Assessed potential of a new channel for welding gas and equipment in Malaysia

Key benefits: Understanding the potential to increase profitability through a new channel concept and the market segments which held greatest opportunities led to a clear channel development strategy, including selection of target segments, marketing mix and retail outlet infrastructure.

Need

An international supplier of welding gases, equipment and consumables operating in Malaysia wanted to reduce its reliance on distributors in order to increase margins, and hence needed to determine the potential for a new retail channel.

Application: Strategic Planning

Geography: Malaysia

Approach

Customer interviews coupled with supply-side insights for market modeling gained by interviewing competitors and distributors. In addition, secondary research was conducted on macro trends.

Methods: Secondary & primary research

Solution

Analysis of existing consumption by products, customer segments and regions. Assessment of demand needs, behavior and acceptance of the new distribution concept. Modeling of macro factors such as customer sector growth and overall economic development.