Growth Strategies
CHALLENGE
The client’s business was currently loosing millions per year due to declining advertising revenue and huge levels of complexity in the business. It was operating in multiple channels from Europe and the US. Each had its own idiosyncrasies and consumer preferences for media consumption. Many times, this expansion happened via opportunistic partnerships. Given that context, a key role for AGT was injecting a disciplined, analytical view of growth adjacencies, where the theoretical adjacency-expansion opportunities were almost unlimited.
SOLUTION
AGT assessed and quantified the media landscape, advertising revenues, trends, competitors, and growth rates. Based on the analysis, and the current position of the business, we developed a series of strategic alternatives, with a range of potential outcomes and differing capital requirements. We assessed how well the current operating model supported the strategic options. After aligning the growth plan, we specified some changes required to execute on the plan. In 3 years span, the business has reversed its fortunes to be once again profitable. Revenues are up in TV, Radio, and Events—since launching the strategy, digital ad revenues grew more than 50%. The business has also successfully moved to a new operating model, a multiplatform ad proposition with content at the core, which is driving sales and focusing the business on customers