CASE STUDY
Slump to growth: Turning a commodity enterprise service into exponential revenue surge, paving the way to Exit
Company
HQ
USA, Germany
SIZE
Large enterprise
INDUSTRIES
Technology,Telecommunications
VALUE CREATION
Customer acquisition, Customer lifetime value, Exit planning, Pricing, Product market fit, Technology & process, Value planning
INVESTOR
Private equity
What they wanted
This business was stuck selling a commodity service to enterprise clients. It struggled to differentiate itself, resulting in margin erosion and a significant slump in growth. The goal was to revitalise its underperforming sales organisation, drive revenue growth and attract increased M&A interest.
What we did
- Transformed the commercial strategy away from content and media providers toward a lucrative focus on enterprise, including finance and banking;
- Built growth through acquisition and development of new technologies and services; including System and Method for Intelligent Routeback (patented), which initiated new business growth from a saturated customer base;
- Delivered change management initiatives and innovations to improve gross margin and efficiencies;
- Developed a reseller model to support net-new business through partners and peering agreements;
- Built a GTM strategy and operating plan for a globalised telco business unit to deliver $1bn by 2020 (18% CAGR 5yr period).
What was achieved
- Grew annual recurring revenue (ARR) from $40 million to $350 million.
- Improved net margin by 6-10% per annum.
- Successfully underwent three mergers and acquisitions (M&As) within a span of four years.