By Elizabeth Weaver Engel, CAE
The core of growth strategy, at least in the for-profit realm, is the product-market growth matrix developed by Igor Ansoff, the late distinguished professor of business and applied mathematics. Essentially, according to Ansoff’s matrix, you can increase customer share by getting existing customers to buy more products or new products, or you can increase market share by getting new customers to buy existing products or new products.
Associations that employ growth strategy, then, are putting into action a plan that they hope will increase market share or customer share (in this case, for members, vendors or other shareholders). It sounds pretty simple. However, many associations struggle with this formula. Here’s why:
Lack of Clarity. If you and your board are not clear about your real goals, you run the risk of picking a strategy that not only doesn’t achieve your goals but actively impedes the organization. For instance, associations always want more members, right? But associations tend to talk about membership growth when what they really mean is revenue growth.
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Category: Association Management