Palladium was asked to assess the current business plan and identify any areas of opportunity for future growth.
The client wanted a clear understanding of the target's digital marketing and tech capabilities. Palladium was asked to focus on the following questions:
- What are the underlying drivers of the businesses’ digital performance success to date? How sustainable are these underlying drivers?
- Are the assumptions in the business plan realistic? What are the key sensitivities?
- Is there any evidence of upsides to the business plan? What are the key opportunities to accelerate growth?
- Is the technology platform scalable and robust enough to support future growth plans? What technology-enabled opportunities are there to drive value and how well placed is the business to deliver them?
Palladium conducted a two-phased digital due diligence, focussed on the achievability of the targets business plan and areas of growth for the business.
- Phase 1: High-level review of the targets business plan and key sensitivities.
- Phase 2: Full assessment of the brand's digital marketing capabilities, including identification of drivers of success to date and an assessment of the sustainability of these during the plan period. Including:
- Assessment of the businesses performance against key competitors including traffic, digital awareness, SEO and influencer strategies.
- Detailed assessment of the business plan, reviewing channel and customer level forecasts and modelling the marketing budget required to win the customers in the plan.- Palladium identified opportunities to accelerate growth of the brand and potential upsides to the business plan.
- Palladium also completed a detailed Tech due diligence. A full review of the target’s technology platform was completed. Palladium assessed if the platform was robust enough to scale through the business plan and made recommendations on areas requiring further attention / investment.
Palladium identified additional technology enabled opportunities where the business could drive further value.
Our client received both due diligence reports and completed the acquisition of the business
Palladium will now further support the investor, by leading a session with the business post-investment to discuss the findings of the due diligence work and help the management team strategize for the months ahead post-deal.