Market penetration is one of the four main business growth strategies. It involves focusing on selling your existing products or services into your existing markets, with the aim of increasing your market share. Most businesses will at some point consider this strategy since, according to the Ansoff matrix , it carries the lowest amount of risk. It can be especially helpful in the early stages of starting up. To devise a good market penetration strategy, you must have a successful product and a detailed knowledge of your market. You must also thoroughly understand your competitors.
5 Key Strategies for Your Financial Product Marketing
Penetration strategy is the concept of taking aggressive action to greatly expand one's share of total sales in a market. The resulting increased sales volume typically allows a business to produce goods or obtain merchandise at lower cost , thereby allowing it to generate a higher profit percentage. Also, as the organization acquires more market share , this reduces the sales of its competitors, possibly forcing some to drop out of the market. There are a number of ways in which a business can engage in penetration strategy.
Financial product marketing refers to a set of marketing solutions that cater to the needs of financial services companies. Highly effective financial product marketing uses digital channels to promote new financial products and increase brand awareness. Fortunately, financial services companies are slowly becoming aware of the unlimited potential of digital channels in marketing their new financial products.
If your SaaS startup is looking for low-risk business growth strategies, creating a market penetration strategy should be one of the first things you think about. Depending on where you look, the market penetration definition could be misleading, as there are two different meanings. As shown below, market penetration can be defined as either a measurement or an activity. In this article, we will review both market penetration definitions and how they relate to SaaS.