Risky business

The Company: 

Europe’s only retail and consumer investment and innovation firm with expertise in understanding and anticipating how digital technology changes consumer behaviour.

The Challenge: Missing context 

When it comes to acquiring new companies, every private equity firm knows that conducting good due diligence is more than just good hygiene. Assessing opportunities from every angle is crucial to revealing their full potential and unearthing anything lurking beneath the surface of a pristine balance book. But unfortunately this company had been burned before by unsavory details that went undetected during their standard due diligence processes.

How were they supposed to effectively judge these opportunities without all the relevant information?

So when another interesting deal presented itself, this investment firm decided to try a new approach that unlike traditional due diligence, would take a deep dive into the performance data of the company in question. This time they needed to ensure that all the nooks and crannies that might otherwise be skipped over were highlighted, underscored and in bold.

Our Solution: Forensic data analysis

By using Conjura Snapshot to conduct granular transaction level due diligence, no stone would be left unturned! This meant immediately connecting to all of the target company’s cloud based sources of data to see how they measured up across online & offline sales, customer, marketing, product and stock metrics. By cross referencing all of these datasets we were able to provide the most accurate snapshot of this company’s overall performance. 

In fact, Conjura also helped to draw up a range of new parameters to seamlessly assess whether future companies would be worth their blood, sweat and investment too. No more messing around!

The Result: A small fortune saved!

With Conjura Snapshot, comprehensive analysis quickly identified a major issue with how the target company was acquiring customers: They were paying far too much for the revenue they were receiving! So whilst their sales figures had looked promising, the wider context revealed a critical hitch in their business model. 

9 months later that very same company went into administration. Bad news for them, but great news for the investment firm who had nearly sunk £5m into the doomed operation!

After Conjura’s successful steer we went on to help with additional projects by providing due diligence with a ‘First 100 Days Strategy’ component, showcasing how the firm could hit the ground running and add immediate value post-acquisition. As well as narrowing down the firm’s prospective investment list by looking at all recently released accounts automating a lengthy manual task. Allowing them to act on opportunities faster than ever before!

Key takeaways:

Saved firm from losing approximately £5m

Helped create parameters to evaluate the merit of future prospects

Provided ‘First 100 Days Strategy’ for acquisitions

Greater ROI over their portfolio

Success stories

We’re very proud to have helped many high growth businesses harness the true potential of their data! Here are just a few of our success stories to date.

Detoxed data

How we helped this cult beauty brand to purify their data and scale into new markets. Read story

Effective Expansion

How we helped CBD brand Naturecan increase their potency with customers in a new product category. Read story

Keeping up with customers

How we helped a petcare subscription business to keep their customers coming back and rolling over. Read story

Unhealthy amounts of data

How we helped a natural retailer to distill a sea of data and acquire more valuable customers. Read story

Risky business

How we helped a private equity client to dodge an investment bullet and be safe not sorry. Read story

Surrendering to subscription

How we helped a media organisation to create loyalty by playing hard to get. Read story

Studying your audience

How we helped a school supplies retailer get their head out of the clouds and into a good customer acquisition strategy. Read story

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