Identification of the most effective distribution strategy

Client
Leading European energy supplier wishing to launch a Home Services business in 3 major European markets to prepare for market entry after the deregulation has taken place.

Stakes

• Building a strong presence in new markets and create a solid customer base for future market entry on electricity and gas supply ?
• Become n°1 or 2 on the Home Services business on the 3 targeted markets in less than 3 years ?

Approach

• Analyzed the Home Services markets in each of the 3 countries (using our methodology MSCAN®) and highlighted key strategic viewpoints on the evolution of this market in each country
• Reviewed strategic and operational consequences for our client (business model, positioning, channel orientations)
• Identified the most effective sales strategy, optimizing product visibility, presence at key decision moments of end-consumers and ease of access for end-consumers
• Identified the optimal mix of channels (direct, distance, retail, partnerships installers, OEM, property managers, specialised distributors)
• Evaluated the sales potential and level of investment per channel
• Prioritized channels for implementation with a 3-year deployment plan
• Prepared the implementation plan with our client and supplied experts to accompany client teams in acquisition of local players, in setting up own agencies, in contacting partners & distributors, in negotiating the listing and business agreements….

Result
At the end of the 2nd year, our client had developed a strong presence in the 3 key markets, based on a multi-channel strategy fully adapted to each of the 3 markets.
In Year 3, our client's business increased by 65%, its Home Services brand awareness was rated 2nd in 2 markets and 1st in the 3rd one and it was the leading operator in 2 of the 3 markets

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