Location via proxy:   [ UP ]  
[Report a bug]   [Manage cookies]                
SlideShare a Scribd company logo

Research report sample - Strategy formulation exercise

•Download as PPTX, PDF•
•
Aditya Dashora
Aditya Dashora

An example of market research report - This report is a work of fiction and provides an example of strategy formation exercise through market research, industry analysis and competitive positioning.

1 of 15
Project Target2020 A research report submitted toTTTTelecom Ltd. Date: Jan 16th 2017
THE CONTENT PRESENTED IN THIS SLIDE DECK IS A WORK OF FICTION AND MAINLY BASED ON MY LEARNINGS FROM PARTICIPATING IN DIFFERENT FORUMS, WEBINARS, INTERACTIONS AND EXPERT DISCUSSIONS. THE IDEAS PRESENTED HERE ARE MY PERSONAL VIEWPOINTS AND DO NOT REPRESENT VIEWS OF ANY ORGANIZATION OR ENTITY.
Content • Introduction Background and Context Our Approach • Research Report PESTAnalysis Telecom Industry Analysis Competitive Positioning Key outcomes • Strategic Roadmap Strategic Choices SWOT/SCOTAnalysis Roadmap
Target2020 © Conceptualized and developed by Aditya Dashora Background and Context TTT Telecom leadership had recently launched a strategic initiative named Target2020. Focus of this initiative is to introduce new VAS product offerings and identify growth opportunities in emerging markets Target2020 project will be delivered in 3 phases  Phase 1 - Market Research and Strategic Analysis  Phase 2 – Developing Market Platform Plan  Phase 3 – Go To Market As part of Target2020 Phase-1, XXX Consulting LLP was invited to conduct a detailed research and provide a strategic analysis report. The report must provide:  Telecom Industry Analysis and Growth Perspective  TTT Telecom’s Competitive Analysis  Strategic Roadmap for TTT Telecom TTT Telecom is one of largest telecom providers based out of India. With current market capitalization of USD 20bn and last 5 years’ CAGR of 10%, TTT Telecom has shown tremendous potential to regain its market leading position. TTT Telecom and XXX Consulting share a long standing relationship. XXX has been privileged to provide strategy consulting and transformation services to TTT Telecom for more then 10 years. 4
Target2020 © Conceptualized and developed by Aditya Dashora Our approach We would like to thank TTT Telecom for providing this opportunity.  With its distinct telecom domain expertise, XXX Consulting is in unique position to support TTT in the journey of Target2020 initiative. Our approach consisted of two parallel tracks:  Industry analysis and growth market strategy  Company analysis and SWOT analysis of VAS offerings The outcomes of both the tracks were intermingled to validate the analysis. This report presents a summary of our findings, strategic choices and a high level strategic roadmap 5
RESEARCH REPORT PEST ANALYSIS INDUSTRY ANALYSIS TTT’S COMPETITIVE POSITION OUTCOMES
Target2020 © Conceptualized and developed by Aditya Dashora PEST Analysis for Telecom Industry Positives (+) Government’s inclination towards technology Large subscriber base with high average ARPU in urban centers Increasing ‘demand’ due to internet and social media adoption Affordable smartphones Negatives (-) No negatives from PEST analysis Political • Governmental inclination for technology and digitization • Desire for end to end internet connectivity • E-Governance initiatives • Digital economy and cashless society Economical • Sustain GDP and per-capita growth • High disposable income in urban centers • New taxation laws • Growth of ‘e-commerce’ sector Social • Large internet user base • Quick adoption of social media and e-commerce • Improved literacy rate in the country • Narrowing information gap between Gen Z and Millennials Technological • Affordable smartphone devices • Rapid adoption of POS, card based payment, digital wallet etc. Key Observations 7
Target2020 © Conceptualized and developed by Aditya Dashora - Not easy to enter into the traditional telecom sector due to strict regulatory requirements - Strong industry rivalry - Around 14+ providers of telecom services across India but most of them operate in very few circuit - With a limited growth in last few years, consolidation is bound to happen - New growth opportunities will emerge from rural/sub- urban markets mainly due to rapidly increasing data consumption - Common telco suppliers are tower providers, network infra providers, chip manufacturers, software vendors, IT/BPO service providers etc. - There is very limited possibility of supplier’s forward integration in telco domain - Supplier switching cost from telco’s perspective is not significant - Telcos are large customers of their supplier therefore the bargaining power is limited - Holistically, telecom industry has negligible threat of substitute - However, increase of VOIP providers may cannibalize the traditional voice products - Buyer’s command a significant bargaining power in Telco industry. Having a large number of players certainly raises buyer’s power - There is very low switching cost as far as buyer’s are concerned - Telco’s must focus on there service offerings and VAS products to remain attractive in competitive market Telecom Industry Analysis using Porter’s Five Forces Telecom Industry 1. Threat of Entrant 2. Threat of Substitute 3. Buyer's bargaining power 4. Supplier's bargaining power 5. Industry Rivalry Telecom industry is still one of the most attractive industries. With the current mobile subscriber base of more then 900 mn and rapid growth in smartphone market, Telecom industry has a great opportunity ahead. However, recent slowdown in growth is an indication of saturation due to large number of players focusing on a smaller segment of urban user base. S W W S W WS Strong Weak Legend 8
Target2020 © Conceptualized and developed by Aditya Dashora TTT Telecom’s Competitive Positioning RESOURCE BASED VIEW OF TTT TELECOM KEY OBSERVATIONS TTT Telecom has been able to grow its operations in PAN India network with a strong partner ecosystem and sufficient spectrum licenses Considering the next growth wave of telecom industry, TTT must consider transforming its technology platform using a mix of software-hardware infra TTT must focus on creating verity/choices in its core and VAS service offerings to remain attractive in emerging markets We used ”Resource Based View” analysis for determining competitive positioning of TTT Telecom. We determined all the resources and capabilities that TTT currently has and plotted them on a 2x2 matrix of ‘relative strength’ and ‘strategic importance’. Clearly, TTT needs to attack towards its ’key weaknesses’ to regain its lost market position 9
Target2020 © Conceptualized and developed by Aditya Dashora Key Outcomes of the research •Next growth wave of telecom industry is expected in the emerging markets which predominantly tier-3 cities and small towns Telecom industry attractiveness is ‘high’ •Having a strong PAN India partner network is certainly advantageous for TTT to support in future market growth So far, TTT's focus has been on topline growth through network expansion and partner ecosystem •TTT should consider designing new VAS services to attract customer base in the growth markets TTT must venture into the growth markets to regain its lost market share, •TTT should also focus on platform modernization which may include software/hardware upgrade and automation Platform modernization and automation is critical for future growth Below is the list of key outcomes of ‘industry analysis’ and ‘competitive positioning analysis’ for TTT Telecom. These outcomes will be further considered for determining strategic choices for TTT Telecom. 10
STRATEGIC ROADMAP STRATEGIC CHOICES SCOT ANALYSISOF SELECTED OPTION ROADMAP
Target2020 © Conceptualized and developed by Aditya Dashora Strategic choices for TTT Telecom Based on the analysis outcomes, we are able to put together three strategic choices to help TTT embark on the journey of gaining its lost market share. TTT’s leadership team has decided to go with Option 2 - New VAS Offerings & Focus on growth market •Pros •No additional investment •Low opportunity cost •Cons •Risk of further loosing market share •High Option 1- Do Nothing •Pros •Access to new markets •Projected revenue growth of 2- 3% •Expected ARPU growth by increasing user base •Cons •Sizable upfront investment Option 2 - New VAS Offerings & Focus on growth market •Pros •Moderate investment and high value •Future ready platform for growth •Cost avoidance potential by automation •Cons •No immediate topline growth opportunity Option 3 - Platform Modernization 12 ✔
Target2020 © Conceptualized and developed by Aditya Dashora SCOT Analysis of selected option Strengths Existing distributor and partner network Low subscriber churn Available spectrum Skilled human capital Challenges Creating innovative VAS offerings Deep market research to access new market Competitive environment Recent decline in revenue growth Weak current VAS offering Opportunities Easy access to new subscriber base Projected revenue growth of 2-3% Expected ARPU growth by increasing user base Early access to new markets Threat Risk of further revenue decline New players with competitive pricing Weaker technology platform TTT leadership has chooses to go with option 2 – ‘New VAS Offerings & Focus on growth market’ . We have conducted a SWOT/SCOT analysis of the selection option. The outcomes of this analysis are used further for preparing a strategic roadmap for TTT Telecom 13
Target2020 © Conceptualized and developed by Aditya Dashora Strategic Roadmap for TTT Telecom 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Goals New VAS Offerings Creation Access to new market Planning Marketin g R&D Growth in the new market Prepare a detailed plan for creating new offering Marketing campaign for new VAS offerings Market research for growth market New Offering Development 15% Market Share in the new market Large new subscriber bsae Ongoing refinement of new VAS offerings to align with the market needs Prepare market attack plan for new offerings Prepare market entry strategy for new markets Marketing campaign for growth market Marketing strategy for new VAS offerings 14
Thank You Aditya Dashora M: +91-88615-33211 E: adydashora@gmail.com L: https://in.linkedin.com/in/adityadashora

More Related Content

Research report sample - Strategy formulation exercise

  • 1. Project Target2020 A research report submitted toTTTTelecom Ltd. Date: Jan 16th 2017
  • 2. THE CONTENT PRESENTED IN THIS SLIDE DECK IS A WORK OF FICTION AND MAINLY BASED ON MY LEARNINGS FROM PARTICIPATING IN DIFFERENT FORUMS, WEBINARS, INTERACTIONS AND EXPERT DISCUSSIONS. THE IDEAS PRESENTED HERE ARE MY PERSONAL VIEWPOINTS AND DO NOT REPRESENT VIEWS OF ANY ORGANIZATION OR ENTITY.
  • 3. Content • Introduction Background and Context Our Approach • Research Report PESTAnalysis Telecom Industry Analysis Competitive Positioning Key outcomes • Strategic Roadmap Strategic Choices SWOT/SCOTAnalysis Roadmap
  • 4. Target2020 © Conceptualized and developed by Aditya Dashora Background and Context TTT Telecom leadership had recently launched a strategic initiative named Target2020. Focus of this initiative is to introduce new VAS product offerings and identify growth opportunities in emerging markets Target2020 project will be delivered in 3 phases  Phase 1 - Market Research and Strategic Analysis  Phase 2 – Developing Market Platform Plan  Phase 3 – Go To Market As part of Target2020 Phase-1, XXX Consulting LLP was invited to conduct a detailed research and provide a strategic analysis report. The report must provide:  Telecom Industry Analysis and Growth Perspective  TTT Telecom’s Competitive Analysis  Strategic Roadmap for TTT Telecom TTT Telecom is one of largest telecom providers based out of India. With current market capitalization of USD 20bn and last 5 years’ CAGR of 10%, TTT Telecom has shown tremendous potential to regain its market leading position. TTT Telecom and XXX Consulting share a long standing relationship. XXX has been privileged to provide strategy consulting and transformation services to TTT Telecom for more then 10 years. 4
  • 5. Target2020 © Conceptualized and developed by Aditya Dashora Our approach We would like to thank TTT Telecom for providing this opportunity.  With its distinct telecom domain expertise, XXX Consulting is in unique position to support TTT in the journey of Target2020 initiative. Our approach consisted of two parallel tracks:  Industry analysis and growth market strategy  Company analysis and SWOT analysis of VAS offerings The outcomes of both the tracks were intermingled to validate the analysis. This report presents a summary of our findings, strategic choices and a high level strategic roadmap 5
  • 7. Target2020 © Conceptualized and developed by Aditya Dashora PEST Analysis for Telecom Industry Positives (+) Government’s inclination towards technology Large subscriber base with high average ARPU in urban centers Increasing ‘demand’ due to internet and social media adoption Affordable smartphones Negatives (-) No negatives from PEST analysis Political • Governmental inclination for technology and digitization • Desire for end to end internet connectivity • E-Governance initiatives • Digital economy and cashless society Economical • Sustain GDP and per-capita growth • High disposable income in urban centers • New taxation laws • Growth of ‘e-commerce’ sector Social • Large internet user base • Quick adoption of social media and e-commerce • Improved literacy rate in the country • Narrowing information gap between Gen Z and Millennials Technological • Affordable smartphone devices • Rapid adoption of POS, card based payment, digital wallet etc. Key Observations 7
  • 8. Target2020 © Conceptualized and developed by Aditya Dashora - Not easy to enter into the traditional telecom sector due to strict regulatory requirements - Strong industry rivalry - Around 14+ providers of telecom services across India but most of them operate in very few circuit - With a limited growth in last few years, consolidation is bound to happen - New growth opportunities will emerge from rural/sub- urban markets mainly due to rapidly increasing data consumption - Common telco suppliers are tower providers, network infra providers, chip manufacturers, software vendors, IT/BPO service providers etc. - There is very limited possibility of supplier’s forward integration in telco domain - Supplier switching cost from telco’s perspective is not significant - Telcos are large customers of their supplier therefore the bargaining power is limited - Holistically, telecom industry has negligible threat of substitute - However, increase of VOIP providers may cannibalize the traditional voice products - Buyer’s command a significant bargaining power in Telco industry. Having a large number of players certainly raises buyer’s power - There is very low switching cost as far as buyer’s are concerned - Telco’s must focus on there service offerings and VAS products to remain attractive in competitive market Telecom Industry Analysis using Porter’s Five Forces Telecom Industry 1. Threat of Entrant 2. Threat of Substitute 3. Buyer's bargaining power 4. Supplier's bargaining power 5. Industry Rivalry Telecom industry is still one of the most attractive industries. With the current mobile subscriber base of more then 900 mn and rapid growth in smartphone market, Telecom industry has a great opportunity ahead. However, recent slowdown in growth is an indication of saturation due to large number of players focusing on a smaller segment of urban user base. S W W S W WS Strong Weak Legend 8
  • 9. Target2020 © Conceptualized and developed by Aditya Dashora TTT Telecom’s Competitive Positioning RESOURCE BASED VIEW OF TTT TELECOM KEY OBSERVATIONS TTT Telecom has been able to grow its operations in PAN India network with a strong partner ecosystem and sufficient spectrum licenses Considering the next growth wave of telecom industry, TTT must consider transforming its technology platform using a mix of software-hardware infra TTT must focus on creating verity/choices in its core and VAS service offerings to remain attractive in emerging markets We used ”Resource Based View” analysis for determining competitive positioning of TTT Telecom. We determined all the resources and capabilities that TTT currently has and plotted them on a 2x2 matrix of ‘relative strength’ and ‘strategic importance’. Clearly, TTT needs to attack towards its ’key weaknesses’ to regain its lost market position 9
  • 10. Target2020 © Conceptualized and developed by Aditya Dashora Key Outcomes of the research •Next growth wave of telecom industry is expected in the emerging markets which predominantly tier-3 cities and small towns Telecom industry attractiveness is ‘high’ •Having a strong PAN India partner network is certainly advantageous for TTT to support in future market growth So far, TTT's focus has been on topline growth through network expansion and partner ecosystem •TTT should consider designing new VAS services to attract customer base in the growth markets TTT must venture into the growth markets to regain its lost market share, •TTT should also focus on platform modernization which may include software/hardware upgrade and automation Platform modernization and automation is critical for future growth Below is the list of key outcomes of ‘industry analysis’ and ‘competitive positioning analysis’ for TTT Telecom. These outcomes will be further considered for determining strategic choices for TTT Telecom. 10
  • 12. Target2020 © Conceptualized and developed by Aditya Dashora Strategic choices for TTT Telecom Based on the analysis outcomes, we are able to put together three strategic choices to help TTT embark on the journey of gaining its lost market share. TTT’s leadership team has decided to go with Option 2 - New VAS Offerings & Focus on growth market •Pros •No additional investment •Low opportunity cost •Cons •Risk of further loosing market share •High Option 1- Do Nothing •Pros •Access to new markets •Projected revenue growth of 2- 3% •Expected ARPU growth by increasing user base •Cons •Sizable upfront investment Option 2 - New VAS Offerings & Focus on growth market •Pros •Moderate investment and high value •Future ready platform for growth •Cost avoidance potential by automation •Cons •No immediate topline growth opportunity Option 3 - Platform Modernization 12 ✔
  • 13. Target2020 © Conceptualized and developed by Aditya Dashora SCOT Analysis of selected option Strengths Existing distributor and partner network Low subscriber churn Available spectrum Skilled human capital Challenges Creating innovative VAS offerings Deep market research to access new market Competitive environment Recent decline in revenue growth Weak current VAS offering Opportunities Easy access to new subscriber base Projected revenue growth of 2-3% Expected ARPU growth by increasing user base Early access to new markets Threat Risk of further revenue decline New players with competitive pricing Weaker technology platform TTT leadership has chooses to go with option 2 – ‘New VAS Offerings & Focus on growth market’ . We have conducted a SWOT/SCOT analysis of the selection option. The outcomes of this analysis are used further for preparing a strategic roadmap for TTT Telecom 13
  • 14. Target2020 © Conceptualized and developed by Aditya Dashora Strategic Roadmap for TTT Telecom 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Goals New VAS Offerings Creation Access to new market Planning Marketin g R&D Growth in the new market Prepare a detailed plan for creating new offering Marketing campaign for new VAS offerings Market research for growth market New Offering Development 15% Market Share in the new market Large new subscriber bsae Ongoing refinement of new VAS offerings to align with the market needs Prepare market attack plan for new offerings Prepare market entry strategy for new markets Marketing campaign for growth market Marketing strategy for new VAS offerings 14
  • 15. Thank You Aditya Dashora M: +91-88615-33211 E: adydashora@gmail.com L: https://in.linkedin.com/in/adityadashora