Consumer Electronics Family Business

Redesign, build, expand and establish sustainable Growth for a family owned SME

Our client is a family owned SME in the field of Home Appliance (HA) trade with over 50 years of market presence.

Challenge

With increasing competition from Asia, the company was struggling with loss of market share, diminishing margins, and sever profitability decrease in its traditional market.

Approach

We identified untapped opportunities in adjacent markets, built up new business fields from scratch, and transformed the traditional company to a modern service provider with over 50% profitable market share.

The company moved upstream and entered the business of supplying components and raw materials to the HA manufacturers. Additionally, own new brands were introduced to the market, and after sales services were integrated in the company to assure end-consumers’ satisfaction and direct access.

We expand the sourcing to the OEM and imported the components directly from producers in Asia to increase competitiveness and profitability.

Outcome

The company is currently back on track with substantially improved profitability and healthy growth.
We built the required organization with access to over 1’600 distributors and 600 after sales service points with adequate control mechanisms.

Efficient and thorough structures and processes were created and rolled out, and a performance-oriented culture for growth and profitability was established throughout the company.

Exclusive distributorship rights with esteemed companies like LG-Electronics Components (South Korea) and Vestel (Turkey) were acquired.