Tap Into Your Own Talent

The owner of a jewelry store frequently updated the gems she carried but was never able to dramatically increase her sales. She thought her clientele might buy a broader line of products, so she added religious statues to her store. But ultimately, her lack of familiarity with these items caused the strategy to fail.

On her second try at expansion, she decided to delve further into her core area of specialization. She bought jewelry designed and made by local artists. It paid off. Her current customers and her new artists spread the word about her updated business, and her store became a shopping destination.

Creating product extensions within your area of expertise expands your customer roster. Increase your chance of success by focusing on what you do best -- and do more of it.

1. Tap into the innate power behind what makes your business unique. Growing your business based on your inherent strengths allows you to discover dynamic expansion possibilities. Use your intuition, and ask your employees and colleagues for help on how to rework or redesign your core product to appeal to a broader market. For the jewelry store owner, it was her expertise in gems that allowed her to sell the stones in multiple ways.

3. Convert the benefits customers share into product features. Use the recommendations offered by your customers to construct new uses for your core product. Regularly reinventing your product with fresh benefits keeps your customers interested and excited. It was Arm & Hammer's customers who informed the company of alternative uses for its top-selling baking soda product. The company has now expanded its core product into numerous other uses, including cleansers, deodorizers and beauty products.

4. Gain loyalty by thanking people creatively. Thanking people for sharing their ideas deepens customer loyalty. It also increases word-of-mouth advertising for your business. A sandwich shop owner who was famous for his use of cheeses decided to name his weekly specials after customers who made distinctive recommendations. They brought their friends and families into his store to see their names and pictures up on his "Say Cheese" board.

Keep your network of customers and colleagues informed of your product enhancements. Your enthusiasm will encourage them to tell others about your business. And more important, it will inspire them to share even more product-transformation ideas with you.