Article
Designing the next business model before the current one plateaus
How companies can identify new value pools and build business models that combine differentiated customer value with scalable economics.
Consumer markets can shift rapidly as preferences, affordability, channels, technology and cultural behaviour change. Aggregate demand often hides substantial differences across occasions, cohorts and customer groups, while growth can be expensive when acquisition costs, promotions or channel economics are poorly understood. Strong consumer strategy therefore requires more than identifying attractive categories. It demands explicit choices about whom the business is for, which needs and occasions it should address, how value will be differentiated and how the resulting model can capture enough economic value to remain attractive as competition intensifies.
Focus
Strategic Challenges
Strategic Impacts
Observed Patterns
Strategic Challenges
Strategic Impacts
Observed Patterns
POV
Our approach
Our approach starts by examining category structure, consumer segments, demand occasions, competitive alternatives and the economics of acquiring and serving different customers. We identify where needs are important, how choices are made and which factors drive switching, loyalty and willingness to pay. Segment attractiveness is considered alongside acquisition cost, retention, channel economics, price architecture and competitive intensity. We then develop coherent choices across target consumers, value proposition, portfolio, pricing, channels and growth priorities, testing whether the resulting strategy can create both consumer relevance and sustainable economic value.
The data and estimates presented are indicative and intended for illustrative purposes. Actual outcomes may vary based on each company’s specific context, market conditions, operating model, implementation choices, and the quality and consistency of execution, including actions undertaken by the client.
Keypillars
Explore the key pillars that define this capability and shape how we create focused, measurable business impact.
Consumer choices
Segments and demand occasions are evaluated according to need, attractiveness, behaviour and strategic relevance.
Value proposition
Consumer needs, alternatives and willingness to pay define where differentiated value can be created.
Growth economics
Acquisition, retention, pricing and channel economics determine whether consumer growth creates sustainable value.
Strategic Framework
Define category structure, consumer dynamics, competition and the strategic questions shaping the business.
Translate choices into priorities, capability requirements, sequencing and measures for strategic execution.
Align acquisition, retention, channels and economics around a coherent and defensible consumer proposition.
Examine consumer segments, occasions, behaviour, willingness to pay and the drivers of choice and switching.
Determine which categories, segments and demand occasions offer the strongest strategic and economic potential.
Define differentiated consumer value, portfolio logic and pricing around the needs selected for priority.
How we help
We address strategic questions across consumer segmentation, demand, value propositions, pricing, portfolio, channels and growth. Work can include category strategy, segment prioritisation, consumer-value architecture, business-model design, growth strategy and route-to-market choices. We examine how acquisition, retention, switching, affordability and competitive alternatives influence both consumer behaviour and business economics. Strategy can support an existing consumer business, entry into a new category, repositioning of an established offer or the development of a different model for growth.
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Read articleFocus
Corporate positioning becomes strategic when it is designed around stakeholders whose choices materially affect the company's ability to execute.
A strategically attractive move can become economically destructive when the likely reactions of rivals are excluded from the decision.
Strategic challenges
Competitors frequently converge on similar promises because communication evolves faster than the underlying business model or capabilities.
The harder problem is concentrating enough talent and capital behind a limited number of opportunities to generate meaningful evidence.