ansoff igor matrix

I believe every business focus and entirely work with a motto called -Growth

what will you do as a business to grow ,well before answering this we need to understand what kind of business we deal in ,what sort of product we deal with and in what market we operate.well there might be different factors but most importantly mr ansoff talked about these two factors and they are product and market.

now looking at the diagram it will be be an easy way to understand what mr ansoff talked about.you can have two scenarios .one you are already operating in the market and other you are new to the market and talking as a product point of view which is you have already a product with which you are operating or you have a new product.so basically as a marketer or a company you need to think about two things -"market and product".

now looking at the above matrix say you have already a product and you are operating with that product in the market,so in that case what will you do to grow -the answer is- market penetration.It is nothing but to try to capture the market,it can be done in many ways say promotions,discounts and even by loyalty schemes.market penetration in simple terms talks about maintaining or grow market share of existing product in existing market and more precisely it wants to increase its sales.example can be telecom industry.

product devlopement- looking at the above matrix we can understand as it  talks about a new product in existing market.let us understand this with an example -say you wanna introduce solar car,now cars are already in the market and it is not now so market already exists for automobiles but solar cars are not in commercial use so this a new product hence this is a case of product development.in these case customers are not much aware of the product and they need to be informed about its benefits and all.

Market development- as we can see market development talks about existing product in new market.in this product exists but you enter to a new market

Diversification- this is the most complex situation in which even your product is new and market is also new.this situation requires heavy promotion,lot of customer engagement,making the customers aware about the products .etc

so these are the basic concepts of ansoff matrix ,i hope you have understood this very well. thanks