Having your finger on the pulse is the best way for you to make sure that you give your business the highest chance of success. Take a look below to find some examples of successful companies that have diversified in the past.
Apple
Apple is one of the most famous companies in the world. They launched the Macintosh PC in 1984 and around the mid-1990s, they faced fierce competition from Microsoft. Nearing bankruptcy, they launched the iPod, along with iTunes. This led to the creation of the iPhone, which in 2007, saved the company.
The adoption of the iPhone led to a sharp surge in mobile gamers too. This had a knock-on effect on other companies, especially those that operated in the casino sector. By making it possible to play Adventures Beyond Wonderland online, and other related games, casino companies could also diversify, capitalizing on the steam of mobile gaming while offering game formats and themes that weren’t available in traditional casinos. This, combined with the ability to make online deposits and withdrawals, helped the entire sector to pivot. Now there are thousands of live games to choose from, showing that the diversification of one industry can easily pave the way for the diversification of another. This is an interesting concept, as it shows that as a business, you need to be aware of not just what’s happening within your sector, but what’s happening in others too.
Amazon
Another success story would be Amazon. They are one of the biggest companies in the world and make billions in profit every single year. Originally though, they were a seller of online books. Books were easy to find and they could be distributed with ease too. In 1998, they began to sell games and before too long, they expanded into other products. They began to sell everything from consumer electronics to hardware, software, and even toys. It was their goal from day one to diversify, and ever since then they have become an eCommerce giant that has several on-demand cloud computing systems. By creating Alexa and the Echo Smart Speaker, they began to capitalize on their success even more, before entering the digital music sector with Amazon Music. Now you have Amazon Air, Amazon’s airline.
Although not many companies would be able to replicate Amazon’s success through diversification, it does give a very important message; in a competitive market, you do need to be mindful of pressing trends, and sometimes it’s better to act, rather than react to changing conditions.
So diversification in business is imperative. If you give no thought whatsoever to current trends or the threats that your company faces, then this will make it harder for you to be successful. It will also make it very difficult for you to make a profit in the years to come. By taking note of what the above companies have done, and how they have been able to pivot in crowded markets, it becomes easier for you to apply that logic to your own company so you can not only grow but thrive.
