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Diversify your customer base to increase sales

    Diversify your customer base to increase sales

    Understanding who your most valuable customers are helps focus your efforts to increase sales, but diversification is also important. Even if you have many customers, it’s risky if they are too similar and could be affected by a similar change in business or the market. For example, if your three largest customers are based in the US, an unfavourable change in the exchange rate could see them all drastically reduce their orders.

    There are many ways you can diversify and grow your customer base – for example:

    increase your market share by widening your customer base in your existing markets
    use information to understand your competitors and take advantage of any gaps in the market
    growth through product and service development
    growth through strategic partnering with other businesses
    grow through international trade

     

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