Business check point: Are you diversifying your offering, or diluting your company’s impact?

When the pandemic hit, business owners were diversifying and pivoting all over the world. The need to shore up your company was likely on the forefront of your mind. Understandable.

The problem? Sometimes the more offerings you provide, the more risk for brand dilution, which ends up weakening your business. Not only can your products be less impactful, but the cost or resources to provide them may not result in sustainable profit. 

Another problem? You can lose your customer’s trust and loyalty when you diversify your offerings, and your company’s reputation will be at stake. Brand dilution decreases the consumer’s idea of the value of your past products. 

Overall, you want to be very intentional and clear about what your company is known for offering. If you offer too much, you may become the expert – at nothing.

And you are an expert. That’s why you started your company in the first place. 

This doesn’t mean you should never diversify your business. I have, but very, very carefully. 

What’s the magic recipe? That’s for you to decide. You have to figure that out based on your data, but I can share what I did with you so you have some things to consider.

I caught so much heat for this:

First I’ll share a little story. A while back I wrote about diversity in the workplace, and I got some negative feedback. 

Look, I get it, we’re used to big business pandering to the flavor of the month. But if you know me, you know that’s not me. Kelsey (“The Prez”) and I have created a diverse company of different backgrounds, ages, genders, and cultures. We even have international interns who come work with us a couple times a year. 

What this means is that as a business owner, my vision is broadened. My blinders are off and the different perspectives from my team mean I can capture more of what readers and customers need. 

Why would I stay in my lane, with my same perspective, over, and over? Don’t you think I would be missing out on major opportunities to scale my business in a way that not only serves new customers, but creates far more profit and sustainability for all involved?

When you don’t diversify your team, you eliminate the potential perspective of your clients and customers. Hearing feedback and solutions different from what you consider offers a treasure trove of innovative ideas to strengthen your offerings.

If  you think it’s time to carefully diversify your offering, remember to diversify your team too. Of course, hire people who are best for the job. Also consider creating a team that is made up of different ages, genders and different cultural, communal, and religious backgrounds. You’ll gain a more holistic view of your business, and what the public needs from you. 

How do you determine what can be diversified? Data. Come on. You know that’d be my answer. Everything needs to be measured, to ensure you’re moving forward. Use the data from previous offers to determine future product development and launches – and encourage a more positive customer reaction and experience.

Serve your business community better. Consider different perspectives, narrow the ideas down, see what people need now, and give it to them. 

As always, thank you for allowing me to be on this journey with you. I am wishing you tremendous health and wealth.

-Mike