GoodUp: Assessing whether the time is right to enter the German market
Is the time right for software empowered employee engagement in Germany?
Is it the right time for software empowered employee engagement when German companies struggle with digital transformation because of absence of digital culture and German employees are reluctant to use software?
For GoodUp, we were out to answer a set of highly specific questions in order to de-risk GoodUps endeavour to enter the German market. We knew that awareness for emotional employee engagement among German managers is low although German companies are slightly over average in terms of employee engagement.
Focusing to achieve a lot with few resources
Expansion.eco conducted an analysis of the current and potential market size for employee purpose engagement software per vertical in Germany. In addition, we analysed the momentum/ appetite for the product (company purpose/ CSR/ sustainability). We were looking for main industry drivers and trends for purpose/sustainability employee engagement in Germany and looked to understand the appetite for the product:
- What is the perception of the importance of employee engagement on company purpose/CSR/sustainability?
- How do German companies organize this?
- Will the business model be attractive for the prospect?
- Furthermore we developed a long list of prospects, looked at the decision making processes in German corporates and looked out for Red Flags (What risks and hurdles do we need to tackle (buy in workers council, SaaS appetite, business culture, IT requirements, certification pre requisites, procurement negotiations)?)
Last but not least, we validated the Market entry requirements leading to a full management presentation to influence decision making within GoodUp.
We analysed what the relevant entry model would be in terms of sales approach and hiring policy and what the expected business case / ROI would be following that approach. The expert interviews have given us hints where to look further and which blind spots, specifically for the German market, are still to be looked closer at.