Growth-Strategy-for-an-Auto-Major-Case-Study Automotive-Sector
AVALON
Consulting
Case Study
CONFIDENTIAL
2010 © Avalon Consulting. All Rights Reserved
A large CV manufacturer in India wanted Avalon Consulting to conceptualize and facilitate implementation of strategies to improve market share in their OEM branded spare parts business
Situation Approach Solution
Client
Our client is a large Commercial Vehicles manufacturer in India and had a OEM branded spare parts business with a turnover of about USD 50 million before the engagement
Our client had focused on spare parts as an important business and developed it over the last three decades
Over the past few years, there was a downturn in this market resulting in falling prices and margins for most manufacturers. Our client also had to resort to price cutting resulting in reduced margins. The turnover had also fallen in the last year
Situation
Any fall in price will require more than proportionate increase in volumes to protect absolute profits
Our client approached Avalon Consulting to help turn around their spare parts business by formulating a suitable strategy. At the end of this exercise, we were retained to help the client in the implementation exercise as well as build a win-win relationships with distribution partners, customers and influencers in the spare parts aftermarket
AVALON
2 Strategy formulation and implementation support for a CV major in the replacement parts market
Consulting
The broad framework for our engagement – from strategy right through implementation across India
Situation Approach Solution Example
Framework for Engagement Market Potential for Key Part Lines and Share of client Perception about client in Market Place - Building Brand Equity
Workshop with client Managers Phase I Developing the Marketing Strategy
Sales Promotion Effectiveness
Opportunity to Improve Reach
Phase II
Implementation across 5 Pilot Locations
Channel Management Analysis
Phase III
Consulting
Case Study
CONFIDENTIAL
2010 © Avalon Consulting. All Rights Reserved
A large CV manufacturer in India wanted Avalon Consulting to conceptualize and facilitate implementation of strategies to improve market share in their OEM branded spare parts business
Situation Approach Solution
Client
Our client is a large Commercial Vehicles manufacturer in India and had a OEM branded spare parts business with a turnover of about USD 50 million before the engagement
Our client had focused on spare parts as an important business and developed it over the last three decades
Over the past few years, there was a downturn in this market resulting in falling prices and margins for most manufacturers. Our client also had to resort to price cutting resulting in reduced margins. The turnover had also fallen in the last year
Situation
Any fall in price will require more than proportionate increase in volumes to protect absolute profits
Our client approached Avalon Consulting to help turn around their spare parts business by formulating a suitable strategy. At the end of this exercise, we were retained to help the client in the implementation exercise as well as build a win-win relationships with distribution partners, customers and influencers in the spare parts aftermarket
AVALON
2 Strategy formulation and implementation support for a CV major in the replacement parts market
Consulting
The broad framework for our engagement – from strategy right through implementation across India
Situation Approach Solution Example
Framework for Engagement Market Potential for Key Part Lines and Share of client Perception about client in Market Place - Building Brand Equity
Workshop with client Managers Phase I Developing the Marketing Strategy
Sales Promotion Effectiveness
Opportunity to Improve Reach
Phase II
Implementation across 5 Pilot Locations
Channel Management Analysis
Phase III