Background and challenge
A leading virtualization software vendor needed an objective and comprehensive third-party market assessment in order to facilitate a successful sale. The company needed to demonstrate its market position, differentiation and growth outlook to prospective buyers.
The company enlisted L.E.K. Consulting to conduct a detailed internal and external analysis and develop an objective sell-side diligence report for the sales process.
Approach and recommendations
L.E.K. created a market size assessment of the virtualization software vendor’s core products. We used a combination of primary and secondary research in order to estimate the market sizes. In addition, we leveraged an online quantitative survey to determine projected growth rates in the market and the virtualization software vendor’s expected growth.
In parallel, L.E.K. conducted a comprehensive primary research campaign that focused on speaking with customers and competitors in order to better understand competitive dynamics in the market. We used customer interviews to better define the company’s value proposition and its perception in the marketplace.
Finally, we worked with the company to define the most realistic avenues for growth in the near term. We vetted these growth vectors against primary and secondary research and developed detailed financial models calculating the expected revenue gain from implementing these vectors.
With L.E.K.’s help, the virtualization software vendor was able to provide prospective buyers with an objective sell-side report that provided detailed perspectives on its position and outlook in its core markets.