14 Tips To Develop A Diverse Client Base That Will Grow Your Business

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14 Tips To Develop A Diverse Client Base That Will Grow Your Business

By Forbes Business Development Council Expert Panel | Forbes Magazine | July 2, 2023

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Once a company is up and running successfully, and is ready to scale, one strategy to keep the business relevant in the current marketplace or boost sales is to find ways to expand and diversify the client base.

Networking with brand champions or highlighting the success stories of current customers are good places to start building on the next chapter of your business plan. 14 experts from Forbes Business Development Council provide business leaders with additional examples of how to diversify their clientele, and why these are some of the best ways to keep a business growing.

1. Be Empathetic And Innovative.  To effectively broaden and diversify your client base, use empathy and innovation. This means understanding clients’ needs and offering them tailored solutions to address their problems. Also, remember that less is more—prioritize quality over quantity when targeting new clients. 
2. License Your Brand.  Brand licensing is a great way to diversify a client base. Licensing allows brands to move to new, adjacent product categories and services. Therefore, company brands can capitalize on existing customers and move them into new revenue opportunities, while at the same time leveraging brand familiarity to gain new, additional customers.
3. Hire A Diverse Team With Different Perspectives.  In management consulting, clients often request a diverse team who also represent the diverse world around them, steering clear of the cookie-cutter format that may have served you well 20 years ago. 
4. Be Open To Learning About Other Industries.  The best way to diversify your client base is through strategic partnerships and networking in varied industries. It exposes your business to new markets and audiences, leveraging partners’ credibility and customer bases. By aligning with companies in different sectors, you can cross-promote services and tap into previously inaccessible customer segments, enhancing market reach and resilience. 
5. Engage Directly With Customers To Understand Their Needs.  Provide comprehensive solutions that boost productivity and efficiency by deeply understanding and addressing market demands. Engaging directly with customers, collecting feedback and monitoring industry trends allows us to create effective solutions that meet genuine needs and drive growth.
6. Develop Services And Products That Are Relatable.  Building services or products for a varied customer base is the key to attracting a diverse set of clients. Your product and services need to stay relevant to multiple industries or functions from a positioning perspective.
7. Create A Comprehensive Referral Program.  Diversify your client base by building a comprehensive referral program with your customer success teams and tapping into new segments. 
8. Bridge New And Existing Customers Through Their Similarities.  Diversification can occur in several dimensions—geography, industry and scope. To be effective at ensuring diversification is to find a “critical mass” of similarities and orthogonality between new and existing customers.
9. Seek Out Clients With Diverse Portfolios.  The real work starts when you need to provide them with a compelling reason why there are synergies between you and them. From there, you can build an alignment strategy and model that will target the core values of diversity and uniqueness.
10. Retain A Mix Of Small- And Large-Revenue Clients.  Expanding and diversifying your client base by targeting a mix of small- and large-revenue clients reduces dependency on a few key accounts, enhancing financial stability. This approach mitigates risks, as losing one small client won’t significantly impact overall revenue, ensuring a more resilient and sustainable business model. It’s a strategic way to protect and gradually increase revenue streams.
11. Highlight The Success Stories Of Your Current Clients.  Leverage your existing client base as an asset to expand and diversify your client base. Sharing success stories and results of how your current clients have achieved measurable outcomes and business results from doing business with you can go a long way to establishing your credibility. 
12. Host Industry Events As An Expert In Your Field
13. Network With Brand Champions Who Support Your Cause
14. Strategize A Robust Digital Marketing Plan

3 key takeaways from the article

1. Once a company is up and running successfully, and is ready to scale, one strategy to keep the business relevant in the current marketplace or boost sales is to find ways to expand and diversify the client base.
2. Networking with brand champions or highlighting the success stories of current customers are good places to start building on the next chapter of your business plan. 
3. 14 experts from Forbes Business Development Council provide business leaders with additional examples of how to diversify their clientele, and why these are some of the best ways to keep a business growing.  Be Empathetic And Innovative.  License Your Brand.  Hire A Diverse Team With Different Perspectives.  Be Open To Learning About Other Industries.  Engage Directly With Customers To Understand Their Needs.  Develop Services And Products That Are Relatable. Create A Comprehensive Referral Program. Bridge New And Existing Customers Through Their Similarities.  Seek Out Clients With Diverse Portfolios. Retain A Mix Of Small- And Large-Revenue Clients. Highlight The Success Stories Of Your Current Clients. And Strategize A Robust Digital Marketing Plan.

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Topics:  Entrepreneurship, Diversification, Business Growth