Product Development in a Mature Market
A leading industrial equipment manufacturer
Senior leadership at our client was considering exiting the market for a product line that had consistently failed to achieve its financial targets and was languishing well behind a dominant leader in a mature market. The product category was not expected to grow, so the only way to achieve the required volume and profitability targets was to take share away from the established leader. RSG worked closely with the product line marketing and engineering leadership to understand customer needs, prioritize opportunities and set the requirements for the “next generation” product. An additional critical component of the engagement was a heavy emphasis on identifying product improvements that went beyond just addressing customer needs to representing compelling value that would actually lead customers of the market leader to switch over to our client. RSG’s work was instrumental in the foundation for improvements in both the product design and targeting of higher potential segments that resulted in the transformation of this product from a likely downsizing casualty into a profitable and successful line that has realized considerable market share gains and established itself as a serious threat to the traditional leader.