Finding and accelerating a more profitable future
Markets are volatile and uncertain, winners rise and loser fall, competition intensifies and customer have a relentless desire for better. Of course biggest is not always best. Market share is rarely a measure of success today. Growth is typically found in profitable niches, where you can grow further, focused and faster.
The best organisations are exponential – they harness technology, but also new business and market models – physical and digital – to accelerate value creation. Think about how WhatsApp created $19bn value in just three years, Uber $60bn in 4 years, Xiaomi $70bn in 5 years. At the same time, its about ensuring that revenues and profitability follow the valuations.
Finding fast growth means opening your eyes to new opportunities – to the fast growth markets of Asia, Africa and South America, or to the new consumers, such as women, millennials and boomers. It means redefining purpose in a way that is relevant, refocusing strategy on markets, and particular the new profit pools, and innovating business models and customer experiences for growth. It also means ensuring that growth is profitable – it is easy to be big, but to create profits, and sustained value, is much harder.
What are the growth engines of business today?
- Markets – finding the best spaces for growth in existing and new markets, for example in new geographies, in niche segments, in adjacent markets, or elsewhere – in the past we assuming that we continue to focus on the same domains, today growth starts with choice of markets.
- Customers – redefining your business around what customers seek to achieve, rather than what you do, gives you huge space to meet their needs better through more joined-up and relevant solutions – enabling them to achieve more, and you to create and capture more value.
- Brands – using your most powerful assets to do more, extending into new markets and categories, through the lens of brands, extensions and innovation. This requires a brand that is about a bigger idea rather than limit to one product and activity.
- Networks – forget the old thinking about core capabilities where you had to produce and distribution everything, find the best opportunities and ideas, then bring together the right partners to exploit it. Networks have an exponential effect, on supply and demand.
- Business models – rethinking the way your business works, in particular the different revenues and cost streams. Consider alternative business models, such as freemium, subscription or time-based – both to generate income, but also to engage customers in more distinctive ways.
Peter Fisk helps you find the best opportunities for your business. Developing the right growth strategy for your business starts with your inspiring purpose, making sense of the future, and a vision for how you can win in it. It is then about insight to find the best existing and emerging profit pools, and understanding customers. And then developing the strategic horizons over which you will shape markets to your advantage, balance today and tomorrow, drive innovation and profitable growth.
Examples of recent strategy projects include:
- Pinar: Growth strategy for multi-national food and drink business, using market and portfolio analytics to find the most valuable options for strategic growth.
- Sabre: Creating the future of travel and hospitality, looking for new business models and innovative experiences to support the future of travel.
- Savola: Brand innovation and extension to enter adjacent markets, from strong brand of commodity foods, to embrace new consumers and trends.
- Turkcell: Growing the SME and retail business, with a strategy that focuses on how a telecoms business enables people to do more, rather than just connect them.
- Virgin: Defining and launching a new financial service business, embracing the brand values to develop banking and investment products that challenge the status quo.
Explore more ideas about growth strategy:
- Article: Moonshot Thinking: We live in an incredible time
- Article: Eureka Moments: Airbnb mattresses to RedBull’s waitress
- Article: Market Makers: Innovate your market, not just your business
- Article: Never Stop Reinventing: Relentless change demands constant innovation
- Book: “Gamechangers: Are you ready to change the world?”
- Book: “Business Genius: A more inspired approach to leadership”
- Keynote: “Megatrends 2025: Find the future of your business”
- Keynote: “Rethink Business”
- Workshop: “Growth Strategy“
- Workshop: “Business Model Innovation”
- Workshop: “Gamechangers Program: Leaders of Smarter Innovation and Business Growth”
- Further reading: “A Playbook for Strategy” by P&G’s AG Lafley
- Further reading: “Growth as a Process” by GE’s Jeff Immelt
- Further reading: “The Five Forces that Shape Strategy” by Michael Porter
- Further reading: “4 Global Forces Breaking all the Trends“
- Further reading: “Rocket. 8 Lessons to secure Infinite Growth“
- Further reading: “Bringing Science to the Art of Strategy” by Lafley and Martin
- Further reading: “Defining Strategy, Implementation and Execution“
- Further reading: “The Executive Guide to Strategy“
- Video to watch: “Moonshot Thinking Explained“
- Video to watch: “Past v Future Orientation Explained“
- Video to watch: “The 100 People Project“
- Video to watch: “Exponential Organisations Explained“