Client Success Story
The client recognised the strong growth potential of the food sector in Saudi Arabia but required a deeper understanding of both the KSA and wider GCC food, beverage and agribusiness markets ahead of a major investment decision.
One of the biggest investment companies and importers in the Kingdom, the client sought to develop a flagship position in both the local and regional food markets and wanted to examine the scope for potential partnerships with established branded food manufacturers.
In a two-phase approach, Farrelly Mitchell reviewed the present investment case, before going on to develop and help execute a suitable investment strategy/plan.
The review entailed identifying and understanding current and future patterns and trends, prevalent and yet to emerge in the market. This pre-investment stage is critical to developing a successful strategic plan that is both robust and executable.
We provided critical evaluation of the various food categories and strategy components were examined through target market, market-entry, industry sector and supply chain positioning. Comprehensive analysis saw the five most suitable food categories being identified, with rationale also delivered on omitted categories.
The second phase focused on implementing the most advantageous strategic investment for the company. Two particular categories were recommended, based on the scale to support margin generation and market penetration.
Our analysis also advised action for those categories based on sales and marketing and route to market efficiencies, ability to share services, risk mitigation through diversification and scope for brand building and equity.
Farrelly Mitchell’s work allowed the client to scope to build the businesses identified as most suitable to their vision. The analysis established a clear path in the context of the entire value chain from farm to fork with particular emphasis on the key-value addition areas in downstream processing and distribution.
We used Farrelly Mitchell to advise and assist us in the development of a food investment strategy. Their unique insights into the Saudi Arabian and wider GCC food, beverage and agribusiness markets was invaluable to our board in agreeing on a clear strategy and roadmap for this important project.
– Hisham Abdul-Aziz Al-Saghyir, CEO
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