Client: Multinational Hotels Operator
Service: Customer Intelligence, Loss Analysis
Geography: Germany, France, Spain, UK
Problem & Objective
Our client wanted to understand why it was losing 85% of the prospective deals for its managed service proposition, while its franchise operation was otherwise performing well.
Research Challenge
The Intelligence was needed for a strategic review process and the client’s timeline was tight. With the client’s assistance we identified 20 investors and approached the first set openly naming our client. We found these investors to be guarded, their responses rather superficial and time was running out.
The Resolution
We quickly reviewed our methodology and devised a fresh approach. This did not mention our client’s name and took a less direct approach to encourage the investors to speak openly about why our client had lost their managed service bids.
The new approach worked. We elicited the critical insight that our client’s proposition was not aligned with investors’ most important decision criteria. Notably, investors focused on specific cost-lines where our client was perceived to be too expensive and to offer poor ROI. Investors also perceived our client’s sales teams to be competent but lacking the flexibility to push through deals.
The Result
Intelligentsia’s Loss Analysis was considered to be so valuable that it was passed in its entirety to our client’s global board of directors. The client completely reorganised its value proposition to align with investors decision criteria; it gave greater flexibility to its Sales teams and its loss rate for managed service deals over 12 months fell from 85% to 27%.
