How a GTM strategy assisted a well-known brand in entering the luggage market and expanding to 5 EMBOs and 10 MBOs in KSA
Background and Challenge
Client’s Background:
- An American luggage manufacturer and retailer, with products ranging from large suitcases to small toiletries bags and briefcases
- The company has leveraged its rich design heritage to create unparalleled products that fulfill the on-the-go lifestyle needs of the business professional.
Challenges Faced by Client:
- Difficulties in shortlisting Distribution Channels: The client wanted to seek an understanding and due diligence framework to shortlist the potential distributors with which they can build a partnership for market penetration. Hence, they contacted Ken Research and Strategy Advisory to identify all such channels to reach out for.
- Insufficient resources for Customer Survey Analysis: In addition, the client wanted to explore customer survey to assess brand recall and customer preference but lacked resources for the same, hence they outsourced this activity to Ken Research.
Luggage Industry at Glance:
- Saudi Arabia Luggage Market is an import-driven market where products are contract manufactured in countries such as China, Vietnam, Brazil, and Bangladesh and are directly imported into the Kingdom.
- As of December, 2022, the Saudi Arabia’s population was estimated to be 36.6 Mn, where the age group of 25-54 accounted for over ~51.0% of the total population; indicating a huge potential for luggage market in the country.
Approach and Recommendations
To perform Market Assessment on Saudi Arabia’s Luggage Market
- Ken collaborated with its client to curate a detailed market assessment and target customer analysis to understand potential for each type of bag categories and distribution channel prevalent in the country.
- In-depth and detailed discussions were carried out with the top decision making authorities.
- These discussions gave the client possible indication to get a know-how of the Luggage Industry in Saudi Arabia.
To conduct a Customer Survey as well as Brand Benchmarking
- The second phase of work focused on carrying out a customer survey to evaluate the customer analysis which highlighted potential Target Audience for the Luggage Industry.
- Deep Dive Brand Benchmarking was done to with the help of customer survey basis customer perception of brands, other parameters and pain points the customers go through in the luggage market.
- The client was able to get clarity on customer survey and brand benchmarking analysis with eminent and noteworthy Primary Research by Ken Research in short span of time duration.
Strategic GTM with Quality Recommendations for Market Opportunities
- After identifying and analyzing the pricing and end user analysis, Ken provided strategic GTM approach to the client for to mark the way forward in Saudi Arabia Luggage Market.
- Ken Research assisted client on the due diligence framework to shortlist the potential distributors with which they can build a partnership for market penetration.
- Key recommendations, sales strategies and success factors highlighting the operations to be consider were also proposed that helped the client to successfully evaluate the price plan and target opportunity in the market.
Result and Conclusion – US Based Luggage Retailer was able to enter in Franchise deal and open 3 Stores in first year in KSA
Thorough Research on Customer-Target Market
Ken Research has done a detailed market assessment and target customer analysis to understand potential for each type of bag categories and distribution channel prevalent in the country
In-depth Competition Assessment and Brand Benchmarking
Competition Assessment in terms of Competition Structure, Major Brands, Share with Revenues, Classification of Players which enable the client to identify the areas of improvements for their products and sales model.
Quality Strategies to be Pitched
Determining Sales Strategies that are prominent in each city including online/MBO/EBOs and recommended strategy for client in each city through GTM helped them to penetrate and establish their brand in the market.
Business Impact
-
10 MBOs
Opened in Saudi Arabia
-
5 EMBOs
Opened in Saudi Arabia