Company Overview
RMAT is a proprietary foam material used in footwear products. Compared to competing footwear components, RMAT has superior durability, cushioning, and traction. The company is based in China with Concept 21 being a key partner and owner of the company. Founded in 2010, RMAT has provided this unique material exclusively for one of the top global footwear companies. Starting in 2018, RMAT and its various compounds were made available to all footwear brands.
My Role
- Company Strategy
- Marketing Strategy
- Digital Marketing
- Business Development
The Challenge
At the time of my engagement, RMAT had seen a decrease in orders from its exclusive customer creating a situation that could have eventually put great financial stress on the organization. New product developments were not being regularly pursued, pricing was high, and competition for similar materials had gotten tough. Additionally, the exclusive partnership limited the ability of RMAT to seek other companies, hindering their growth.
While the exclusive partnership was helpful for the launch of the program, it ultimately had put RMAT out of the game. This made RMAT’s business highly dependent on the success of the exclusive partner, making RMAT’s business volatile. RMAT’s material compound was unmatched at the time and the company had great potential, however, it found itself in an unfavorable position.
The Solution
I worked with RMAT to build a long-term strategy, one that allowed them to expand their business while remaining in good standing and ultimately retaining their business with their core customer.
My first task was to improve relationships with the exclusive customer. I worked with the exclusive partner’s leadership to set up an innovation portfolio to provide product improvements based on their needs and worked on improving our pricing so we could retain the current business.
As improvements were being made, I worked with the RMAT team and the partner’s executives to negotiate ourselves out of the exclusive contract. I analyzed both companies financial records, marketing strategies, innovation strategies, and sales projections to help formulate an amendment that would be beneficial to both parties.
Up to this point, RMAT had never really been marketed to other footwear companies. It had essentially been a custom foam material supplier for one footwear company. This would be a problem once they were able to sell to other companies.
While the contract was under renegotiation, I had put in place a marketing strategy, product strategy, and business strategy to take RMAT to the industry. This included preparing digital and print materials for attending and exhibiting at trade shows and outbound sales. I also oversaw the development of new compounds to expand RMAT’s product offering.
