Growth

Today more than ever, strategic consulting is performed before a background of expanding digital networks, borderless global markets and a volatility intensified by various influencing factors. As such, strategy should be understood from the perspective of the following quote:

“The essence of strategy is choosing what not to do.“ – Michael Porter

Having used this approach to derive a strategic focus, it’s important to define a strategy that increases the value of a company by creating sustainable competitive advantages. In this context, we understand strategy as a package of modular measures that are aligned to the culture and structure of the organisation in question and contribute systematically to the achievement of strategic objectives.

Figure 1: Growth strategy as a package of modular measures

The objective of a growth strategy is to grow as profitably and sustainably as possible in the strategically relevant fields for a company. The three core dimensions “products & services”, “channels” and “internationalisation” result in various growth approaches:

Channel & service expansion: Above all, the expansion of distribution to online channels (i.e. online marketplaces, third party e-retailers, direct sales) usually offers companies substantial growth options both for existing products and the upgrading of the existing product range with additional services (e.g. online additional services…). A systematic e-commerce distribution strategy is recommended to exploit the potential that exists here.

Channel, service and product expansion: The combination of channel expansion and the marketing of existing and new products offers a wide range of growth options. With regard to products and services, this can mean that channel-specific new product developments (e.g. eBooks, individually designed sports shoes, etc.) may arise for the expanded channels (such as online and multi-channel).

Internationalisation: Extensions into neighbouring and new markets form the third dimension. Compared to an international expansion of offline distribution channels, which, for example, requires the establishment of a branch system and thus high costs, an internationalisation via online channels is associated with significantly less effort. Leading online marketplaces, for example, offer logistics services that manufacturers can access. If product data is bundled in a central data system, international third party e-retailers can also be connected and managed here. In the context of direct sales, e-commerce systems are typically structured in such a way that new language versions can be integrated with manageable effort, thus simplifying internationalisation.

Figure 2: Growth options of a growth strategy

In terms of a growth strategy, focused growth options can be defined through the assessment, which can then be prioritised for further elaboration with the inclusion of available resources. The prioritised growth options should then be transferred into a growth roadmap in the next step and then be transferred into systematic implementation by a project management office.

In the competence area of growth, we support with the development of specific growth strategies and the following competences:

• Amazon Strategy: Development of a potential-oriented Amazon strategy in B2B & B2C taking into account all opportunities and risks
• Online Marketplace Strategy: Development of a dedicated strategy for distribution via B2C and/or B2B online marketplaces such as Amazon, Amazon Business, eBay, etc.
• E-Commerce Distribution Strategy: Development of an overall strategy for systematic distribution across all relevant e-commerce channels, such as online marketplaces, third party e-retailers and direct sales
• Third Party eRetailer Strategy: Development a tailored strategy for distribution via third party e-retailers (online pure players for a particular sector)
• Direct Sales via E-Commerce: Development of a tailored strategy for distribution via a firm’s own online shop and selected affiliates
• Direct-to-Consumer Strategy: Developing a systematic strategy to establish a direct link between the manufacturer and the end customer with e-commerce as the main sales channel
• E-Commerce Readiness: Creation of a comparative competitive analysis using specific evaluation criteria to measure the e-commerce maturity of a company’s strategy, organisation, customers, competitors and technology
• Digital Transformation Strategy: The creation of an individual roadmap for the systematic digital transformation of your company in line with specific stages of digital evolution
• Strategic Organisational Design & Governance: With a new digitalisation strategy and a targeted adaptation of the company to the changing framework conditions, the company will be positioned more flexibly and efficiently
• Sustainability Strategy for Corporates: Sustainability can be implemented on all levels of corporate value chains of manufacturing and service providing companies
• (Disruptive) Business Model Development: Development of (disruptive) business models in line with the needs of customers and with overall economic profitability