Achieving breakout growth in COVID for a building materials company
Our client is a global player in the luxury surfaces segment operating in Asia, Europe, and North America
Pre-COVID, the client had a strategy to build the premium brand for its luxury surfaces focusing both on the Indian and European market
As India and other countries went into lockdown, sales came to a grinding halt and the supply chain got heavily disrupted
The client sought Kanvic's support to help the business chart a path through the crisis
Scanned the market for new opportunity spaces
Kanvic worked with the client to do a quick market scan of its core markets including customers' plans to reopen, their financial situation, and emerging sources of demand. In the latter case, we identified home improvement in the UK and US markets as a potential opportunity as locked down consumers focused on renovating existing properties.
Identified attractive market segments
We also looked into the segment attractiveness of the Indian market and found that COVID had limited impact on the demand from high net worth households however, channel sales were drying up as a result of customers' lack of willingness to visit the stores
Prioritised strategic options
Based on these insights we conducted a thorough analysis of the new market landscape and prioritised the options as High, Medium, No-go and Explore. The prioritisation was based on the strength of underlying demand drivers and the client's ability in terms of market access, inventory levels, and the supply chain situation.
Aligned sales & marketing efforts with market opportunity
As a result of our work, the client had a clear roadmap to align its sales and marketing resources to the most promising opportunities
Doubled YoY Profit
Post lockdown, the client could more than recover the lost sales and is on track to double its profit this year compared to last year
Unlocked cash from inventory
The client could also take this opportunity to clear long-standing non-moving stock and free up cash when it was needed most
Are you searching for growth opportunities amid the crisis?
Talk to our strategy expertsTALK TO US