Growth Through Strategic Market Expansion

Industry Segment: Healthcare Services – Group and Single Provider Practices

Project Summary

The GANI team partnered with a healthcare services organization that was looking to expand their business. This client had established a strong presence in select states near their headquarters, and wanted a clear direction for where to expand into new states.

The client asked the GANI team to thoroughly research market conditions in 10 states they were considering and recommend up to 5 new territories to achieve the highest ROI possible.

The Goal

Our client had a solid foundation in their existing states, but their team needed guidance on where and how to expand next. Our goal was to identify up to 5 new territories that would be most profitable for the organization moving forward, so that the client could begin the hiring and expansion process to see revenue in those new territories within 6 months.

Our Process

The GANI team began by researching the overall total addressable market (TAM) based on annual doctor’s visits and healthcare services needs. We then researched the makeup of provider office ownership and insurance plan usage, defining how well each state matched the client’s ideal customer profile. This breakdown led to the elimination of 4 territories that didn’t align with the ideal customer profile.

Finally, we conducted a SWOT analysis on the 4 top competitors in the 6 remaining potential markets.

The Targets

The GANI team aligned with our client on clear target outcomes, including:

A data-driven outline identifying the 5 most profitable new territories
Idnetify new territories that would have growth rate between 2-3x the market rate
Design sales training in the new territories to maximize ROI

Our Results

The GANI team hit every target set by our client. We recommended our client pursue 5 specific metropolitan areas as new territories based on their strong market opportunity. We thoroughly outlined the market challenges and the sales experience that would be most effective in each territory to guide the client’s hiring process for sales and account managers in these new territories.

In the first year of their expansion, our client saw an 18% growth rate to their overall revenue—over 3x the market average. This successful expansion drove over $1 million in new revenue in that first year alone, with much more to come.