How To Master Your Start-up’s Growth Strategy?

This is the question on many lips at this week’s Think Forward Initiative (TFI) Growth Track Kick Off.
Posted on November 22, 2019

The Growth Track is a tailored, five month program designed to help start-ups scale fast. This week marks the official kick off of the program, with the first phase focused on how businesses can master their Growth Strategy.

Many companies have the ambition to grow and increase sales, impact and profit. However, the process of doing so is not an easy one. This is why TFI’s lead partner Deloitte, works with these start-ups to not only use their years of consulting experience to help them, but they also match each start-up with expert professionals from strategy, banking, legal, technology and innovation.

Joep Arends, the Accelerator Hub Lead expressed that for any business to succeed they need to consider the following 4 things:

1. Customer need & deep knowledge of the market

Start-ups that are about to scale, often have a good understanding of customer characteristics and their needs. The next step is to also get a solid understanding of the market dynamics. Here are some things to consider:

  • how profitable is the space your start-up is operating in?
  • What resources and costs do you need to outlay in order to become profitable?
  • What is it going to take for you to succeed in the long run?
  • What is your best positions in the ‘value chain’?

2. Competitive advantage

When you are successful, competition will rise. Incumbents might try to copy you, other new entrants might enter the market. It is important to create a positioning strategy that is defendable and part of that is understanding how you compete with others. Is it in the end leading to a cost competition or is it about differentiation? Both can be successful, but you have to organise your start-up accordingly.

3. Scalability

Now that you have a working and successful start-up, it is now time to think about how you can scale it. In the first phase of the Growth Track we talk about growth strategy, but there is much more that start-ups need to consider. In the following phases of the Growth Track we help our start-ups with the following:

  • Driving sales
  • technology scalability
  • organisational scalability
  • how to incorporate consumer behavior insights in to their solution to boost conversion and retention rates.

4. Test & Learn

In the first phase of the life-cycle of a new start-up there are many unknowns. Therefore testing is crucial. When scaling, it becomes a combination of thinking/analyzing, testing and validating. Market economics tend to be more rational than user behaviour, therefore logical structuring and ‘doing the math’s’ becomes your key to success.

The Growth Track is an extremely impactful program, by helping start-ups focused on financial health, scale faster, TFI is able to make an impact with a larger number of consumers across Europe. Stay tuned for next months update from the Growth Track, all focused on technology and legal challenges.

To read about the 2019 start-ups click here.