Case Study: a chemical materials manufacturer wins OEM business and holds price with LeveragePoint Innovations

Extending the product life cycle in specialty chemicals

The customer, a chemical materials manufacturer, faced intense price pressure from a large OEM's procurement department despite developing an innovative product that used 20% less material. They risked having to give away this value to win a major RFP. To address this challenge, they worked with LeveragePoint Innovations, using the LeveragePoint application to build an initial economic value model.

LeveragePoint's solution enabled the manufacturer’s team to use their deep customer knowledge to identify and quantify additional, often hidden, value drivers beyond direct material savings, such as reduced labor, lower inventory, and decreased warranty costs. This process doubled the quantified differential value of their offering. As a result, LeveragePoint helped the sales team effectively communicate this comprehensive value story, which not only expanded the discussion beyond procurement to other stakeholders but also allowed the manufacturer to hold their price and secure the business.