Sector: Food & Beverage: Wine
Client: India's second largest wine company, a recent merger of two market leaders, with 15% market share, but no profits.
Promoter's Dream: To double market share within one year, and grow value 10 times in 5 years through sustained, profitable, growth.
The Avenues of Opportunity Recommended by OPENMIND
Become the World's Leader: The client may be a distant number two in India, but internationally it is more competitive. In fact, it markets the best selling Indian wine in France, and who knows wine better than the French? OPENMIND recommended that the client focus significant resources on building a position as the world's best selling brand of Indian wine. By capturing this elite positioning the client can greatly increase export sales, enhance its domestic image, and uncover an opportunity for sustained, profitable growth.
Be Single Minded: While the client has a large array of wine brands with modest market share, its major competitor has built a huge market share for a single brand. OPENMIND MD, Mr. Richard Rothman recommended that the client be similarly focused and single minded, and unite its quality portfolio under its strongest brand name. By concentrating its limited resources to build one strong brand, the client can discover a tremendous opportunity for sustained, profitable growth.
Capture "Best" Positioning: The client’s wine is of such high quality that the French prefer it. In contrast, its main domestic competitor has only average quality. OPENMIND MD, Mr. Richard Rothman recommended that the client monetize this quality advantage, by positioning itself only against imported wines, with pricing higher than its Indian competitors. By building its reputation as the "best Indian wine" the client will recover an opportunity for sustained, profitable growth.
Actions Taken: The client enthusiastically accepted the OPENMIND recommendations and is now into the implementation phase. There was promoter and top management involvement in the entire process and decision-making.
The OPENMIND Advantage
Industry: The wine industry is projected to grow at a Compounded Annual Growth Rate of 25-30% over the next five years.
Client: The client is well on track to grow at over 50% CAGR for the same period following the execution of OPENMIND recommendations.