PRIVATE EQUITY
The classic private equity business model has come under substantial pressure from the market in recent years. In many cases, increased competitive pressure, restricted credit availability, the rising cost of financing, and greater difficulty pursuing exit strategies conspire to put the squeeze on margins.
Besides financial engineering, improving the operational setup of portfolio companies is increasingly becoming a success factor in the investment business. It is now not so easy to generate good proceeds from a sale "simply" by buying and selling fast.
Investors need to get more involved with the operational business than was previously the case. What is more, enhancing the value of the investment with improved margins and sustainable growth calls for innovative business models and excellence in the market. The key questions for investment companies in this context are: What is the growth potential in the portfolio companies in terms of customers, products, marketing, and sales? What levers can be applied to products, price position, sales, communication, employees, and customer processes in the interest of exploiting this potential?
KEYLENS has spent many years working in successful partnership with investment companies on aligning the business concepts of their portfolio companies to meet shifting market requirements.
Some of the aspects our consultancy focuses on:
- Image building and growth strategies
- Brand architectures and positioning
- Customer segmentation and management
- Products & service
- Pricing
- Loyalty and 'recommend a friend' schemes
- Contact and lead management
- Organization and processes in marketing and sales
- Efficiency reviews of marketing activities
- Efficiency and cost-cutting programs
SELECTED KEYLENS PROJECT EXAMPLES
Windows and doors manufacturer
WINDOWS AND DOORS MANUFACTURER
Issue:
Turnaround growth strategy
Objective:
Creating growth in existing and new business segments and sales channels
Results:
- We analyzed the German market for windows and doors
- Evaluated the potential in alternative sales channels
- Drew up a five-year business plan with specific sales targets
- Developed a coordinated growth strategy
KEYLENS success levers:
Working on "taboo" areas and thereby identifying previously unknown opportunities for growth
Catering and service company
CATERING AND SERVICE COMPANY
Issue:
Customer-centric corporate strategy
Objective:
Consistently focusing more than 300 business locations on a clear customer benefit, thereby realizing uniform and controllable quality standards
Results:
- We took success factors from international benchmarks as a basis
- Created a new platform brand and flagship brands as quality anchors
- Implemented the brand proposition in all performance elements (building/store, assortment, communication, service, employees, pricing, organization/processes, quality assurance, etc.)
- Ensured successful implementation at pilot locations and supported the pilot phase
- Planned the rollout, incl. screening suitable locations
KEYLENS success levers:
Intensive involvement of stakeholders right from the start (store managers, department managers, top management, shareholders, government bodies)
Energy service provider
ENERGY SERVICE PROVIDER
Issue:
Differentiation strategy
Objective:
Improving performance by consolidating the brand portfolio and repositioning the master brand
Results:
- We consolidated six individual brands into one master brand
- Repositioned the master brand from "innovation" to "service"
- Operationalized the new service positioning in all areas of the company (sales, marketing, product management, etc.)
- Formulated a master plan for implementation, with responsibilities and timings
- Supported the implementation, incl. conducting various implementation projects in different company departments
KEYLENS success levers:
Precise identification of the customer perspective through extensive market research to "de-emotionalize" the issue and create a neutral basis for discussion
