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Assisted leader in OTC nutritionals market in understanding its competitive position and identifying improvement initiatives across diverse areas

Case Study Summary

A leader in the OTC nutritionals market with aggressive double digit growth targets sought Archstone Consulting's help in conducting a competitive assessment of the client and its primary competitor. The client also sought Archstone Consulting's help in providing an assessment of other competitive threats, including new and/or indirect competitors.

The Client

Global leader in the dietary supplement industry.

The Challenge

Conduct a competitive assessment of the client and its primary competitor, including both an Overall Competitive Comparison and a Category Comparison. The Overall Competitive Comparison was to include pricing and promotional strategies, cost and margin structure, supply chain capabilities, new product performance, customer effectiveness, and other market programs. Provide an assessment of other competitive threats and a summary comparison of indirect or new competitors.

The Solution

Archstone Consulting developed an analytical framework and conducted interviews to drive Client self evaluation. In order to conduct the Overall Competitive Comparison, Archstone analyzed key competitor performance by collecting and analyzing baseline data, conducting customer interviews and surveys, and reviewing market direction and building emerging trend analysis. Archstone led a category comparison by analyzing performance and growth by product category and identifying the client's competitive position at customer by product category. Finally, Archstone developed a comprehensive competitive situation analysis by creating a SWOT analysis relative to key competitors, providing analytic input into strategic planning sessions.

The Results

The competitive assessment illustrated where the client stood relative to its key competitor in the following areas: Brand Performance, Costs, Marketing Spending, Customer Performance, Performance of Brands and Operational Capabilities. The findings were presented to top executives at a strategic planning meeting. Subsequent discussions resulted in improvement initiatives focused in diverse areas (IT, manufacturing, sourcing and procurement), leading to reduced operational costs.

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