Expansion in Latin America
To help them understand whether and how to enter these geographic markets, our client needed to understand the market size and growth rate, the competitive landscape, the regulatory environment, consumer trends and channel dynamics.
Big Village first gathered published information from competitor websites and press releases, government publications and trade associations to develop an initial view of the market.
Interviews with distributors and reps were the richest form of data collection. These companies had the broadest view of the market and tended to have a good grasp of market size, growth, and segmentation trends.
Big Village also contacted resellers and retailers to gather pricing and product specifications, and to gain a grasp of who buys the product and how the buyer profile is changing. These contacts also provided useful insight on the most common uses of the equipment.
Big Village prioritized and recommended the countries the client should target for market expansion.
This was based on economic conditions in each country, established distribution channels, size and growth of the current in-country markets, and key events driving demand, such as earthquakes in Chile and the then-upcoming Olympics in Brazil (i.e., infrastructure drivers). We also identified barriers to consider including import regulations in Brazil and the protectionist government in Argentina.
Our findings allowed the client to weigh the risks and rewards and develop an informed growth plan. Ultimately, the client made an acquisition in Brazil to enter the market in Latin America, focusing on the most promising country.