Grow Your Business Sustainably

Case Studies




Logitech Goes Wireless


The Challenge


How would Logitech meet the navigation need of a mobile professional?

Goal
  • Address the customer need by introducing a simple and true wireless solution
  • Lose the cord and shrink the size of a hand-size receiver to a USB dongle for the best usability
  • Create a new platform to allow further business growth via motherboard and keyboard integration

Execution

We’ve created the vision of USB wireless dongle and convinced the engineering team to take the challenge of developing this product

Results

  • Logitech became the first company in the market with wireless USB dongle bundling such modules with notebooks, AIO PCs and desktop systems from tier-1 players such as SONY, NEC, Dell and Lenovo
  • Wireless mouse for notebooks gained momentum in retail market shortly after
  • Within months, Logitech captured a significant market share from competitors and maintained its leadership in both: retail and oem segments

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Turn A Deadly Threat Into A Great Success


The Challenge


What would Logitech do when a “big brand company” suddenly threatens Logitech revenues and market share by reducing prices below product cost?

Goal

  • Immediately stabilize the situation, sustainably increase margin, revenue and volume
  • Design and produce product/product-lines that would serve channel partners and customers’ needs at the right price point without compromising from quality and usability
  • Create a new platform where cost reductions can be faster than the competition and market needs

Execution

  • We immediately formulated highly sophisticated strategies and immediately executed them. 
  • We simplified business processes and reduced product development cycles by 30%
  • Shifted the pricing responsibilities from sales department to product marketing taking control of price erosion
  • We re-negotiated key component pricing with vendors after sharing the strategy and implementation plan making it clear to them how they would benefit from our success
  • We introduced modularity to take advantage of economies of scale
  • Improved the quality expectations on these products while creating detailed specs where PC-OEM companies would adopt as a new industry standard
  • We simplified product design to reduce cost and take advantage of the economies of scope
  • Introduced more flexibility towards cosmetic customizations making products more attractive
  • Partnered our reputable Industrial Design team with customers directly engaging them from day 1 for a more attractive product ID and better usability to ensure customer buy in. 

Results

  • Within 5 months, Logitech was in; the competition was out!  Logitech gained so much market share, the “big brand company” pulled out of the OEM market
  • The new Logitech product became the most desired peripheral in the world with over 160 million units
  • Logitech margins grew significantly and stayed strong even during downturn of economy and product category ASPs declined 30% y-o-y
  • The product satisfied the needs of the market over 5 years.  Until this point, the product life cycles used to be under 2 years
  • Dell, HP, Lenovo were some of these happy customers selling the product under their logo.

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License Your IP or Commercialize It?

The Challenge


What does a small start-up with an exciting IP (Intellectual Property) do?  Create a niche product with it or license the IP?  How and which channels to sell it through if commercialize it?  Who to partner with if license it?

Goal

Quickly identify the best opportunity based on ROI and ROA among a few business choices

Execution

  • After thoroughly reviewing the company’s business plan, we suggested the executives not to commercialize the products but test the validity and value of the IP
  • We identified the two players in industry that would be the best fit for either licensing the IP or acquiring the company
  • We set-up meetings with leading company executives, engaged with both sides, introduced the technology and gauged the business potential with them.
Results


The company got engaged with industry leaders giving clarity to the company for the best course of action within two months pulling their schedules by six months and saving over $1.5million.