Aidi's — Compound Growth
Over the last few weeks, I have been speaking with some of my colleagues in the bay area (Silicon Valley) and learning a couple of growth strategies from them, and one common thing I hear is, “if you are not growing at least a minimum of 10%–25% Week-on-Week then check, you probably are doing something wrong.”
Let’s face it!
If last week you made $1000 and next week you grew your revenue by 10% ($1,1000) then by the end of the month you would have made above $4000 in revenue.
Although this is small, however, this compound growth would overtime push you towards hitting higher margins and perhaps force you to increase your growth margins when you see progress in your numbers (see calculation below);
10% W-o-W Growth Looks Like This
Week 1 — $1000 ==> Week 2 — $1,100 ==> Week 3 — $1,210 ==> Week 4 — $1,331==> End of the month — $4,641
Achieving this type of consistent growth involves doing many things, but two of which is talking to customers and following them up close to get a positive response with the aim,
of providing a clear solution to specific business challenges they face and providing support throughout their lifecycle of using your solution
Unfortunately, most startup founders i have spoken to (including me in the past) have failed to do this, rather they do the very opposite.
Book of the month;
I feel this book would teach you tips on achieving good traction for your business — click here to get Traction.
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NB: To get more thoughts on growth from me. Visit my blog on medium @gbolademmanuel or follow me on twitter @gbolademmanuel