider pivoting your company a failure. Always keep in mind that, if your business plan is neither profitable nor scalable, the worst thing you could do is cry over spilled milk. After all, you’re not the only one forced to make this decision. The studies show that more than 15% of startups pivot from their original business plan in the first few months. Among them are some super-famous companies, including PayPal, Twitter, Starbucks, Nokia, Nintendo, and HP.
Guiding your startup through its fast growth is a daunting task. You should always choose scalable and profitable methods that will bring in better conversion rates and higher revenue. Hopefully, the strategies listed above will help you stay relevant and grow your startup successfully.