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The roots of organic growth | McKinsey
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mdc-c-link--secondary___TSFam_2734c4f"><span class="mdc-c-link__label___Pfqtd_2734c4f">McKinsey Quarterly</span></a><h1 data-component="mdc-c-heading" class="mdc-c-heading___0fM1W_2734c4f mdc-u-ts-2 mck-u-animation-slide-down ArticleDefault_mck-c-article-default__heading__bv6rL"><div>The roots of organic growth</div></h1></div><div data-component="mdc-c-description" class="mdc-c-description___SrnQP_2734c4f mdc-u-ts-10 mck-u-animation-blur-in-800 ArticleDefault_mck-c-article-default__description__sjoe9"><div><time datetime="2017-08-11T00:00:00Z">August 11, 2017</time> | Article</div></div></div></div></div></div></div><div class="mck-o-container"><div class="mck-o-container--wrapped mck-o-container--mobile-spacing mdc-u-grid mdc-u-grid-gutter-xxl"><section data-layer-region="article-body-header" class="mdc-u-grid mdc-u-grid-col-md-12 mck-u-animation-blur-in-400 byline-share-container"><div class="mdc-u-grid-col-md-start-2 mdc-u-grid-col-md-end-8 mdc-u-grid-col-lg-start-3 mdc-u-grid-col-lg-end-8 mdc-u-ts-9"><span> </span><span class="AuthorsByLine_mck-c-authors-byline__author__XdrlD"><span class="AuthorsByLine_mck-c-authors-byline__no-wrap__Ced0j"><a data-component="mdc-c-link" href="/our-people/kabir-ahuja" class="mdc-c-link-inline___7DRrt_2734c4f mdc-c-link-inline--secondary___YKoOK_2734c4f"><span class="mdc-c-link__label___Pfqtd_2734c4f">Kabir Ahuja</span></a> </span></span><span class="AuthorsByLine_mck-c-authors-byline__author__XdrlD"><span class="AuthorsByLine_mck-c-authors-byline__no-wrap__Ced0j"><a data-component="mdc-c-link" href="/our-people/liz-hilton-segel" class="mdc-c-link-inline___7DRrt_2734c4f mdc-c-link-inline--secondary___YKoOK_2734c4f"><span class="mdc-c-link__label___Pfqtd_2734c4f">Liz Hilton Segel</span></a><span> </span></span></span><span class="AuthorsByLine_mck-c-authors-byline__author__XdrlD"><span class="AuthorsByLine_mck-c-authors-byline__no-wrap__Ced0j"><a data-component="mdc-c-link" href="/our-people/jesko-perrey" class="mdc-c-link-inline___7DRrt_2734c4f mdc-c-link-inline--secondary___YKoOK_2734c4f"><span class="mdc-c-link__label___Pfqtd_2734c4f">Jesko Perrey</span></a></span></span></div><div class="mdc-u-grid-col-md-start-8 mdc-u-grid-col-md-end-12 mdc-u-grid-col-lg-start-8 mdc-u-grid-col-lg-end-11 ArticleContent_mck-c-article-content__share-tools__kWRRw"></div></section><section class="mdc-u-grid mdc-u-grid-col-md-12 mck-u-animation-blur-in-400"><div class="mdc-u-grid-col-md-start-2 mdc-u-grid-col-md-end-12 mdc-u-grid-col-lg-start-3 mdc-u-grid-col-lg-end-11"><div data-component="mdc-c-description" class="mdc-c-description___SrnQP_2734c4f mdc-u-ts-5"><div class="mck-u-links-inline">There are many paths to growth, and high performers take more than one—supported by reinforcing capabilities such as advanced analytics and digital customer-experience management.</div></div></div></section><main data-layer-region="article-body" class="mdc-u-grid mdc-u-grid-gutter-xxl"><div class="mdc-u-grid mdc-u-grid-col-1 mdc-u-grid-col-md-12"><div class="mdc-u-grid-col-md-start-2 mdc-u-grid-col-md-end-12 mdc-u-grid-col-lg-start-3 mdc-u-grid-col-lg-end-11"><div class="mdc-o-content-body mck-u-dropcap"><div data-component="mdc-c-module-wrapper" data-module-theme="default" data-module-background="transparent" data-module-category="" class="DownloadsSidebar_mck-c-downloads-sidebar__iFmyt mck-o-xs-right-span"><div data-layer-region="downloads-right-rail"><h3 data-component="mdc-c-heading" class="mdc-c-heading___0fM1W_2734c4f mdc-c-heading--title___5qyOB_2734c4f mdc-c-heading--border___K8dj3_2734c4f"></h3><div><div data-component="mdc-c-link-container" class="mdc-c-link-container___xefGu_2734c4f"><a data-component="mdc-c-link" href="#/download/%2F~%2Fmedia%2Fmckinsey%2Fbusiness%20functions%2Fmarketing%20and%20sales%2Four%20insights%2Fthe%20roots%20of%20organic%20growth%2Fthe-roots-of-organic-growth.pdf%3FshouldIndex%3Dfalse" class="DownloadsSidebar_mck-c-downloads-sidebar__download-link__fPqFQ mdc-c-link___lBbY1_2734c4f" target="_self" data-layer-event-prefix="Download Link" data-layer-action="click" data-layer-report-type="" data-layer-file-name="the-roots-of-organic-growth" data-layer-report-name="the-roots-of-organic-growth>"><span data-component="mdc-c-icon" class="mdc-c-icon___oi7ef_2734c4f mdc-c-icon--size-md___yi5fA_2734c4f mck-download-icon"></span><span class="mdc-c-link__label___Pfqtd_2734c4f"> (PDF-125 KB)</span></a></div></div></div></div> <p> <strong>Growth is a tonic</strong> for most companies. It attracts talent and creates strategic options while <a href="/capabilities/strategy-and-corporate-finance/our-insights/how-nimble-resource-allocation-can-double-your-companys-value">generating financial resources to fund new moves</a>—provided the growth is profitable. It’s also been harder to come by over the past decade, as a sluggish macroeconomic environment and accelerating, technology-driven disruption have ratcheted up pressure on businesses.</p> <!-- --> <p> Digital technologies and the pace of competition, however, also open new avenues to organic growth for those companies that have the capabilities and dexterity to take advantage of them. Today’s fastest growers, for example, price products in real time; they create meaningful and positive customer experiences with digital interactions; and they refine products continually with customer feedback. To understand the relationship between organic growth approaches, capabilities, and performance in this environment, we recently surveyed approximately 600 executives at leading companies in the European Union and North America.<a class="link-footnote" rel="#footnote1" href="#"><sup>1</sup></a> <span id="footnote1" class="tooltip" style="display:none"><span class="footnote-content"><span class="footnote-number">1.</span><span class="footnote-text"> We asked companies to determine their growth strategy, providing the option of choosing more than one. We then asked respondents to indicate how much each strategy contributed to their growth in percentage terms. </span><span class="clear"></span> </span><span class="footnote-bottom"></span></span> We found that companies exhibit three basic growth tendencies; that an approach <a href="http://www.mckinsey.com/business-functions/marketing-and-sales/our-insights/invest-create-perform">combining two or more of these holds particular power in driving growth</a>; that <a href="http://www.mckinsey.com/business-functions/digital-mckinsey/our-insights/making-data-analytics-work-for-you-instead-of-the-other-way-around">advanced analytics</a> is an ingredient of standout growth; and that success depends on nurturing a set of reinforcing capabilities that fit the growth approach.</p> <div data-component="mdc-c-module-wrapper" data-module-theme="default" data-module-background="transparent" data-module-category="" class="mck-c-disruptor1up mck-o-md-center mck-u-inline-module-border-top mck-u-inline-module-border-bottom mck-u-screen-only" data-layer-region="disruptor-1up"><div class="mdc-u-grid mdc-u-grid-gutter-md mdc-u-grid-col-lg-12 mdc-u-grid-col-md-12 "><div class="mdc-u-grid-col-md-span-12"><header data-component="mdc-c-header" class="mdc-c-header"><div class="mdc-c-header__block___i1Lg-_2734c4f"><h3 data-component="mdc-c-heading" class="mdc-c-heading___0fM1W_2734c4f"><div>Would you like to learn more about our <a href="/capabilities/growth-marketing-and-sales/how-we-help-clients">Marketing & Sales Practice</a>?</div></h3></div></header><div data-component="mdc-c-link-container" class="mdc-c-link-container___xefGu_2734c4f mdc-c-link-container--display-column___X0HDD_2734c4f mck-c-disruptor1up__content Disruptor1Up_mck-c-disruptor1up__content--links__VV4lE mdc-u-grid-gutter-md"><a data-component="mdc-c-link" href="/capabilities/growth-marketing-and-sales/how-we-help-clients/organization-and-capabilities" class="mdc-c-link-cta___NBQVi_2734c4f"><span class="mdc-c-link__label___Pfqtd_2734c4f">Visit our Organization & Capabilities page</span><span data-component="mdc-c-icon" class="mdc-c-icon___oi7ef_2734c4f mck-link-arrow-right-icon"></span></a></div></div></div></div> <h2> Three growth profiles</h2> <p> The corporate growth goals and the behavior tracked by our survey show that companies <a href="/capabilities/growth-marketing-and-sales/our-insights/now-new-next-how-growth-champions-create-new-value">can be described as having three broad growth profiles</a>. <em>Investors</em> have a clear understanding of sources of growth from existing products and services and squeeze funds from a variety of areas, such as low-growth initiatives or unproductive costs, <a href="/capabilities/growth-marketing-and-sales/our-insights/playing-offense-what-it-takes-to-drive-growth">to reallocate capital and double down on winners</a>. <em>Creators</em> build value by developing new products, services, or business models. And <em>performers</em> grow by constantly optimizing core commercial capabilities in sales, pricing, and marketing.</p> <p> Understanding each profile is helpful because leaders tend to fall back on what has worked for them in the past, and this can often blind them to new growth opportunities. In our experience, companies that carefully evaluate each growth profile, and make choices based on the strategic fit, will increase their chances of <a href="/capabilities/strategy-and-corporate-finance/our-insights/the-strategic-yardstick-you-cant-afford-to-ignore">achieving above-market growth rates</a>.</p> <h2> The power of the diversified approach</h2> <p> While approximately 60 percent of those surveyed identified one of the approaches as their primary source of growth, the largest group in our sample—representing about 40 percent of companies surveyed—were those that diversified their organic growth portfolio. A disproportionate number of the companies that grew significantly—at 4 percent greater than the rate of their sector’s over the past three years—were in this group.</p> <p> These results make intuitive sense: companies creating new products or services frequently need to reallocate capital so they can place their bets, while an exceptional sales force or top-flight marketing team can accelerate a variety of new product or service initiatives. Our analysis further showed that companies exhibiting strong investor and creator tendencies particularly benefited from a diversified approach to changing their growth trajectory (Exhibit 1).</p> <div data-component="mdc-c-module-wrapper" data-module-theme="default" data-module-background="transparent" data-module-category="" class="mck-c-inline-module-container mck-o-md-center"><div class="mdc-u-grid mdc-u-grid-gutter-lg mdc-u-grid-col-sm-1 mdc-u-grid--align-start mdc-u-mb-3 GenericItem_mck-c-generic-item__sGwKL"><div data-component="mdc-c-content-block" class="mdc-c-content-block___7p6Lu_2734c4f mdc-u-grid-gutter-xs GenericItem_mck-c-generic-item__content__gq1m0"><div class="mck-c-eyebrow mdc-u-ts-10"><span> 1</span></div></div></div><div class="mck-u-inline-module-border-top mck-u-inline-module-border-bottom"><picture data-component="mdc-c-picture" class="Exhibit_mck-c-exhibit__image__pyIDm"><source media="(min-width: 768px)" srcSet="/~/media/mckinsey/business%20functions/marketing%20and%20sales/our%20insights/the%20roots%20of%20organic%20growth/svgz_qweb_growth_strategy_ex1.svgz?cq=50&cpy=Center"/><img alt="" src="/~/media/mckinsey/business%20functions/marketing%20and%20sales/our%20insights/the%20roots%20of%20organic%20growth/svgz_qweb_growth_strategy_ex1.svgz?cq=50&cpy=Center" loading="lazy"/></picture></div><div class="mck-u-sr-only"></div></div> <h2> The potential of advanced analytics</h2> <p> Across all the growth lenses, we found significant potential for an upside in advanced analytics. As Exhibit 2 shows, even at today’s low levels of penetration, advanced-analytics capabilities were strongly associated with the highest levels of growth, suggesting they will be a <a href="/capabilities/growth-marketing-and-sales/our-insights/using-marketing-analytics-to-drive-superior-growth">critical platform for the next generation of performance</a>.</p> <div data-component="mdc-c-module-wrapper" data-module-theme="default" data-module-background="transparent" data-module-category="" class="mck-c-inline-module-container mck-o-md-center"><div class="mdc-u-grid mdc-u-grid-gutter-lg mdc-u-grid-col-sm-1 mdc-u-grid--align-start mdc-u-mb-3 GenericItem_mck-c-generic-item__sGwKL"><div data-component="mdc-c-content-block" class="mdc-c-content-block___7p6Lu_2734c4f mdc-u-grid-gutter-xs GenericItem_mck-c-generic-item__content__gq1m0"><div class="mck-c-eyebrow mdc-u-ts-10"><span> 2</span></div></div></div><div class="mck-u-inline-module-border-top mck-u-inline-module-border-bottom"><picture data-component="mdc-c-picture" class="Exhibit_mck-c-exhibit__image__pyIDm"><source media="(min-width: 768px)" srcSet="/~/media/mckinsey/business%20functions/marketing%20and%20sales/our%20insights/the%20roots%20of%20organic%20growth/svgz_qweb_growth_strategy_ex2.svgz?cq=50&cpy=Center"/><img alt="" src="/~/media/mckinsey/business%20functions/marketing%20and%20sales/our%20insights/the%20roots%20of%20organic%20growth/svgz_qweb_growth_strategy_ex2.svgz?cq=50&cpy=Center" loading="lazy"/></picture></div><div class="mck-u-sr-only"></div></div> <h2> The importance of reinforcing capabilities</h2> <p> Like a triathlete who needs to develop different sets of muscles to effectively compete, delivering on a diversified growth strategy requires <a href="/capabilities/growth-marketing-and-sales/our-insights/agile-marketing-a-step-by-step-guide">building the right reinforcing capabilities</a>. Our research indicated that there are table stakes for growers across all dimensions: nimble resource reallocation, effective branding, and growth-oriented organizational culture. There were other areas that, predictably, seemed more tightly linked with individual strategies. Sales and pricing were key to faster-growing performers while the ability to develop products and services differentiated investors and creators.</p> <div data-component="mdc-c-module-wrapper" data-module-theme="default" data-module-background="transparent" data-module-category="" class="mck-c-disruptor1up mck-o-md-center mck-u-inline-module-border-top mck-u-inline-module-border-bottom mck-u-screen-only" data-layer-region="disruptor-1up"><div class="mdc-u-grid mdc-u-grid-gutter-md mdc-u-grid-col-lg-12 mdc-u-grid-col-md-12 "><div class="mdc-u-grid-col-lg-span-4 mdc-u-grid-col-md-span-5 Disruptor1Up_mck-c-disruptor1up__image___2Gc4"><picture data-component="mdc-c-picture"><img alt="Playing offense: What it takes to drive growth" src="/~/media/mckinsey/business%20functions/marketing%20and%20sales/our%20insights/playing%20offense%20what%20it%20takes%20to%20drive%20growth/playing-offense_1536x1536.jpg?cq=50&mh=145&car=16:9&cpy=Center" loading="lazy"/></picture></div><div class="mdc-u-grid-col-lg-span-8 mdc-u-grid-col-md-span-7"><header data-component="mdc-c-header" class="mdc-c-header"><div class="mdc-c-header__block___i1Lg-_2734c4f"><h3 data-component="mdc-c-heading" class="mdc-c-heading___0fM1W_2734c4f"><div>Playing offense: What it takes to drive growth</div></h3></div></header><div data-component="mdc-c-link-container" class="mdc-c-link-container___xefGu_2734c4f mdc-c-link-container--display-column___X0HDD_2734c4f mck-c-disruptor1up__content Disruptor1Up_mck-c-disruptor1up__content--links__VV4lE mdc-u-grid-gutter-md"><a data-component="mdc-c-link" href="/capabilities/growth-marketing-and-sales/our-insights/playing-offense-what-it-takes-to-drive-growth" class="mdc-c-link-cta___NBQVi_2734c4f"><span class="mdc-c-link__label___Pfqtd_2734c4f">Read the article</span><span data-component="mdc-c-icon" class="mdc-c-icon___oi7ef_2734c4f mck-link-arrow-right-icon"></span></a></div></div></div></div> <p>These capabilities, combined with an understanding of the options for activating growth, are fundamental to building up a company’s growth DNA. And, as our research shows, a purposeful approach across a diverse portfolio of growth strategies increases the odds of success.</p> <p><em>For more, see “<a href="/capabilities/growth-marketing-and-sales/our-insights/invest-create-perform">Invest, Create, Perform: Mastering the three dimensions of growth in the digital age</a>.” </em></p> <div data-component="mdc-c-module-wrapper" data-module-theme="default" data-module-background="transparent" data-module-category="" class="mck-c-disruptor-signup mck-o-lg-right-span mck-u-inline-module-border-top mck-u-inline-module-border-bottom mck-u-screen-only" data-layer-region="disruptor-signup"><div data-component="mdc-c-content-block" class="mdc-c-content-block___7p6Lu_2734c4f"><h2 data-component="mdc-c-heading" class="mdc-c-heading___0fM1W_2734c4f mdc-u-ts-4 DisruptorSignUp_mck-c-disruptor-signup__heading__JR4i0"><div>Stay current on your favorite topics</div></h2></div><div data-component="mdc-c-link-container" 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href="/capabilities/growth-marketing-and-sales/our-insights/using-marketing-analytics-to-drive-superior-growth" class="mdc-c-link-heading___Zggl8_2734c4f mdc-c-link___lBbY1_2734c4f"><div>Using marketing analytics to drive superior growth</div></a></h6></div></div></div></div></div></div></div></main></div><script id="__NEXT_DATA__" type="application/json">{"props":{"pageProps":{"locale":"en","dictionary":{},"sitecoreContext":{"route":{"name":"The roots of organic growth","displayName":"The roots of organic growth","fields":null,"databaseName":"web","deviceId":"fe5d7fdf-89c0-4d99-9aa3-b5fbd009c9f3","itemId":"e1abacd5-32ec-458d-b1d2-51ec75a9412b","itemLanguage":"en","itemVersion":1,"layoutId":"ae753eb4-a035-40b4-83bf-4b4438df6742","templateId":"683910db-02ba-40ba-92e7-726c880160a9","templateName":"ArticleJSS","placeholders":{"jss-main":[{"uid":"232bb7e9-289f-492d-a916-2b6185e44a84","componentName":"ArticleTemplate","dataSource":"","fields":{"data":{"articleTemplate":{"title":{"jsonValue":{"value":"The roots of organic growth"}},"sEOTitle":{"value":""},"description":{"jsonValue":{"value":"There are many paths to growth, and high performers take more than one—supported by reinforcing capabilities such as advanced analytics and digital customer-experience management."}},"sEODescription":{"value":""},"displayDate":{"jsonValue":{"value":"2017-08-11T00:00:00Z"}},"body":{"value":"[[DownloadsSidebar]] \u003cp\u003e\n\u003cstrong\u003eGrowth is a tonic\u003c/strong\u003e for most companies. It attracts talent and creates strategic options while \u003ca href=\"/capabilities/strategy-and-corporate-finance/our-insights/how-nimble-resource-allocation-can-double-your-companys-value\"\u003egenerating financial resources to fund new moves\u003c/a\u003e\u0026mdash;provided the growth is profitable. It\u0026rsquo;s also been harder to come by over the past decade, as a sluggish macroeconomic environment and accelerating, technology-driven disruption have ratcheted up pressure on businesses.\u003c/p\u003e\n[[video video1]]\n\u003cp\u003e\nDigital technologies and the pace of competition, however, also open new avenues to organic growth for those companies that have the capabilities and dexterity to take advantage of them. Today\u0026rsquo;s fastest growers, for example, price products in real time; they create meaningful and positive customer experiences with digital interactions; and they refine products continually with customer feedback. To understand the relationship between organic growth approaches, capabilities, and performance in this environment, we recently surveyed approximately 600 executives at leading companies in the European Union and North America.\u003ca onclick=\"return false;\" href=\"#\" rel=\"#footnote1\" class=\"link-footnote\"\u003e\u003csup\u003e1\u003c/sup\u003e\u003c/a\u003e \u003cspan style=\"display: none;\" class=\"tooltip\" id=\"footnote1\"\u003e\u003cspan class=\"footnote-content\"\u003e\u003cspan class=\"footnote-number\"\u003e1.\u003c/span\u003e\u003cspan class=\"footnote-text\"\u003e\nWe asked companies to determine their growth strategy, providing the option of choosing more than one. We then asked respondents to indicate how much each strategy contributed to their growth in percentage terms.\n\u003c/span\u003e\u003cspan class=\"clear\"\u003e\u003c/span\u003e \u003c/span\u003e\u003cspan class=\"footnote-bottom\"\u003e\u003c/span\u003e\u003c/span\u003e We found that companies exhibit three basic growth tendencies; that an approach \u003ca href=\"http://www.mckinsey.com/business-functions/marketing-and-sales/our-insights/invest-create-perform\"\u003ecombining two or more of these holds particular power in driving growth\u003c/a\u003e; that \u003ca href=\"http://www.mckinsey.com/business-functions/digital-mckinsey/our-insights/making-data-analytics-work-for-you-instead-of-the-other-way-around\"\u003eadvanced analytics\u003c/a\u003e is an ingredient of standout growth; and that success depends on nurturing a set of reinforcing capabilities that fit the growth approach.\u003c/p\u003e\n[[Disruptor1UP dis1]]\n\u003ch2\u003e\nThree growth profiles\u003c/h2\u003e\n\u003cp\u003e\nThe corporate growth goals and the behavior tracked by our survey show that companies \u003ca href=\"/capabilities/growth-marketing-and-sales/our-insights/now-new-next-how-growth-champions-create-new-value\"\u003ecan be described as having three broad growth profiles\u003c/a\u003e. \u003cem\u003eInvestors\u003c/em\u003e have a clear understanding of sources of growth from existing products and services and squeeze funds from a variety of areas, such as low-growth initiatives or unproductive costs, \u003ca href=\"/capabilities/growth-marketing-and-sales/our-insights/playing-offense-what-it-takes-to-drive-growth\"\u003eto reallocate capital and double down on winners\u003c/a\u003e. \u003cem\u003eCreators\u003c/em\u003e build value by developing new products, services, or business models. And \u003cem\u003eperformers\u003c/em\u003e grow by constantly optimizing core commercial capabilities in sales, pricing, and marketing.\u003c/p\u003e\n\u003cp\u003e\nUnderstanding each profile is helpful because leaders tend to fall back on what has worked for them in the past, and this can often blind them to new growth opportunities. In our experience, companies that carefully evaluate each growth profile, and make choices based on the strategic fit, will increase their chances of \u003ca href=\"/capabilities/strategy-and-corporate-finance/our-insights/the-strategic-yardstick-you-cant-afford-to-ignore\"\u003eachieving above-market growth rates\u003c/a\u003e.\u003c/p\u003e\n\u003ch2\u003e\nThe power of the diversified approach\u003c/h2\u003e\n\u003cp\u003e\nWhile approximately 60 percent of those surveyed identified one of the approaches as their primary source of growth, the largest group in our sample\u0026mdash;representing about 40 percent of companies surveyed\u0026mdash;were those that diversified their organic growth portfolio. A disproportionate number of the companies that grew significantly\u0026mdash;at 4 percent greater than the rate of their sector\u0026rsquo;s over the past three years\u0026mdash;were in this group.\u003c/p\u003e\n\u003cp\u003e\nThese results make intuitive sense: companies creating new products or services frequently need to reallocate capital so they can place their bets, while an exceptional sales force or top-flight marketing team can accelerate a variety of new product or service initiatives. Our analysis further showed that companies exhibiting strong investor and creator tendencies particularly benefited from a diversified approach to changing their growth trajectory (Exhibit 1).\u003c/p\u003e\n[[exhibit 1]]\n\u003ch2\u003e\nThe potential of advanced analytics\u003c/h2\u003e\n\u003cp\u003e\nAcross all the growth lenses, we found significant potential for an upside in advanced analytics. As Exhibit 2 shows, even at today\u0026rsquo;s low levels of penetration, advanced-analytics capabilities were strongly associated with the highest levels of growth, suggesting they will be a \u003ca href=\"/capabilities/growth-marketing-and-sales/our-insights/using-marketing-analytics-to-drive-superior-growth\"\u003ecritical platform for the next generation of performance\u003c/a\u003e.\u003c/p\u003e\n[[exhibit 2]]\n\u003ch2\u003e\nThe importance of reinforcing capabilities\u003c/h2\u003e\n\u003cp\u003e\nLike a triathlete who needs to develop different sets of muscles to effectively compete, delivering on a diversified growth strategy requires \u003ca href=\"/capabilities/growth-marketing-and-sales/our-insights/agile-marketing-a-step-by-step-guide\"\u003ebuilding the right reinforcing capabilities\u003c/a\u003e. Our research indicated that there are table stakes for growers across all dimensions: nimble resource reallocation, effective branding, and growth-oriented organizational culture. There were other areas that, predictably, seemed more tightly linked with individual strategies. Sales and pricing were key to faster-growing performers while the ability to develop products and services differentiated investors and creators.\u003c/p\u003e\n[[Disruptor1UP dis2]]\n\u003cp\u003eThese capabilities, combined with an understanding of the options for activating growth, are fundamental to building up a company\u0026rsquo;s growth DNA. And, as our research shows, a purposeful approach across a diverse portfolio of growth strategies increases the odds of success.\u003c/p\u003e\n\u003cp\u003e\u003cem\u003eFor more, see \u0026ldquo;\u003ca href=\"/capabilities/growth-marketing-and-sales/our-insights/invest-create-perform\"\u003eInvest, Create, Perform: Mastering the three dimensions of growth in the digital age\u003c/a\u003e.\u0026rdquo; \u003c/em\u003e\u003c/p\u003e\n[[DisruptorSignUp full-width]]"},"isFullScreenInteractive":{"boolValue":false},"hideStickySocialShareBar":{"boolValue":false},"desktopID":{"value":""},"mobileID":{"value":""},"desktopURL":{"value":""},"mobileURL":{"value":""},"desktopPaddingPercentage":{"value":""},"mobilePaddingPercentage":{"value":""},"desktopOverrideHeight":{"value":""},"mobileOverrideHeight":{"value":""},"cerosOembedURL":{"value":""},"cerosRenderMode":{"targetItem":null},"cerosBackgroundColor":{"targetItem":null},"hideByLine":{"boolValue":false},"tableOfContentsTitle":{"value":"TABLE OF CONTENTS"},"accessStatus":{"targetItem":{"key":{"value":"RegisteredUsers"},"value":{"value":"Registered Users"}}},"articleType":{"targetItem":{"displayName":"Article"}},"hasSpecialReport":{"boolValue":false},"contentType":{"targetItem":{"displayName":"Article"}},"sourcePublication":{"targetItem":{"name":"McKinsey Quarterly","displayName":"McKinsey Quarterly","title":{"value":"McKinsey Quarterly"},"relatedlinks":{"url":"/quarterly/overview"},"landinglinks":{"jsonValue":{"value":[]}}}},"externalPublication":{"value":""},"mobileReady":{"boolValue":true},"forClientsOnly":{"boolValue":false},"excludeFromClientLink":{"boolValue":false},"originalPublishDate":{"jsonValue":{"value":"2017-08-11T00:00:00Z"}},"footnotes":{"value":""},"contributoryPractice":{"targetItems":[]},"aboutTheAuthors":{"value":"\u003cp\u003e\u003cstrong\u003eKabir Ahuja\u003c/strong\u003e is a partner in McKinsey\u0026rsquo;s Stamford office,\u0026nbsp;\u003ca href=\"/our-people/liz-hilton-segel\"\u003e\u003cstrong\u003eLiz Hilton Segel\u003c/strong\u003e\u003c/a\u003e is a senior partner in the New York office, and\u0026nbsp;\u003ca href=\"/our-people/jesko-perrey\"\u003e\u003cstrong\u003eJesko Perrey\u003c/strong\u003e\u003c/a\u003e is a senior partner in the D\u0026uuml;sseldorf office.\u003c/p\u003e"},"authors":{"targetItems":[{"template":{"id":"3FBABDB63A094F68B1F8E1BBE1BA124E","name":"Author"},"id":"74CB3497E7FE457EAC4127218FBF1831","name":"Kabir Ahuja","authorTitle":{"value":"Kabir Ahuja"},"description":{"value":""},"thumbnailImage":{"alt":"","src":null},"profile":{"targetItems":[{"standardImage":{"src":"/~/media/mckinsey/our people/kabir ahuja/kabir_ahuja_fc_mask_profile_1536x1152.jpg","alt":"Kabir Ahuja"},"emailLinks":{"value":"Kabir_Ahuja@mckinsey.com"},"linkedInUrl":{"value":""},"description":{"value":"Drives transformational growth through Marketing \u0026 Sales, Digital and AI. Deep expertise serving leaders in Telecom, Media, Consumer Technology, and Sports"},"locations":{"targetItems":[{"name":"New York","displayName":"New York"}]},"firmTitle":{"value":"Senior Partner"},"thumbnailImage":{"alt":"Kabir Ahuja","src":"/~/media/mckinsey/our people/kabir ahuja/kabir_ahuja_fc-mask_headshot_988x741.jpg"},"url":{"path":"/our-people/kabir-ahuja"}}]}},{"template":{"id":"3FBABDB63A094F68B1F8E1BBE1BA124E","name":"Author"},"id":"B33FE4CDBFD74DDD8EA4ED97C98F3E02","name":"Liz Hilton Segel","authorTitle":{"value":"Liz Hilton Segel"},"description":{"value":""},"thumbnailImage":{"alt":"","src":null},"profile":{"targetItems":[{"standardImage":{"src":"/~/media/mckinsey/our people/liz hilton segel/new blue/liz_hilton_segel_016293_fc-mask_profile_1536x1152.png","alt":""},"emailLinks":{"value":"Liz_Hilton_Segel@mckinsey.com, karen_weinhofer@mckinsey.com"},"linkedInUrl":{"value":"https://www.linkedin.com/in/lizhiltonsegel"},"description":{"value":"Counsels CEOs and aligns with their teams and broader organizations to build new capabilities and businesses with a focus on growth and performance transformation; leads McKinsey’s sector groups and global industry practices"},"locations":{"targetItems":[{"name":"New York","displayName":"New York"}]},"firmTitle":{"value":"Senior Partner"},"thumbnailImage":{"alt":"","src":"/~/media/mckinsey/our people/liz hilton segel/new blue/liz_hilton_segel_016293_fc-mask_headshot_988x741.png"},"url":{"path":"/our-people/liz-hilton-segel"}}]}},{"template":{"id":"3FBABDB63A094F68B1F8E1BBE1BA124E","name":"Author"},"id":"30B2C3E36E6E4B3186AE58F36C5ACB72","name":"Jesko Perrey","authorTitle":{"value":"Jesko Perrey"},"description":{"value":""},"thumbnailImage":{"alt":"","src":null},"profile":{"targetItems":[{"standardImage":{"src":"/~/media/mckinsey/our people/jesko perrey/jesko-perrey_0528_fc-mask_profile_1536x1152.png","alt":"Jesko Perry"},"emailLinks":{"value":"Jesko_Perrey@mckinsey.com, Marie_Walleneit@mckinsey.com"},"linkedInUrl":{"value":"https://www.linkedin.com/in/jeskoperrey"},"description":{"value":"Helps clients deliver above-market growth by transforming their marketing and sales capabilities."},"locations":{"targetItems":[{"name":"Dusseldorf","displayName":"Düsseldorf"}]},"firmTitle":{"value":"Senior Partner"},"thumbnailImage":{"alt":"Jesko Perry","src":"/~/media/mckinsey/our people/jesko perrey/jesko-perrey_0528_fc-mask_headshot_988x741.png"},"url":{"path":"/our-people/jesko-perrey"}}]}}]},"nonPartnerAuthors":{"targetItems":[]},"interactiveToUse":{"targetItem":null},"enableArticleComponents":{"boolValue":false},"relatedArticles":{"targetItems":[{"sourcePublication":{"targetItem":null},"publicationSource":null,"externalPublication":{"value":""},"title":{"value":"Playing offense: What it takes to drive growth"},"url":{"path":"/capabilities/growth-marketing-and-sales/our-insights/playing-offense-what-it-takes-to-drive-growth"},"eyebrow":{"targetItem":{"name":"Interview"}},"articleType":{"targetItem":{"name":"Interview"}},"contentType":{"targetItem":{"name":"Article"}},"description":{"value":"In this interview, McKinsey senior partner Liz Hilton Segel speaks with Comcast Cable CEO Neil Smit about what organic growth means and how a business drives it. 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