MAJOR TREND TOWARD SYSTEMS AND SOLUTIONS VS. PRODUCTS

As marketing consultants who specialize in industrial markets, we are currently witnessing a strong trend towards manufacturers and service providers trying to differentiate themselves by offering added-value solutions.

DuckerFrontier clients – like industrial manufacturers who make construction materials – are continually looking for ways to optimize their product offerings such as sarking insulation for roofs, and structural insulated panels (SIPS) in walling, flooring and siding. These manufacturers are now offering solutions to their clients, in the form of systems as opposed to just products.

The benefits of these solutions/systems are undeniable for the end-users, including architects, construction companies, distributors and dealers:

  • Increased ease of use and installation – Western Europe is lacking qualified construction workers, so offering a system that’s easier to manipulate and install is an important option for general contractors, to limit the risk of defect
  • Improved time and cost savings generated by a simpler installation
  • Improved warranty linked to the use of systems vs. products (one manufacturer covers the entire system, including the system’s elements)

In addition, the advantages of such an offer for the manufacturer are multiple:

  • Improved revenue, and increased control over pricing structure and profit margin
  • Improved value of offerings, by proposing a differentiated solution
  • Position as a one-stop shop for your distribution networks

Using exclusive research and an expansive network of industry professionals, DuckerFrontier offers market intelligence and consulting services that help you navigate the industry and the forces that impact it. To connect with a DuckerFrontier team member, contact us.