Alongside the capital risk of suboptimal investments, private equity firms also risk the opportunity cost of devoting time and significant diligence spend on opportunities that do not pan out. But what can firms do if they are unfamiliar with a given asset or industry? Onefourzero’s new market snapshot report provides a short-turnaround, cost-effective means of kicking the tyres on a prospective sector or asset.
What is a Market Snapshot Report?
The onefourzero market snapshot report offers a glimpse into a market of interest. The lighter-touch due diligence report spans three pages, containing vital insights on key commercial considerations, such as commercial and market dynamics and marketing efficiencies. Vitally, these insights are set against a backdrop of competitor performance, allowing you to gauge how the asset of interest fares in comparison.
A sneak peek of a market snapshot report
Why Commission a Market Snapshot Report?
A market snapshot report will benefit your firm for several reasons:
Informed decision-making: If your firm is considering branching out into a new market, a data-driven overview of the sector, including market share and demand, sales and marketing performance and brand reputation and customer loyalty, allows an informed decision to be made on whether to progress your interest.
Shifting market dynamics: Demand for different sectors changes constantly. Commissioning a market snapshot report allows you to determine if the sector or asset you’re planning to branch into or invest in is in high enough demand to be financially fruitful, with up-to-date information even in turbulent economic times.
Low-latency: When it comes to seizing market opportunities, we understand that time is of the essence. The onefourzero market snapshot report is delivered within five days from the commissioning date, meaning you quickly gain insight into the sector or asset of interest.
Determine if full due diligence is justifiable: Finally, commissioning a market snapshot report allows you to determine if full due diligence is justifiable. It is best to commission full due diligence once you’re more familiar with the sector and its unique opportunities and challenges.
What is Included in a Market Snapshot Report?
Now that we’ve established the benefits of a market snapshot report, let’s delve deeper into the data included.
Market share and demand: Commercial data sets layered upon demand, footfall and brand recall indicators are used as proxies for market share and demand.
Sales and marketing: Accessing marketing and spending analytics across all organic and paid channels allows you to uncover optimisation potential and gauge operational efficiencies.
Brand reputation and customer loyalty: Analyse the reputation of a sector or asset and gauge customer loyalty.
Snapshot due diligence may seem like a contradictory term, but it is a worthwhile practice. By commissioning a low-latency market snapshot report, firms can make informed decisions that consider shifting market dynamics, allowing them to determine if full due diligence is justifiable. If your firm is considering commissioning a market snapshot report, please do not hesitate to get in touch so we can discuss your requirements in more detail.