THE CHALLENGE - A North American-based large automotive sensor and instrumentation manufacturer wanted to diversify into new industrial/nonautomotive global markets. Normally producing high volumes for a select few customers reached by a direct sales force, the client needed guidance in identifying opportunities and marketing to a more fragmented customer base buying lower unit volumes at higher prices. The company considered prospects for organic entry with modified automotive sensors, as well as acquisition of existing key industrial sensor suppliers.
THE PROCESS - Frost & Sullivan's research and consulting teams conducted the work in three phases over a 12-month period. Phase 1 involved a broad examination and screening of global sensor markets. This included a look at 11 key sensor domains (such as flow, pressure, temperature, level, etc.) and 59 sub-segments. A combination of secondary research, largely tapping our many existing sensor reports, plus focused primary research with industrial sensor suppliers, was completed. Market segments were rigorously screened against client criteria on market size, growth, technical fit, etc. The next phase focused on an in-depth analysis of one key end-user market and all the relevant sensor technologies utilized by that industry. A final phase focused on a comprehensive examination of certain further-screened sensor technologies and their key industrial applications/markets.
THE SOLUTION - The client received a wealth of information on market size, growth, geographic mix, target applications, pricing, entry barriers, profiles of rivals/prospective customers, perspective on patents, specifications for competing sensors, and more. The various delivered reports helped the client decide where and how to approach selected unfamiliar non-automotive sensor market opportunities. Frost & Sullivan's strategic recommendations pointed toward best paths for market entry. The client, utilizing our valuable market intelligence and insights, was able to develop actionable market entry plans and avoid costly pitfalls.