Find out how one industrial company structured its diversification strategy, leveraged its technical expertise and identified new growth drivers through rigorous, methodical strategic market analysis.
Why structure a diversification strategy?
Diversification is not just an opportunistic lever. It becomes strategic when :
- Historical markets are slowing down,
- Competitive pressure is intensifying,
- Margins are contracting,
- Or that innovation opens up adjacent opportunities.
In this context, a structured diversification strategy transforms the risk of stagnation into a controlled growth dynamic. Without a method, diversification can lead to :
- Scattered resources,
- Poorly calibrated investments,
- Poor market targeting,
- Underestimation of regulatory and technological barriers,
- An uncertain ROI.
Structuring a diversification strategy involves articulating three key dimensions:
- Analysis of internal and differentiating skills,
- Exploration of adjacent high-potential markets,
- Prioritization using quantified business cases.
Diversification thus becomes a strategic lever for securing growth and optimizing existing assets.
What you'll discover in this case study
This detailed case study presents :
- Building a diversification strategy based on leveraging existing know-how
- Identification and prioritization of six adjacent market segments
- Analysis of emerging needs of existing customers
- Implementation of a multi-criteria prioritization matrix
- Construction of 5-year business cases based on two deployment scenarios
You'll discover a structured, reproducible methodology that can be applied to any sector facing the challenge of growth relays or strategic transformation.
A real-life case of identifying industrial growth drivers
The company :
EMPLOYEES
40
SALES
5,2 M€
EXISTENCE
28 years old
EXPERTISE
recognized in complex environments
Strategic challenge: move from dependence on mature markets to a structured diversification strategy capable of opening up new growth drivers in the medium term.
The mission made it possible to :
Concrete results:
- First contract signed within 6 months
- Projected sales growth of 20 % over 3 years
- Stronger positioning in high value-added markets
This approach illustrates how a rigorous diversification strategy allows us to’activate growth drivers without breaking away from historical competencies.
Who is this study aimed at?
This case study is intended for :
- Company managers
- R&D Departments
- Innovation Departments
- Industrial Departments
- Strategy departments
- Strategic marketing departments
It concerns any organization faced with a stagnation in its historical markets, a willingness to expand its business portfolioa need for strategic market analysis prior to investment or a’activating sustainable growth drivers.
FAQ - Diversification strategy and growth drivers
What is a diversification strategy?
A diversification strategy consists of developing new activities, markets or offerings by drawing on the company's existing skills. It aims to reduce dependence on historical markets and secure growth.
How do you identify the right growth drivers?
Identification is based on cross-analysis:
- in-house differentiating skills,
- market trends,
- regulatory developments,
- emerging customer needs,
- and barriers to entry.
A multi-criteria approach enables us to prioritize high-potential opportunities.
Linked or adjacent diversification: what's the difference?
Related diversification focuses on markets close to existing activities. Adjacent diversification explores related sectors where skills can be transferred with controlled risk.
How to secure the ROI of diversification?
Safety involves :
- Building quantified business cases,
- Progressive deployment scenarios,
- A realistic assessment of commercial and technical investments,
- Structured management of the first experiments.
Is this approach suitable for all sectors?
Yes, the methodology of strategic analysis, prioritization and economic projection can be transposed to any sector facing the challenge of transformation or growth relays.
Would you like to structure your diversification strategy?
G.A.C. Group helps organizations define and deploy diversification strategies, identify growth drivers and build robust business cases.
Find out more about our innovation strategy and management services
Would you like to find out more about how we work with General Management, Innovation, R&D, Industrial and Strategy Departments to structure a diversification strategy, identify growth drivers and secure your investment decisions?
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