Adam J Clarke Macropay Founder and CEO shares on the basics of business development. He used these same business techniques to grow his fintech startup Macropay into a multi-million-euro enterprise.
To start, Adam J Clarke defines business development as any activity, initiative, or idea that improves a business. Business improvement leads to a growth in revenue, market share, strategic partnerships, and other opportunities. To be effective, business development must include SMART goals that encompass all business lines and services including accounting, finance, product development and manufacturing. Each business function has a specific role to play in ensuring business development success.
Team Roles in Business Development
The sales team must focus on market research and targeting key clients based on set sales targets and strategies. The marketing team works in collaboration with the sales team to create marketing and advertising campaigns that focus on their targets. This is especially helpful in accelerating market penetration and lead generation.
The next essential departments are the legal and finance. These teams can help identify and weigh the pros and cons of entering strategic partnerships depending on the geography and the needs of the target audience.
For instance, Macropay offers access to certain local payment methods. By onboarding an already popular payment method, businesses can expand and enter new markets with more ease. This gives businesses the leg up in certain jurisdictions when they work with Macropay.
Plan for Success
Another area of consideration before implementing a business development strategy is the logistical implications. Will business growth require team capability expansion or the hiring of additional staff? Does your product need to be modified to suit the target market or to solve a specific issue? This may entail simple adjustment to packing or labelling or it may require adjustments to meet local regulations. Either way, the business development team must conduct adequate research to effectively answer these questions. The preparation must factor in the cost and time implications to attain the desired goal.
Optimise Business Expenditure and Processes
Apart from increasing sales, products and market share, business development also looks at cost cutting measures. A complete business audit might reveal cost areas that are high, and where costs can be reduced by employing alternative strategies. Businesses can also decentralize certain operations or outsource them altogether to reduce costs.
Further, Adam Clarke believes that effective business development requires the use of tools that reveal the current state of the business. Conducting periodical exercises such as SWOT analysis will enable the business to adequately position itself. Some seasons may require a focus on protecting areas of weakness, while other seasons may require aggressive expansion to take advantage of opportunities.
A successful business executive needs to be aware of potential market upturns. In addition to understanding external factors, determining the primary sources of business revenue and the business bottom line is essential. Such as, attributing a rise in profit to increased sales revenue instead of a reduction in business spending.