A business development strategy is a plan to grow your business in a new strategic direction. This is typically done to find new sources of revenue growth and/or manage competitive threats .
A strong business development strategy allows your business to create strong relationships with promising prospects and generate revenue.
By: Sean Peek, Contributor
How to Create a business development strategy ‘Biz Dev’ Strategy to Grow Your Business ?
Business development identifies ideal customers and partnerships, builds relationships with them, and then develops solutions that guide them towards sales. — Getty Images/FatCamera
If you ask 10 professionals what business development, or ‘biz dev,’ is, you’ll likely get 10 different answers.
To some, business development is just another term for sales. Many view it as the process of forming strategic partnerships. Others define it as a marketing tactic.
Business development expert Scott Pollack describes it best: “Business development is the creation of long-term value for an organization from customers, markets and relationships.”
This makes business development unique from other professional fields because the day-to-day tasks vary greatly by industry and by the specific needs of each organization. It is often the link between several different departments, such as marketing, branding and sales, and business development professionals collaborate with these teams to discover opportunities and develop relationships that ultimately have a positive impact on the organization.
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Sales vs. business development
It’s easy to view business development as a sales process, but they’re not quite the same job.
The main objective of sales is to close deals with customers to drive revenue and maintain a high profit margin. A salesperson works at the end of the sales funnel to close deals, ensure products or services are delivered, and create repeat customers.
Business development, on the other hand, looks for prospects, nurtures relationships and guides leads toward the sales funnel. It is the process of identifying ideal customers and partnerships, building relationships and developing solutions that can then be handed off to the sales team to close.
While they are two very different roles within an organization, sales and business development work in tandem to generate revenue and grow the business.
Why you need a business development strategy?
A strong business development strategy is the roadmap that instructs your team how to find and generate high-value leads to support your long-term goals.
Without a strategy, your team may struggle to find qualifying prospects or, at worst, spend months developing a relationship with prospects who don’t convert.