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Thursday, July 12, 2018

6 Ways to Identify Business Opportunities in Nigeria

Before getting into the details of this article, I would like to apologise to my regular blog visitors – those who check weekly or bi-weekly for updates on my blog. I have been busy with work and business that I haven’t had the time to write lately. But I am glad to share this post with you and without further delay, let’s jump into the main course and munch away.

Identifying business opportunities in Nigeria is not an easy task especially when there are so many challenges preventing you from starting. That will change very soon for my dear readers who follow the recommendations in this article. I have researched these points and they are proven to deliver results when thoroughly pursued. So how can anyone living in Nigeria identify business opportunities in order to know what and where to invest in? While this article answers this, the follow up question of what should one do to effectively exploit the identified business opportunity? would come another day – I may do a blog post on it.

6 Ways to Spot a Business Opportunity in Nigeria
These are 6 out of many ways to spot a new business opportunity in Nigeria. Kindly note, there is nothing new under the sun and so if a business is common but you can find a new way of doing it, then there is a business opportunity. Listed below are 6 ways to spot business opportunities in Nigeria.

Improved Marketing Approach
Some businesses struggle with getting customers or keeping them and this shouldn’t be happening if the business is well managed. If you discover a situation in which a most operators in a particular type of business lack good marketing approach but there is sufficient demand for its products and services, that is something you shouldn’t overlook, the ball is in your court to device a strong marketing plan to change this.

Assess Government Policies
Government policies whether new or abolished can create new avenues for businesses to thrive. A particular government policy for instance may be frustrating businesses in a particular part of the country, if that policy is lifted things will change often meaning increase in sales whereas introducing a new policy can create new demand for a product or service or drive down obstacles affecting demand. So when government introduces or bans a policy, ask how does this affect businesses and in what locations?

Social Trends/New Social Behaviours
The behavior of people at a particular season/time of the year, in a particular place or in response to changes/fads can become a new source of income to businesses. For instance the selfie stick for mobile phones is in response to selfie taking as a social trend, the rising demand for Gucci slippers in Nigeria (although most are fake) is in demand because of social media frenzy by Hushpuppi

Competitor Flaws
When people in a particular business are not doing something right – in terms of satisfying the client or offering quality service - it is a chance to make a bold statement by setting up a business which would avoid making those mistakes. Take for instance the most popular Amala eatery in the Abuja is fast losing many of its customers because of their costly service as well as rude, dirty and lousy waitresses. At this eatery, you can be on the queue for long and when it’s your turn you receive a cold and unhospitable treatment, the waitresses look unkempt and some may even insult you. Some people have noticed this too and opened other Amala eateries in response and of course I patronize the newer ones because they are also cheaper and serve better food.

Underserved Market Needs
Some particular markets are not well served. Take for instance the lucrative Abuja to Lagos transit route. People rarely ride in good buses with well-trained drivers and pay an affordable fee. If a bus company can provide good drivers, comfortable buses and affordable fares, naturally travelers will chase them. The leading interstate travel businesses in Nigeria started this way (I won’t mention names) before the hiked their fares. It is a proven strategy that creates quick big sales. Just provide the correct market need and you are good to go.

Defective Product Features
A particular product may not be very good in terms of how well it can serve the customer needs. Some products for instance have low shelf life, others may be hard to move while some others might satisfy the customer one way but create problems in other ways. A savvy entrepreneur will see this and look for a newer better process that will produce a superior product.

I will conclude this post by saying, look for problems that a product or service creates or fails to solve or look for customer complaints or problems affecting people in groups, the operating business environment and therein lies the business opportunity and when you find one, remember it makes sense to plan to have it up and running profitably with a professionally written business plan to guide you.

Paul Onwueme is a professional Business Plan writer since February 2014, has achieved respectable results with his business plan writing service with several of his clients securing funding and leaving positive feedback about his writing service. You can connect with him via phone: 0803 206 4106 or email: paulonwueme@gmail.com