Getting a Handle on the Small Markets
Services: Market Analysis
Challenge: Our client, a global consultancy required support in some of the hemisphere’s smaller markets as they attempted to size and segment the lubricant market. The challenge to researchers in these countries is the severe lack of published data of any kind combined with the prevalence of a parallel grey market that few understand.
Approach: The first challenge was to size the market, which our analysts did by cross examining trade data with many metrics that drive demand for lubricants such as the number of cars, the size of the electrical generation industry, the shipping sector, etc. In order to accurately segment the market by competitor, sector, product and channel, our team had to conduct dozens of interviews with different channel players who have at least some knowledge of their sub-market or channel and then question repeatedly every estimate until reasonable hypothesis were reached for each data point.
Result: For the first time in many years, the client was able to gain true visibility of the market and properly gauge its own performance vis-à-vis the competition by product category, sector and channel.