Creating a focused analytics strategy


Overview

The CEO of a financial exchange hired a top strategy consultant to perform a strategic review. The consultant concluded that analytics would drive much of the company’s future growth.

The exchange engaged us to develop a customer-centric analytics strategy to grow its data business through high value-added products: what clients wanted and needed, what products or services to offer, and how to achieve these data-oriented goals to fuel substantial growth.

In short, they needed a way to focus resources and produce a return on investment in an area that was new to the company.

The most efficient path

We determined that our target organizations needed concrete proposals to react to, and thus developed an initial “straw man” strategy and prospective product ideas, with key hypotheses incorporated as to what clients might want for data provision and analytics.

We presented these to clients in one-on-one interviews for feedback and discussion. This approach allowed us to generate immediate reactions from prospective users, target areas for refinement and further development, and generated a composite view of needs as the basis for the strategy.

The most enduring value

We provided a deep and clear understanding of the needs of the institutional investor community as leading users of analytics. We determined not only what to focus on, but also

  • what not to focus on;
  • framed the strategy with a single overarching analytical theme;
  • distinguished between enhancing capabilities and developing new products to pave the way for effective development efforts; and
  • redefined the approach to market segmentation to enable a more targeted approach to product development.

Based on this strategy, our client hired an internal analytics team, stopped development of “low value” capabilities, and directed additional resources into the development of three new products.

Our insights and experience helped our client to integrate an essential analytics platform into their strategy, paving the way for valuable long-term data provision.