Shifting customer base to drive profitability.
Textile Manufacturing
Problem
The Client is a textiles business that became a multi-million-dollar company thanks to savvy instincts, hard work, and favorable market factors. When those early tailwinds subsided, however, the team realized that what gets a business to Point A won’t necessarily be what’s needed to take it to Point B. That’s where Compass came in.
Solution
Following our strategic plan, the client segmented their customer base to replace less profitable with more lucrative segments, then penetrated those markets for optimal growth. Additionally, we ditched sole reliance on word-of-mouth marketing and brought in a multi-pronged sales strategy to reverse a declining sales trend. Compass Equity helped the client develop a structured product roadmap to ensure new products – that would resonate with customers – were regularly released.
Outcomes
Through our partnership, our client decreased reliance on their least profitable customer base, shifting sales to a more profitable segment. By opening several new sales channels and releasing new products, the company has continued to grow despite the meaningful economic headwinds of the last two years.
Successfully opened several new sales channels to jump start revenue growth
Shifted sales toward a more profitable and less concentrated customer base
Enhanced standardized data-driven pricing processes to grow revenue