How would you go about structuring a case like this one, that is quite broad with limited quantitative data without being too generic ?
Case Prompt : Our client produces and sells leather products, namely leather bags and leather shoes. Our client has a mid-premium positioning and is market leader on this segment. He wants us to help him grow his revenue.
Additional data provided upon asking : Our client is present only in one country (assume USA), sells through his own shops. A typical shop is 200sqm with 80sqm dedicated to bags and 120sqm dedicated to shoes. No target number.
My initial structure was the following :
- Inorganic growth
- Horizontal M&A (Acquiring other shops from competitors)
- Vertical M&A (Acquiring upstream in the leather value chain)
- Organic growth
- Improve pricing (can we raise prices?)
- Improve sales through marketing, promotion, etc
- Launch new products (other leather products, accessories..) and higher-end / lower-end product lines
- Find new clients (other segments, other distribution channels eg. dept. stores or online, geographic expansion eg. other countries)
However, I realize in hindsight this structure is quite generic for a growth problem and therefore probably not a very good one. Another problem is that I also didn't really know where to start.
How can I make it better ? Does it make sense to go through a kind of an issue tree (Revenue branch of a profitability framework ?) before thinking about ways to grow the revenue ? Should I ask more questions (which ones?) ?
Thank you !