How Go-To-Market strategy and digital transformation helped reinvent an agency in a legacy market
Cerafini, an Italian ceramic tiles distribution agency servicing the African continent, was looking to expand into new markets and pivot to a more competitive business model. By leveraging GravityThink’s expertise in Strategy and Digital Transformation, Cerafini was able to reinvent its business model, digitally transform its user experience, gain market share and increase revenue.
Large construction projects suffer from a slow and complicated procurement process. This often leads to delivery delays and hefty damages.
The Client faced a set of challenges that were hindering its ability to grow and scale:
The first phase of the assignment focused on market research and go-to-market strategy design. Jointly with the client, our team studied the main Customer personas and their specific pain points. We took a close look at how they usually explore, buy and approve the use of ceramic tiles on medium to large construction projects. The supply-side industry structure was also analyzed. GravityThink took a deep dive into how other agencies operated, their pricing practices and their value chain structure.
Following intensive fieldwork and focused management interviews, GravityThink uncovered a niche target audience. This audience of larger enterprise clients, could afford a higher average order value . The team ended up recommending a hybrid product and services model mix to the client. The model offers each persona in the decision-making process, a tailored value proposition.
Our team also helped improve the company’s Communication and messaging strategy. The company changed how it pitched products and services to potential clients. Our team finally recommended an incentive program for architects, the lead decision influencers.
GravityThink also lead the client on a digital transformation effort. We designed a “digital-first” platform, to cut friction at each customer touch-point in the buying journey. The platform serves as a first touchpoint interaction with customers before hand off to the sales team. It allows its users to research and compare different tiles, order tile samples, and request price quotes. Inside the membership area, users can view favorites list, check previous orders and track shipments. We also integrated a complete analytics and marketing-tech stack into the platform. The result: An optimized marketing funnel that captures, tracks and sends qualified leads directly to the back-end CRM.
Backend Process automation
To help Cerafini grow its operations, Gravity Think automated parts of the sales process. Automating the backend sales process from within the CRM system helped cut the procurement cycle by half. The reduced procurement time was one of the leading value propositions communicated to developers and contractors.
Financial Modeling & Pricing Strategy
The team worked with the client to optimize their performance measurement and KPIs. GravityThink built product pricing models that tie back to the company’s financial targets. This allowed the sales team to better understand and approach project pricing.
At the end of the involvement, GravityThink helped the client test the new business model MVP, the potential demand and market traction during a joint business trip to the target market. The feedback received from potential clients exceeded expectations. Clients were ready to severe long relations with their local product distributors in order to get access to the client experience Cerafini was offering. The value of open deals that were qualified during the 15 days testing period was tenfolds the value of yearly open deals in the previous year.