The bank account doesn’t say $0.00.
For the first time since starting your business, you have money flowing into the company account! For any startup, this is a great milestone. However, founders often struggle to grow their venture from this crucial first step. The drive to monetize as quickly as possible can lead many to lose focus on what is important to help the product mature. To avoid this pitfall, let’s look at a few things that can be done to drive your venture forward strategically!
1. Listen to your First Customers!
As your customer base starts to grow, it will be vital to gather feedback from your early users. Input on the first iteration of your product could play a key role in the direction it will take in the future. Take the time to personally interact with your customers and see how they engage with your product. This is a great opportunity to smooth out any issues while showing your appreciation for their patronage. Although this can be a bit time consuming, it is essential in understanding exactly what your users want and how you can provide it. The insights gained in this early stage will be invaluable as you continue to build on your Minimum Viable Product (MVP)!
2. Metrics, Metrics, Metrics
As your product continues to sell, it is imperative to track performance in different areas of the business. These key performance indicators (KPIs) will allow you to track customer acquisition costs, how many people are using your product, who is using your product, and how many continue to use it. The last metric in that list might be the most crucial, as customer retention is vital to growth. It is more expensive to acquire a new customer than to retain a current one!
3. Add Fuel to the Fire
Once you know what your customers are looking for, and who they are, it is time to start getting your product in front of them. Creating a marketing campaign and executing is the next step in growing your customer base. As you test various strategies, make sure you are tracking the cost and effectiveness of each method you choose. Impressions, reach, clicks, and cost per click will help you determine how successful each ad is at reaching your target consumers. Once you have good traction using a certain advertisement, really lean into that and replicate it to capitalize and expand!
As you continue to grow, these concepts will become more and more important. Although this list is helpful, it is not exhaustive. If you ever have questions or need clarification on how to continue building and expanding your startup, Argent Strategies is always here to help you get there!
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