A VOC Case Study: New Market Penetration

Challenge

A manufacturer of building products wanted to build a new manufacturing plant. The existing business was expected to fill about 80% of the capacity of the new plant. The products being manufactured were sold into a dozen or more industries. The client wanted to develop an actionable go-to-market strategy to generate enough business to fill the balance of the plant.

Process

Because the market was extremely fragmented we spent time collecting secondary research, interviewing editors, and industry gurus. We also conducted competitive interviews to prioritize the two largest industry segments. We conducted phone interviews with users of the product, as well as distinguished individuals in the channels who sold the product.

Results

The outcomes of the engagement were essential to the client’s success. We were able to give them an estimate of market size and potential in each of the industry segments. We also provided competitive shares, as well as discovered the strengths and weaknesses of the industry’s major players.

We reported which product characteristics and price levels were required to gain significant market share. Strategex also noted that technical support would be required from the manufacturer since the materials they were creating were different than the materials already in the market.

It was important for us to identify and profile the necessary distributor channels. We used the secondary data we collected to identify the largest potential channel partners in each of the twenty largest metropolitan statistical areas of the United States. Terms and conditions, discounts, rebates, and other selection criteria were ascertained to develop a unique selling proposition for the channel to buy the product.