Strategy design for a specialist retailer
Case study:
Strategy design for a specialist retailer
- Situation
- European specialty retailer faced rising competition from discounters, service-led players and suppliers’ direct-to-consumer channels
- Value proposition had become blurred, mixing low-price campaigns with premium services and sending conflicting signals
- Goal was to sharpen strategic positioning and define a clear roadmap to profitable growth
- Actions
- Analyzed market, consumer segments and competitors and benchmarked performance to identify improvement areas and white spaces
- Defined distinct consumer segments with differing needs and clarified where the retailer could credibly win and derived target strategy with clear value proposition
- Translated the strategy into key initiatives and action plans, combining improvements of core retail levers (assortment, pricing, omnichannel offer, supply chain) with new revenue streams (value-added services, retail media, own marketplace, new customer segments)
- Identified divestment options and cost reduction levers to fund the transformation and built a business case and transition scenario
- Results
- Clear strategic target and transition path defined and endorsed by the advisory board
- Strategic initiatives agreed, investment needs and funding sources identified and dedicated teams set up for implementation
- New strategy launched with quick wins to build momentum and a program office installed to drive progress