Reilly Newman | Businesses are constantly searching for the next big thing to fuel their growth, whether it’s a workshop, strategy, conference, or new offering. However, these solutions often seem just out of reach or don’t provide the expected results.
When it comes to increasing revenue and expanding the customer base, growth is a lagging metric—it shows the results of actions already taken. Like Honda uses the number of test drives as a leading indicator of sales, businesses need to identify their own leading indicators to achieve growth.
Growth must be clearly defined: is it higher revenue, more customers, increased profitability, or greater value per transaction? Once defined, businesses can focus on the leading indicators that will drive this growth. The key question is: how specifically do you want to grow?
Many businesses focus on the end goal of growth without understanding the specific actions needed to get there. One powerful lever is brand. While the perception of your brand is a lagging result, the efforts to build that perception are leading indicators. Let me explain…
Leading Indicators of Brand
Businesses have control over the signals they send through their brand. The customer experience, the language used, and the images shown are all within a company’s control. From marketing materials to the logo, every element can be deliberately designed to create a positive first impression. These signals are initial actions that lead to the desired perception over time.
Growth Begets Growth
When I talk about signals of growth, I don’t mean “fake it till you make it.” Instead, it’s about authentically presenting your business in the best light possible, including your aspirations. This isn’t about overpromising or deceiving (as seen with FTX, Theranos, WeWork, etc.). It’s about being honest and true to your vision.
Just like on a first date, where you highlight your best qualities and future goals, businesses should do the same. Signaling stability and confidence makes your business more appealing and trustworthy. So, how can a business effectively signal growth?
How Businesses Can Signal Growth
A well-branded business with professional-looking materials signals legitimacy and maturity. Good branding can significantly enhance the perception of your business. On the other hand, poor branding can immediately signal neglect and untrustworthiness, making potential customers less likely to engage.
When your business looks trustworthy and established, it encourages more engagement. Effective brand signaling through your logo, website, marketing materials, and more can demonstrate your business’s growth and stability. This, in turn, can attract more customers and opportunities, reinforcing the idea that growth begets growth.
Rather than relying solely on external solutions like conferences or workshops, focus on creating better opportunities through effective brand signaling. This approach not only provides immediate benefits but also compounds over time, continuously contributing to your business’s growth. Remember, deliberate efforts to enhance your brand can lead to sustained success.
