Providing Assistance to Define a Growth Strategy in the Logistics Space, for a Premier Business House in India
Background and Challenge
The client was part of a large conglomerate that focused predominantly on the liner agency business and was offering other logistics services. However, to tap the growing logistics market and become a significant player, the client wanted to identify growth opportunities that it could focus on in the logistics space.
Approach and Recommendations
To provide assistance to define the growth strategy, UC adopted the following approach:
- Formulated a logistics framework (cargo type vis-a-vis value chain) to landscape the logistics space. Identified distinct business segments based on the framework
- Defined a filtration mechanism using parameters like market size, margins, competitive intensity, etc. to identify attractive and unattractive business segments
- Conducted detailed primary research to profile, validate and triangulate findings on business segments
- Conducted a capability assessment of the client and also determined strengths of the group that can be leveraged. Based on this assessment, determined addressability of attractive business segments
UC gave the client a clear road map indicating which business segments to focus on. We delivered a detailed profile of business segments across the logistics landscape. We also defined a growth strategy for the client with concrete recommendations on the cargo type, immediate business segments, and long term opportunities and opportunities that require an alliance/ acquisition.