Case Studies

New Product & Service Innovation

Meadwestvaco is a leading commercial and consumer packaging supplier with current sales revenue of $6.5 billion, operating in over 100 countries with more than 24,000 global employees. Customers include large and small printers and package goods companies including food, beverage, and pharmaceutical industries.

Challenges

Pricing and margins were too low for adequate returns

Price was too dominant in the customer’s purchasing criteria

There seemed to be as much competition in the value chain as there was with external competitors

Approach

Identified the core areas of product and service development opportunity and price elasticity trade-offs through printer and end user market research

Created 8 new Value Delivery System service offerings focused on customer segmentation and end user needs

Developed pilots to validate customer benefits and business results

Created “Commitment Alliances” to deliver consistent quality, improved service, and relative immunity to competitors pricing actions

Results

Created 6 new product and service offerings and associated pricing

Improved margins and the ability to hold the line on competitive pricing actions

Developed value chain alliances that strengthened delivery and focused on end user need

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