I know this might seem like a strange one especially if you have no idea who Igor Ansoff is. Let me explain more. I am lucky enough to be doing a job I love and getting paid for it. What is even better is I get asked to train people on marketing and sales. A couple of weeks ago I was running two days’ training on marketing aligned to business growth. We also had a lecture where the speaker shared the top two marketing tools that had come out of a recent high level event!
One was the S.W.O.T analysis tool and the other was the Ansoff matrix, created by said Igor Ansoff, a Russian Mathematician now living in the US. “So what?” you might ask. Well, paying attention to this might just make you a lot of money in the next few years.
Let me explain Ansoff for a moment and how it relates to your recruitment marketing and planning moving forward. This is based on fact, by the way, and as I give you some examples the penny, I know, will drop.
Ansoff is a diversification marketing strategy, one that many recruiters understand. “Do I stay in Pharma recruitment or do I add on Medical devices? Mind you I have always wondered about finance.”
Hold your hand up if you have ever been torn between which sector or niche to pick? Thought so. It is not uncommon by the way, especially for business owners. Here is what the model looks like:
The more you move to diversification the more risk there is. For most recruitment business owners the money and profit is on the left hand side. The questions to ask are:
1. Have we done all we can in this market niche or segment? Is there business there that we could get more of if we put our minds, resources and marketing behind it?
2. Has our current market seen its day? Does what we offer translate to another sector where we can make an impact?
You need to crunch your numbers and combine it with your own S.W.O.T. What are your strengths and weaknesses as a team? What opportunities are there in the market? Is it growing now and will it continue to grow? Do you have the expertise and knowledge to enter a new sector? If you did, what would need to be in place? Are the sectors similar in nature and a natural fit e.g. sales and marketing, finance and accounting?
All these are great questions and there is one that you need to pay close attention to. That is number one, have you actually done all you can in your current sector. The answer is usually no!