BOTTOM LINE
Our team’s extensive specialty chemicals expertise enabled ChemQuest to fully explore key regions, analyze dynamics, and deliver a targeted strategic growth plan for our client. We prescribed go-to-market strategies and rationale for growth for the client’s established business segments, as well as guidance on feasibility and paths to success for emerging opportunities.
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The Challenge
A leading global company supplies specialty chemicals used in highly diversified end markets, including pharmaceuticals, personal care, oil and gas, and electronics. Company leadership wanted to develop a strategic growth plan, with a specific focus on North America and Europe, but they realized they needed assistance.
The company sought ChemQuest’s guidance to assess and validate the total addressable market (TAM) for several of its business segments. They also wanted to gain a deeper understanding of key growth trends and drivers, customer dynamics, and unmet needs for each segment.
Customized Market Assessment to Establish Potential Playing Field
ChemQuest is uniquely positioned in the consulting space because our subject matter experts have expertise not only across the specialty chemicals value chain but within our four business pillars (Business Strategy & Transformation, M&A Advisory Services, Operational & Manufacturing Efficiencies, and Technology Development). This deep bench enables our teams to operate synergistically to deliver the highest value to our clients. We also work hand-in-hand as strategic thought partners with our clients to identify the best path forward for their business.
To address this client’s needs, ChemQuest put together a global team of experts with extensive specialty chemicals experience, knowledge, and industry contacts throughout North America and Europe. Using their combined expertise, the team conducted a thorough market assessment to uncover relevant trends, drivers, and unmet needs.
Our team determined the volume and value, as well as projected growth rates, for the client’s addressable market segments and subsegments, including established, growing, and nascent end markets. They also conducted Michael Porter’s “Five Forces” analysis, where relevant, to quantify and codify industry dynamics. Five Forces analysis depicts the five competitive forces that impact profitability:
- Intensity of rivalry among competitors
- Leverage of buyers
- Leverage of suppliers
- Threat of new entrants
- Threat of substitute products
Understanding growth drivers and macrotrends that impact the market (often called headwinds and tailwinds) is vital to an effective business strategy. Our team conducted all of this analysis and provided the information to the client, along with the supporting rationale so they could see the full context. Similarly, we identified and defined any major developments (i.e., black swans or discontinuities) that could impact future growth.
Finally, the ChemQuest experts developed customer insights, including product selection criteria and emerging and unmet needs, vis-à-vis the company’s offerings and value proposition. We also analyzed the value chain structure and raw material decision making within the value chain, mapped the territories targeted by the client, and profiled major players.
The Results
The ChemQuest team of global specialty chemicals industry experts fully explored the client’s target regions and analyzed the various dynamics that would impact the company’s global product lines and business operations. They delivered their findings to the client in a two-prong approach:
- For established segments, ChemQuest prescribed go-to-market strategies and rationale for growth.
- For emerging opportunities, our team provided guidance on feasibility and paths to success.
The client is now armed with the data, insights, and recommendations needed to optimize profitable growth for its global business. In addition, they are considering a second phase to assess and develop a strategy that will enable the company to capitalize on the rapidly growing APAC market.
About Us
The ChemQuest Group, Inc. is widely recognized for its value creation in the specialty chemicals and advanced materials sectors among raw material suppliers, formulators, and financial investors. Our four service pillars include Business Strategy & Transformation; M&A Advisory Services; Operational & Manufacturing Efficiencies; and Technology Development, which we undertake through the ChemQuest Technology Institute and ChemQuest Powder Coating Research.
ChemQuest services extend across numerous formulated product categories and end-use markets within the specialty chemicals value chain. Our team includes former senior managers from major manufacturers, business owners, and senior technical managers, including Ph.D. scientists, with a minimum of 25 years of experience in specialty chemicals.
How can we help you? Let’s start talking: https://chemquest.com/lets-start-talking/
