DEVELOPMENT OF MARKET EXPANSION
The Situation
An engineering-based company, which supplied engineering solutions into B2B sectors. Sales revenue from the international market was declining, and the company had an ambitious growth plan, however no clear vision/idea as to where this growth was going to be achieved from.
Rakesh Shah (RVR Management) was recruited to develop a detailed plan and to identify how the company could achieve its growth objectives. This then needed to be approved by the Board of Directors.
The Task
Strategic sales/marketing plan was developed, which was presented to and approved by the Board. This focused on a number of initiatives which were identified when developing the plan
The process used:
• Key market drivers
• Key changes taking place in the market
• Which segment/countries driving the growth
• Competitive analysis
• Market attractiveness model – this clearly identified where the client should focus his resources in order to achieve growth
• Resource allocation
• Areas of functional areas to improve
• VOC – the voice of the customer survey
etc.
Based on a detailed plan analysis, it was identified that the company needed to focus on the following:
2) INITIATIVES
• Digital marketing and communication
• Vertical market segment growth
• Geographical market expansion – by each region top 7 countries identified
• Channel development
• Key account strategy – by each segment – Top 20 accounts identified
• NPD – New product development
The Action / Approach
Marketing
Rebranding exercise was undertaken – This was developed in the form of a workshop – involving all the internal staff of the company. An external company was then given a brief to develop a new logo/branding.
VOC – (voice of the customer) was carried out. This identified how the external customers viewed the business and areas of improvement/ product gap analysis.
Communication – A detailed communication plan was developed/implemented (web site, SEO, social media, newsletter, blog, technical article, journal, news banner, trade association etc.)
New brochure based on total engineering capabilities, as well as ensuring it was a vertical segment focused
CRM – the building of database – using external agencies as well as setting up an internal telemarketing team was undertaken – to drive lead generation.
Channel development process introduced – This was to ensure the company identified right types of agent/distributors for the target countries/segment.
Online spares – This was identified as an area of growth and to generate incremental revenue
Sales
Sales team re-organised based on region, ensuring resources were reallocated based on market growth/opportunities by country/segments
New sales process introduced – e.g. effective call planning, product training, needs analysis questioning, key account management strategy, daily management process introduced (i.e. the number of leads/quote/orders closed /pipeline stage) etc.
The Result
Introduced new visual management board to drive continuous improvement. Win rate improved by 10%
New lead generation/building data base – Pipeline value increased by 30%
New channel development process introduced/implemented, to add 20 new international distributors
Focus approach by the sales/marketing team – showed a 15% improvements order intake
Online spares revenue increased by 50%
New R/D department set up, and process introduced to define customer un-meet needs, 5 new potential ideas identified.
The company now on track to achieve its 3-year growth objectives, based on the current win rate/opportunity identified the company is likely to achieve its growth objectives within the next 18 months
