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Large B2B CompanyTurning a distribution business around in nine months
A shift from box distribution to value-added distribution that stalled: inventory piling up, a demotivated team, cash flow worsening by the day.
The situation
A large B2B IT distribution company decided to shift from low-margin box distribution to value-added distribution, acquiring a business for Voice & Data Networking and AV solutions to speed up the move, with implementation and post-sales support planned as new revenue lines.
The team had no real prior exposure to solutions and services. Within months: inventory piling up, a demotivated and insecure team, prospects not converting, and cash flow getting worse by the day.
What we did
- Spent real time with the team to understand both the business and the underlying market dynamics — not a top-down fix.
- Proposed a business strategy that was well-defined but genuinely easy for the team to execute and get behind.
- Drove closely coordinated sales efforts to start converting the stalled pipeline.
- Worked inventory down in step with the sales recovery rather than writing it off.
Where it stands now
On the back of improved business volume, the company renegotiated prices with suppliers and secured extra margin.
In nine months: sales up almost 60% year-on-year, floating inventory down 50%, and services revenue starting to flow as satisfied customers turned into recurring business from key accounts.
sales growth year-on-year in nine months