Mcilvaine Insights

 

No. 176   October 12, 2021


 

Most Profitable Market Program for High Performance Air, Water, and Combustion Product Suppliers

A new approach is recommended to maximize profits for suppliers of high performance air, water, and combustion products.

The benefits of the MPM program are substantial.

Parameter

Conventional

MPM

Revenues $ billions

300

345

EBITA %

15

30

Strategy

Top down

Bottoms up

TAM Forecasts

General

Specific

Niche Forecasts

Lacking

Extensive

Total Cost Factors in Each Niche

Peripheral

Foundation of Strategy

Customer Pursuit

Sales Leads

EBITDA Ranking

Understanding of Customer Processes

Inadequate

Extensive

Leveraging Available Knowledge

Unfocused

Organized

Competitor Intelligence

Opportunistic

Extensive

 

The goal is to increase revenue and profits by increasing EIBITDA from 15% to 30%.

This is accomplished by understanding each customer’s production niche and developing products which reduce cost of ownership.

The validation of product superiority is accomplished by leveraging the available knowledge and communications routes. With this approach it becomes as easy to buy the new and better product as the familiar one.

Details on this program are shown at: http://home.mcilvainecompany.com/images/Most_Profitable_Market_Program.pdf

A video explanation of this new program is available on YouTube.

A power point presentation is displayed at: http://home.mcilvainecompany.com/images/Most_Profitable_Market_Program.pdf