Our side-by-side™ style of working with our clients supports you in achieving real change.
With many years’ experience across a wide range of industries and in the service sector, our consultants are experts in the latest thinking and best practices in marketing & sales. Our services cover:
- Commercial Excellence
- Pricing & Bundling
- Customer Experience
- Customer Relationship Management
- Sales-Force Efficiency
- Market-Space Innovation
- Low-Income Consumer Strategy
- As behaviors are changing, future customers will decide when, where and how they interact across online and physical channels: the need to provide a seamless experience from web to physical point of sales, and to close the gaps in processes to ensure consistency. Companies need to improve the experience in shops towards customer centricity to foster a lifetime customer relationship. It is now time to put more focus on how to get the right mindset and behavior change in a consistent way across the network (initial focus on the most influential touch points: Welcome, Choose and Purchase). We are now at a tipping point. To overcome the challenge and be fast to market, corporates, MSCs and retailers must work together as one team, find the best way to align messages and reach out consistently to the frontline.
- Arthur D. Little’s approach consists of setting up a customer-centric “Mindset & Behavior” program and implementing practices through a pull approach. It is specifically designed for targets such as the CEO, chief commercial officer, and chief customer officer, and fits best for international groups. Our value proposition can be applied for both B2B and B2C companies from all sectors.
Pricing & bundling
- Pricing is the most powerful lever for profitability in saturated markets, and it is too often underestimated. Managers often have insufficient customer insight and competitive information, and limited understanding of customers’ willingness to pay. In order to make systematically better pricing decisions, both an overall pricing policy and a product-specific price optimization approach are needed.
- Arthur D. Little formulates a pricing and bundling strategy based on client feedback and a solid quantitative approach. We have proven concepts in the area of pricing, and long experience in a large number of industries of finding best practice, as well as innovative and successful pricing schemes. Our methodology relies on 4 key levers to unlock the hidden value of customers in mature markets: network bias, product/service portfolio fine-tuning, price/discount optimization and value-based bundling.
- In the context of digitalization and commoditization, customer experience is at the top of CEOs’ agendas. Today, differentiation from competitors by just delivering a failure-free customer journey across all touch points is not enough anymore. Companies need to take customer-experience management (CEx) to the next level and surprise customers with outstanding “wow effects”. Companies are facing the “digitalization challenge”, but they observe that their customers are ahead. Multichannel offerings and services have already become the new norm. Brands are getting “experiential” – from product to experience. Companies suffer from an increasing need for differentiation (vs. market commoditization). Legacy organization is not client centric, with its industrial/technical culture and lack of data and information. Companies fear investing in a “intangible” approach such as CEX… with limited understanding of potential benefits and ROI.
- Arthur D. Little showcases a methodology to design such effects of high appreciation and positive astonishment, by the implementation of a service innovation process that ties the customer’s emotional response to a product or service. Arthur D. Little relies on a holistic approach combining soft and hard differentiators to build a unique referential based on technical aspects (digitalization/process/technical enablers), along with culture change and customer-centricity promotion. We have developed a systematic 3-step approach for CEX projects:
- Quantitative and qualitative diagnosis, to assess company CEX performance and maturity and identify superior CEX levers
- Ambition and target strategy, to design a CEX vision and client promise and derive soft and hard enablers
- Roadmap & change program, to develop an action plan and quick-start company transformation
Customer relationship management (CRM)
- Many companies fail to maximize their growth because they are not managing their customer bases in a good way. The customer base is the most valuable asset of any company. Customers are becoming more professional in their purchasing functions and increasingly building up their own information databases before making informed decisions on their purchasing requirements. This has resulted in the disruption of traditional marketing channels. The traditional marketing channels have been, to a large extent, replaced by the Internet and other alternatives that are rich in information. Furthermore, as competitors learn to interpret the flood of customer-behavior data to create true market-of-one customization, the warfare to acquire, retain, and develop customers continues to intensify.
- Arthur D. Little can help you by outlining how to build and implement powerful new customer management and marketing systems.
Traditional ways of leveraging the sales force are being widely challenged. Changing customer behavior, re-regulations and the Internet are either "friends or foes" for any sales manager or rep – opportunities are large, while at the same time, risks are high. The ever-green balance between capitalizing on current customers and winning new customers is at stake – path dependence is no longer sufficient; recalibration is required.
Arthur D. Little has a profound track record working with organizations with improvement programs focused on sales-force efficiency in a variety of industries, from retail to telecom operators to big pharmaceuticals.
Market-space innovation (MSI)
- Companies competing in mature markets are always trying to generate new sources of profitable growth. General Electric, IBM, Caterpillar and Ericsson are all well-known examples. Trying to increase market share by cutting prices rarely translates into success. Market-space innovation (MSI) offers a viable alternative – if well performed. MSI is about increasing customer share and geographical market-segment shares by augmenting products, extended service offerings and solutions in an efficient and effective way. Important lessons to be learned about market-space innovation include:
- Ignore the service component of your business at your own peril. “Service or no service?” is not the question. If you don't take initiatives in market-space innovation, someone else will, gaining at your expense.
- Innovate, don’t imitate. You must develop business solutions that are both differentiating and profitable on a sustainable basis. Imitation will not take you there.
- Focus on opportunities to redefine the name of the game in the value chain connecting you and your customer.
- Protect and lock in your market-space innovations and prevent copying by a competitor.
- Arthur D. Little has worked with numerous clients on MSI topics, and has a vast database of past successes and failures from surveys that can be drawn on.
Low-income consumer strategy
- With growth opportunities becoming more difficult to find in what are often referred to as developed countries, organizations are trying to explore growth in low-income regions.
- However, selling old products, which is the conventional model, does not work very well, as consumers in low-income regions have different needs than consumers in high-income regions.
- Arthur D. Little knows what it takes to be successful in environments with low-income consumers, and can help companies take advantage of these large and often fast-growing markets. Serving low-income consumers profitably can be a great challenge, but is an achievable task with great profit potential.