Once you’ve indulged your entrepreneurial spirit and set up your own successful hospitality venture, it’s highly likely that in order to grow profit margins, you’re going to need to expand said business. Here is a comprehensive guide to expanding your hospitality venture.
It’s a basic business principle; those who stay static stagnate, and those who stagnate fall behind, as they lose relevance in the lives of consumers. Expansion ensures that not only does your hospitality venture stay relevant to your current customer base, it widens said base.
Expansion is such an open question, that it can be difficult to know where to start. There are so many options. That is why when you are ready to expand your entrepreneurial venture, you should employ these techniques to help you along the way…
Conduct Market Research
This is a vital artery of any business, as it specifies who your target market is, what they wish to see from your industry and how to market your business to them. It’s the same with expansion. Where are the gaps in the market that you could fill?
Listen To Your Customers
Social media is the modern entrepreneur’s best friend and you should embrace it as a key element of your market research. Get online and talk to your consumer base directly. There’s no substitute for direct communication in business.
Conduct an Adword’s Experiment
Adwords is a Google tool that allows you to find out what keywords are trending for your industry; what people are searching for. Conduct an adwords experiment; it has a very minimal cost, to find out what people are interested in and how you might expand. Do a similar thing for the dropdown on Google for your search term.
Set up a portion of your day and dedicate it to new business. Scour the internet and observe what trends are currently running through your industry, what business opportunities may present themselves. Expansion is only possible if there is an opportunity to sustain it in the long term and this opportunity comes through securing new business.
Observe the Market
An essential element of expanding your business is keeping the financial markets in mind. What area of your industry is doing well at the moment? Which prices are high and which are low. Is there evidence of a bubble in your industry that looks set to burst? Expansion must be based on practicality and market prices are the ultimate benchmark of where practical expansion opportunities exist.