Why Middle Market Companies Flourish
Mid-sized companies, with annual revenue of about $50m to $499m are categorically optimistic. “Inspired for Growth: Lessons from Middle Market Companies,” a new study by Forbes Insights found that these organizations are often doing better than small or Enterprise level businesses.
Executives at middle market companies are optimistic about the health and future of their companies. And with good reason: over the past two years, 61% experienced revenue growth, while a further 15% held steady. And three-quarters say their companies are poised for continued growth – more than four in 10 predict they will grow by 6% or more over the next two years.
The study indicates that the size of the company matters. These mid-sized companies have deeper pockets than say a mom and pop store or a small local operation. They are also more nimble than larger enterprises.
These companies, according to Forbes, are doing 3 things correctly in order to thrive.
Reinventing their company, product or brand
This is not lip service, mid market companies are thriving because of their proactive strategies. About 35% of these companies were focusing their resources on changing or evolving their business model. And 35% also said they were focusing on developing entirely new products and services.
Focus on Giving Customers the Right Experience
Customers know when you are truly offering the best service. Anyone can mention excellent customer service, but following through is another story. Sixty percent of executives at mid-size companies see improving the customer experience as the most important priority.
Place People in their Best Roles
The entrepreneurial drive that pulses through small businesses can be lost when a company grows. Mid-sized businesses maintain the right people culturally who are able to adapt and learn. “You can teach certain job skills,” said CEO of NIC Inc., Harry Herington in the report. “But you can’t train someone to have passion and be energetic.” Great employees are empowered to make their own decisions and want to see that their contributions matter.
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