Framework
Strategy

Ansoff Matrix

Product × market growth options

Best for
choosing a growth direction
Time
30–60 min
Difficulty
Beginner

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Ansoff matrix diagram — product versus marketA two-by-two grid with markets on one axis and products on the other. The quadrants are Market Penetration, Product Development, Market Development, and Diversification, in rising order of risk.Market dev.DiversificationPenetrationProduct dev.Markets →Products ↑
The Ansoff matrix: existing versus new products against existing versus new markets.
Example

Where should we focus growth investment next year?

Market Penetration (existing market · existing product)
  • Increase Pro conversion in our base
Product Development (existing market · new product)
  • Ship the AI assistant for current users
Market Development (new market · existing product)
  • Localize for Japan and Brazil
Diversification (new market · new product)
  • Partner with notebooks for B2B

Ansoff Matrix applied to real companies

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