Growth is necessary for any business to thrive and survive. One needs to develop ideas for growth, adapt to current market structures, and take certain risks to experience growth and stay relevant.
In the recent past, the tape industry experienced exponential growth worldwide, and it is still expected to continue to grow at a CAGR of about 4.5% over the next five years.
The industry is a potential goldmine, and any intelligent investment or venture into the field may bear considerable amounts of profit over time.
A tape company can envision growth through developing a clear strategy, setting goals, and breaking down long-term plans into shorter foreseeable ones. Also, the company can employ different techniques that aid in growth.
Choose on where to specialize
The tape industry is vast. If you desire to grow a business in this niche, you need to determine where to place your attention.
First, tapes can be distinguished by the cover, for instance:
- Non-adhesive tapes
- Single-sided adhesive tapes
- Double-sided adhesive tapes
- Transfer tapes
It is also worth noting that tapes vary in application from packing, to electrical, to automotive.
A tape business determined to grow will specialize in meeting specific market demands.
Specialization allows the enterprise to conquer a niche market, which in turn creates stability for further growth. You may choose to diversify afterward.
Conduct market research
Of the different tape applications, which one carries the largest market share? The firm should have answers to this question.
If the market demand for packing tape is higher than that for electrical tape, then the business can choose what to produce in bulk and what to produce in less quantity.
The company can also choose to expand their market after conducting market research. Identifying a new market is a process that requires time and patience.
Is there room experimenting?
Innovation and research are on the rise. Engineers are seeking newer ways to strengthen adhesive tapes for longevity purposes.
A tape business will aggressively research ways to improve their product. Has duct tape advanced over the years? Will adhesives and tapes overtake screws and fasteners?
Nowadays, companies are looking to replace fasteners with adhesives and tapes. The stronger the product, the higher the demand, which makes research and experimentation are the way to go.
Diversification
A budding tape business can choose to specialize in a specific market need. However, as you experience growth, you should set in motion plans to diversify.
The tape firm should tap into the needs of different consumers through the production of a variety of tapes for various applications. Remember that the market is large and still growing.
Advertising
For any business to grow, advertising is critical. Through advertising, you trigger market needs and preferences. Advert campaigns are sure ways of boosting sales and widening the market.
A tape firm builds its reputation and goodwill through advertising. The company can create a perception in the consumer’s mind regarding their product.
In advertising, the company could partner with other companies that use their product, for
instance, an automobile garage. The firm supplies the garage with its product, which in turn, ventures into the market through the clients.
You can also reach the younger generation through social media; hence, you can conduct an intense internet campaign to sell their product.
What about playing safe?
Risk characterizes entrepreneurship. At times the gamble pays off, but at times it may not. In some situations, playing safe is a smart move to a tape business.
To grow a business in this industry through playing safe, you need to:
- Buy a tape business instead of starting your own
- Review the competition before venturing.
- Seek counsel from those already in the business
- Consider franchising options.
- Consider the market niche.
Taking a lesser risk enables the business to learn as they grow without having to make rash decisions and overstretch their capabilities.
Develop a resource center
How reachable is your company? Where does the potential market go for more information? Are there online places to give feedback or raise complaints?
An enterprise that is easy to reach and approach will quickly develop a loyal market for their products.
Conclusion
There are significant and well-established players in the tape industry. A growing tape business may stay in their shadow but still punch above their weight in terms of returns.
Gradual growth needs patience as the company learns the market needs and how to meet them.
