Procurement has been traditionally viewed as a backroom function, but its practitioners are eventually discovering the light of day. Although procurement includes platforms such as software-as-a-service and platform-as-a-service, the procurement-as-a-service platform is still in a very nascent stage. The services rendered under procurement-as-a-service comprise of business process outsourcing (BPO), KPO, supplier management, quality and auditing services, content/information services, network services, and intelligence services.
Corporate procurement services is a lucrative market which is primarily dominated by the software bigwigs like Oracle Corp. and Salesforce.com. With the rapid adoption of online purchasing platforms, corporate procurement service providers are making huge profits by providing cloud-based platforms and management services to facilitate online purchases by big organizations. Although the procurement market is quite sophisticated with the presence of numerous service offerings, it is subjected to certain challenges, for instance, finding and qualifying suppliers while meeting high-quality standards and monitoring their performance over time. Our research experts at Infiniti Research provide strategic insights to help category managers initiate spend management activities and enhance the efficiency of procure-to-pay processes.
The Business Challenge
A leading defense technology company was facing certain roadblocks in developing an effective market entry strategy for procurement services and solutions in the US. The company approached Infiniti to understand the current market and competitive landscape for procurement services, market attractiveness for client’s offerings, and identify ideal target market segments. As a part of the market assessment study, the client wanted insights into the overall procurement structure including the key projects, stakeholders, regulations for each target sector (Federal, State, and Commercial). Furthermore, the client also wanted to identify the factors that would enhance its chances of being successful in the market.
Our Research Methodology
To gain an in depth-understanding on the competitive landscape, our market assessment experts carried out exhaustive primary research comprising of 350-400 semi-structured in-depth interviews and discussions with the stakeholders such as business executives, manufacturers, buyers, purchasers, and consultants. Also, our extensive research methodology compiled information derived from the decision makers across the federal, state, municipal, and commercial sectors.
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Our Solution Helped the Client:
- Identify market stakeholders and assess potential growth factors
- Identify the sales opportunities and deploy go-to-market strategies
- Identify and establish relevant contacts and primary source elicitation
Benefits of Our Integrated Approach
After a detailed analysis and comprehensive benchmarking exercise, the company obtained an in-depth understanding of the market potential. In a span of eight weeks, our market assessment team developed a specific market hypothesis and identified the potential stakeholders in the market. We helped the clients understand the competitive landscape, assess and enter new markets, benchmark their strengths, and assess customer needs and satisfaction levels.
Also, the client derived actionable insight into the key competitors, their products, regulatory timelines, and technologies employed. Moreover, the benefits offered to the clients were not only in terms of the revenue impact or analytics turnaround time but also in terms of the experience we were staging for them by exposing them to a new way of problem-solving.