Recent Project and Job Topics > Marketing
Business Development
Business development can mean different things in different organizations, and a business development job can have a variety of responsibilities. In general, however, business development refers to the function responsible for growing a business, either by expanding into new markets, or by attracting new clients. Some business development jobs have more in common with sales, and some involve more analysis and strategy, while others focus on client services and partnership management. What these roles have in common is the search for new business opportunities, and the planning and execution to turn those opportunities into reality.
Business development jobs that contain a large sales component tend to be found in business-to-business organizations, and tend to either work closely with or even be part of the sales team. This type of business development role is responsible for analysing the market to identify potential clients, performing a sales pipeline analysis, and sometimes engaging in direct sales to contact those clients and close deals. This business development role is suited for someone with sales experience, as well as a broader understanding of the industry. The business development professional will need to have a good grasp of the client needs and competitor offerings in the field in order to shortlist potential clients, as well as an understanding of the sales process to assign a probability of closing to each deal.
Partnership-oriented business development roles focus less on direct sales and more on finding opportunities for collaboration with other companies. For instance, two software firms may enter into a partnership to sell their software as a bundle, resulting in increased sales for both products. This type of business development job requires an understanding of the industry, not just clients and competitors but also suppliers and service providers. Once potential partners are identified, the business development professional will outline the partnership structure, and then make contact with the potential partner to realize the partnership deal. Negotiation skills are key to a partnership-focused business development job. This role might also evolve from a sales position, or possibly be a promotion for someone with client services experience.
More strategic business development roles are usually concerned with expanding market share or entering new markets, either via geographical expansion or by launching new products. In addition to an understanding of their industries, these business development professionals need to be able to conduct a business case analysis [LINK TO ARTICLE] to analyze the viability of each proposed activity. Other business skills, such as a knowledge of Mergers & Acquisitions [LINK TO ARTICLE] may be necessary for expansion into new markets. These roles are frequently at a higher level, and require an MBA or experience in management consulting [LINK TO ARTICLE], due to the need for a considerable knowledge of business strategy. Marketing professionals are frequently promoted into this type of business development job, often after completing more advanced business education.
Finally, a business development job may be performed on a consulting or freelance basis. A business development consultant will work with a company to identify opportunities for growth, whether they might be new clients, new partnerships, new markets or new products. After performing a business case analysis to ensure the opportunity will provide a good return on investment, a consultant can help their client take advantage of the opportunity. For a sales or partnership opportunity, the business development consultant might create materials in the forms of brochures, proposals, or other sales collateral, then make contact with potential clients or partners and try to structure a deal. When the opportunity is a new product, a business development consultant may perform a market analysis and provide recommendations on features needed to reach a specific market segment. For expansion into new markets, business development consultants might explore and analyse joint venture [LINK TO ARTICLE] or M & A [LINK TO ARTICLE] opportunities.
There are many activities that may be involved in a business development job, and different types of roles exist to suit multiple backgrounds, including sales, marketing, and client services. However, one thing business development jobs have in common is an understanding of strategy, and a good nose for business opportunities.
