Growth is inevitable for any business. As the primary motive of any business is to increase revenue and profit, business work to attain continuous growth in terms of both revenue and profit. So, how does businesses plan to achieve the planned growth? One of the best strategy is to focus on attaining organic growth. Organic growth in business is referred to the process by which a company aims to achieve its target growth by increasing output and enhancing sales internally using its own resources, rather than going for merger and acquisitions.
Organic growth in a business is a situation in which a company attains increase in output/production, greater efficiency and speed with production, higher revenue, and improved cash flow.
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What is An Example of Organic Growth?
If the concept of organic growth in business is still not clear to you, here we can explain it to you with the help of an example.
“A company ABC Pvt. Ltd. Was established in the year 2000. By the year 2005, the company increased its revenue by 30%. Again, to improve the growth, the company applies strategies such as reducing cost of production, improving operational efficiency, aggressive marketing, etc. This helped the company to increase its revenue by 50% in the year 2008. However, due to huge competition in the market, the revenue of the company dropped by 25% in the year 2011. Then, the company opted for merger with company XYZ in the year 2012 in order to increase capital, sales and revenue. Here, the growth obtained by ABC Company from year 2000 to year 2012 is considered to be organic growth. This is because, the growth obtained by the company during this period was the result of its own internal; efforts and strategies.”
What is an Organic Growth Marketing?
As the term itself represents, organic growth marketing is the process of obtaining organic growth in business through marketing efforts and strategies. Studies have shown that business who have obtained good organic growth use a balanced approach to marketing, i.e., mixing digital marketing with traditional marketing. SEO is one of the most proven ways to attain organic growth and clients. You can contact various digital marketing agency in Nepal for SEO training in Nepal.
One of the best marketing strategies for organic growth marketing is market penetration. With market penetration strategy, businesses aim to increase sales of existing products or services on existing markets, and thus to increase your market share.
How do You Achieve Organic Growth?
Achieving organic growth is not as easy as it sounds. You’ll need to work on formulating a clear strategy to attain effective organic growth results. In order to achieve organic growth, following things need to be considered while formulating your marketing plan:
- Research your target customers
- Focus on target niche market
- Identify your product/service differentiator
- Use combination of traditional and digital marketing
- Make your expertise visible
How do I get Organic Clients?
Organic clients are the ones that have been acquired through internal processes, relying on its own resources. Here’s how businesses can generate organic clients.
Ways to Generate Organic Clients
- Networking, online and offline
- Social media
- Trade and association memberships
- Print Ads
- Event or Special Signage
- Public speaking
- Special events and many more.