CASE STUDY:
CLIENT
Regional pet store chain  
SITUA­TION
A fast-growing pet store franchise had put in place a text- and voice-based system through multiple outsourced parties to allow customers to schedule in-store appointments. The franchise paid the providers by the contact and by scheduled appointment without any cap or reduction in costs for increased volumes. Growth, however, had ownership wondering if they were being efficient and effective in their touchpoints with customers, and whether the increasing cost would be sustainable.  
OBJEC­TIVE
Compute the costs of growth over time in the outsourced model and project at what point it would become more effective to either renegotiate contracts or insource the model.
WHAT WE DID
Lined up disparate data from sources including calls, text, web site visits and other inputs to understand how much work was being done and by which organization – client or vendor
 
Created unit cost model for current state and then applied assumptions for each strategy permutation to illustrate the cross-over point for when the store group should consider insourcing the multiple platforms and channels coming from outside providers
  
Conducted model review and business strategy discussions to determine next steps and timing

  
OUT­COME
A financial model that illustrated how growth in contacts, touchpoints, and appointments would scale over time as the retail operation expands
 
Best-practice recommendations for more market-based terms in future contracts to support growth

  