Problem:
A Thailand-based Drone AI startup had developed high-quality drone technology suitable for the European market, but was facing difficulties in expanding its customer base due to problems in the sales process. Despite having found the right manufacturing partner in China, the company was struggling to attract orders from tier 1 customers in Europe.
Solution:
The CEO hired us as strategic advisers to identify the problems and find solutions to improve the sales process. We began by reconstructing the entire sales process and analyzing call records to evaluate key prospects. We discovered that the sales process lacked a product/market fit with concrete propositions for the prospects. However, we identified that there were significant opportunities with the prospects who were interested in the AI software platform, but not the advanced drones.
Working with the leadership team, we developed a profitable solution to deliver the AI software with the platform as an embedded solution to these prospects. We changed the business model, allowing European customers to buy the AI software and platform as a license, and embed it in their own hardware. These European customers were original equipment manufacturers (OEMs) who supplied branded suppliers, who in turn supplied the final product.
Results:
The new business model of embedded solutions created a significant new turnover and a sustainable revenue stream for the drone startup. The company is now providing almost no drones, but is thriving as a provider of high-quality AI software and platform to OEMs in Europe.