Organic growth is essential for any business that wants to scale and be successful over the long term. But what exactly is organic growth, and how can businesses achieve it?
Our business growth experts are here to help. We’ve put together a comprehensive guide that covers everything you need to know about organic growth for your business, from the key organic growth strategies to organic business growth examples that you can take inspiration from when developing your own organic growth plan.
We’ll answer all your questions about organic business growth and by the end of this guide, you’ll have a clear understanding of what organic growth is and how you can achieve it for your business.
What is Organic Growth in Business?
Organic growth is the increase in a company’s sales or revenue without any external factors such as mergers, acquisitions, or investments. In order for organic growth to occur, businesses need to focus on activities that will generate more sales from their existing customer base and/or create new marketing efforts to attract new customers.
Organic vs Inorganic Growth
Organic and inorganic are the two primary types of growth for a business. Organic growth, or internal business growth, is when a company grows from within. This can be in the form of increasing sales to existing customers or expanding into new markets with new products or services.
Inorganic growth, or external growth, is when a company acquires another company or merges with another company. This type of growth is often used as a way to quickly enter new markets or expand the customer base.
There are pros and cons to both organic and inorganic growth. Inorganic growth can be a quick way to achieve growth but it can also be risky and expensive. Organic growth is typically slower but it is often more sustainable in the long term.
What is an Example of Organic Growth in a Business?
One example of organic growth in a business is by improving the organic search engine optimization (SEO) for your website. This will help to improve the visibility of your website in search engine results pages (SERPs), which will, in turn, lead to more traffic and potential customers.
Other organic growth examples include developing new products or services, expanding into new markets, and increasing marketing efforts, which we will take a look at in more depth throughout the rest of the guide.
How Do You Measure Organic Growth?
Success in organic business growth can be measured in a number of ways, but some of the most common indicators of organic growth success often include key business value drivers, such as revenue growth, increased market share, organic sales growth, and organic traffic growth. These are key performance metrics that you can use to track and measure organic growth achieved.
Revenue growth is one of the most common organic growth metrics because it encompasses all other types of growth. If a company is seeing an increase in revenue, this means that they are likely seeing an increase in sales, market share, organic traffic, etc. In many business models, organic growth is the primary driver of revenue growth.
Increased Market Share
Increased market share is another common organic growth metric. This is a measure of how much of the market your company has captured. If you are able to increase your market share, this means that you are taking business away from your competitors to create organic growth within your own company. An increased market share is usually indicative of a successful organic growth strategy.
Organic Sales Growth
Organic sales growth is a measure of how much organic growth your company is seeing in its sales. This can be measured in a number of ways, but the most common way to measure organic sales growth is by looking at your year-on-year (YoY) and month-on-month (MoM) organic sales growth.
Organic Traffic Growth
Monitoring organic traffic growth is important for organic growth businesses because it can give you an indication of how well your marketing efforts are performing. If you are seeing an increase in organic traffic, this means that more people are finding your website through organic search results. This can also be measured by looking at year-on-year (YoY) and month-on-month (MoM) data — a digital marketing agency can help with this.
3 Key Ways To Drive Organic Business Growth
To drive your organic growth, you can do a number of things as a business owner or team leader. Here are 3 key ways you can aid your organic growth:
- Focus on Your Core Competencies
- Build a High-Performing Team
- Create a Robust Marketing Strategy
Focusing on your core competencies is one of the most important things you can do to drive organic growth for your business. What are your core competencies? They are the unique skills and abilities that your company has that give you a competitive advantage in your industry. By doing so, you will be able to provide a better product or service than your competitors, which will help you to win new customers and grow your business.
In addition to focusing on your core competencies, it is also important to build a high-performing team. A high-performing team is essential for any business that wants to scale and be successful. You should ensure that your team understands the growth mindset definition, which is the belief that a person’s most basic abilities can be developed through dedication, hard work and practice.
Your team should be able to work together efficiently and effectively to achieve common goals. Furthermore, each member of your team should be skilled in their respective field and be able to contribute to the growth of the company.
Finally, you need to create a robust organic growth strategy. This means having a plan in place for how you are going to achieve organic growth for your business.
There are multiple strategies companies can use to help with this, but your organic growth strategy should always be specific, measurable, achievable, relevant, and time-bound (SMART). Creating a SMART organic growth strategy will help to ensure that your organic growth efforts are successful.
What is an Organic Growth Strategy?
An organic growth strategy is a plan that businesses use to achieve organic growth. This type of strategy focuses on activities that will generate more sales from existing customers and/or create new marketing efforts to attract new customers.
An organic growth strategy can be hugely beneficial to businesses looking to improve their organic or internal growth, as it provides a clear plan of action to follow, helping to focus and direct growth efforts.
What are the Different Types of Organic Growth Strategies?
There is no one-size-fits-all organic growth strategy that will work for every business. However, there are many proven strategies that businesses can use to support organic growth, some of the most common including developing new products or services, expanding into new markets, and increasing marketing efforts.
These types of business growth strategies can hugely benefit businesses that are committed to driving growth organically. However, it’s important to remember that each business is different, and what works for one company might not work for another. As such, it’s important to tailor your organic growth strategy to fit your specific business goals and objectives.
One strategy to increase organic growth in your business is to develop new products or services. This can be a great way to retarget existing clients, attract new customers or generate more sales from existing customers. By diversifying your range of services, you can also reduce your reliance on any one particular product or service, making your business more resilient to changes in the market.
If you are developing a new product, it is important to make sure that it is something that your target market will actually want to buy. You should also make sure that your product is differentiated from your competitors’ products and services by ensuring in-depth competitor research.
Another way to fuel organic growth is to expand into new markets. This can be a great way to reach new customers and grow your business. By targeting new market segments, successful companies pursue new clients, widening the scope of their sales efforts to drive growth opportunities.
When expanding into new markets, it is important to make sure that you are doing your research. You should have a good understanding of the new market that you are entering and know what your target market is. You should also be aware of any regulations that might affect your business in the new market.
Increasing Marketing Efforts
A third organic growth strategy that businesses can use is to increase their existing high growth activities such as digital marketing efforts. This can be a great way to generate more leads and sales, as well as build your brand and authority in your field.
There are a number of different marketing activities that businesses can use to increase their marketing efforts, but some of the most common include content marketing, search engine optimization (SEO), and social media marketing.
How Can You Implement an Organic Growth Strategy?
If you are looking to implement an organic growth strategy, there are a number of things that you need to do.
First, you need to identify your goals. What is it that you want to achieve with your organic growth strategy? Once you have identified your goals, you need to develop a plan of action. This should include what activities you are going to do and when you are going to do them.
Once you have developed your plan, you need to implement it effectively. This means putting your plan into action and making sure that you are doing everything that you said you would do.
Finally, you need to monitor your progress and make sure that your organic growth strategy is working. This means tracking your organic traffic and sales growth and making changes to your strategy if necessary. It can be especially useful to work with a business growth coach, consultant or specialist to help you with this.
Organic Growth Business Examples You Can Use To Grow
There are a number of businesses that have used organic growth strategies to grow their businesses. Some of the most successful organic growth business examples include:
- Amazon is a company that has focused on product development and market expansion. They have developed a number of new products and services, such as Amazon Prime, that have helped to attract new customers and generate more global sales.
- Google is another company that has used organic growth strategies (amongst other growth strategies) to grow its business. They have focused on product development, creating a suite of products that are used by billions of people around the world. They have also expanded into new markets, such as the mobile market, which has helped them to attract new customers and generate more sales.
- Facebook is another organic growth business example. They have diversified their marketing strategies and expanded into new markets. By doing this, they have been able to attract a large number of new users and grow their business significantly.
If you are looking to reach a larger audience and grow your business, then you could use a similar organic growth strategy to Facebook, utilising organic growth methods such as product development and market expansion.
If your business sells products or services online, then you could take inspiration from Google or Amazon to diversify your services, reach new markets, and increase your sales.
Get Expert Support With the Fundamentals of Business Growth at Growth Idea
As business growth experts, we can provide you with all the support that you need to ensure that your organic growth strategy is a success. We can help you with things like developing your plan, implementing your strategy, and monitoring your progress. We can also offer advice on which organic growth business strategies are most likely to be successful for your business.