B2B Software

SaaS – Tech start-up strategy refinement

Challenges for the customer​

  • Two different businesses (same market) under one roof
  • High sales in a labour-intensive, low-margin business segment without scalability
  • Extremely low sales in the actual strategic SaaS business segment (company vision)
  • Limited cash reach and restricted funding capability
B2B Software

Approach & success factors

Based on the proven ‘Strategy Review’, boost4S analysed the company, market, customers and competition. The initial hypotheses were developed based on interviews with the management/founders, relevant executives and selected shareholders as well as company data from a brief due diligence. These hypotheses were then enriched with market and competitor data and validated through numerous expert interviews. The aim was to understand what defensible competitive advantage from the customer’s perspective could be developed based on the start-up’s core strength and assets. A corresponding customer journey, including processes and data, was created and compared for both the company itself and selected relevant competitors.

Various strategic scenarios were developed and discussed in a workshop with the management team: Different variants with organic value enhancement potential, immediate exit and realisation of individual assets.

In the end, 2 scenarios remained, which were worked out in detail with regard to the complexity of implementation, the value generation potential and the corresponding implementation risks. Scenarios and action plans were agreed with the management, discussed in the advisory board and shareholders and the transformation was initiated.

Results

  • Joint strategy definition with management, advisory board and shareholders
  • Strategic decision to focus on the higher-value business segment, including rough planning of necessary steps
  • Development of measures to strengthen the USP for the two major customer groups in the strategic business segment, customer journey and SaaS platform
  • Definition of concrete cost-cutting measures to extend the cash reach
  • Outline of the equity story and the necessary milestones to restore ‘fundability’ mid-term
  • Project results led directly to successful interim funding with the existing investors

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