Sustainable Business Growth
A leading chemical multinational company, was operating in undifferentiated – commodity – products where market prices were known and there were four equally competent players. Customer was seeing declining margins in the segment and a constant threat of losing customers.
Solution Introduced
- A need and value based segmentation, leading to three “unconventional” segments, but with different need and values profile
- Offerings which are distinct and clear in terms of a well-defined product, service levels and intangible offering
- Three different types of pricing, each linked to the type of offering
- Resources were re-aligned based on customer needs and values
Results
- Clear differentiation in all segments of a “commodity product” market
- Improvement of profit margins by 4-5%
- Growth of overall business in double digits
Leadership Development
The Indian business head of a leading German chemical company, was looking at leadership development and succession planning. Most of the leadership members were great functional experts but lacked the general manager’s business acumen. The business head wanted his team to have ability to look at strategic business issues cutting across functions.
Solution Introduced
- Conducting a strategic management workshop, covering the strategic planning and implementation tools
- Working on different case studies to explain different strategic tools
- Applying a portfolio analysis tool on actual client markets for drawing up management actions
Results
- Significantly improved strategic business understanding as reflected in subsequent leadership team meetings and judged by the business head
Growth from New Business
A leading chemical multinational company was investing multi-million dollars in its new product development capability as its strategic goal was to generate 10% of annual sales from new products. Despite several products being developed, the sale from new products was quite small
Solution Introduced
- Business Development process involving both product development team as well as marketing team
- Stage gate process where resource intensity and probability of success increased substantially after each stage
- Performance metrics focused on delivering and building pipeline for new business with clear accountabilities
Results
- Significant increase in sales from new business, contributing 10% of total sales
Segment based Marketing Plans
A German homeopathic drug manufacturer wanted to enter a specific area of allopathic drugs market in India. Challenge was to grow to a certain size within three years time and to become profitable for the business.
Solution Introduced
- Worked with the business team on Identifying three distinct markets for the drug – Super specialty, General prescription and OTC
- Cities selected for geographical expansion based on market opportunity
- Segmented doctors’ based on customer demographics and doctor’s behavior. Targeted marketing effort on selected segments of doctors
- Identified need for brand creation for OTC sales
Results
- Significant increase in sales from new business, contributing 10% of total sales