5-year full potential strategy for a luxury brand
For a PE-backed global luxury brand, developed a 5-year growth plan in preparation for a successful sale.
Following a turnaround, this rigorously prepared plan defined and validated the company’s growth strategy and full potential in Europe, the US and Asia. Developed in a highly collaborative process with management, the PE firm and bankers, the vision for success was grounded and aligned, leading to a broad range of buyers and an attractive valuation.
This luxury homewares brand had completed a successful turnaround under the current PE ownership, and the time was right to sell the asset to a strategic buyer who would continue to drive its growth. In preparation for a potential transaction, the PE backers and CEO wanted to articulate their full potential strategy, which would be the basis of the IM and future growth story.
The strategy would define, quantify and validate a number of hypotheses on growth areas. It needed to be robust and fully owned by management.
We designed an approach that would combine rigour, speed, and collaboration with the management team, PE firm, and the bankers who would lead the sale.
Our work, over eight weeks, spanned extensive internal and external (customer and expert) interviews, an international customer survey, and analysis of market and financial data across all distribution channels (D2C, wholesale, hospitality). Working collaboratively with management and functional teams ensured alignment on achievable growth targets. This culminated in a detailed 5-year financial model, a clearly articulated growth strategy, and an actionable plan to deliver it.
The new shared vision energised the whole team and Board – it laid out a clear and validated path to accelerate the expansion of the business over the next 5 years, including developing the existing retail footprint, growing the D2C business and defining a roadmap for geographical and adjacencies expansion.
Management entered the sales process with confidence about the business’s ambitious growth targets, and this led to broad interest in the company, an attractive valuation, and a successful sale.