HEED powers channel transformation at Saudi CPG company

15 May 2025 Consultancy-me.com

A partnership between a major Saudi consumer packaged goods company and consultancy HEED aimed to boost market share and digital channel revenue. The collaboration delivered tangible commercial impact – including revenue growth, improved market share, and higher customer satisfaction.

The CPG company, a well-established brand based in Riyadh and with an extended presence in other parts of Saudi Arabia as well as across the MENA region, called in HEED when they began seeing steady revenue decline and knew a change was needed.

Some of that decline was linked to diminishing engagement from younger Gen Z consumers, despite the company boasting strong traditional distribution channels. The obvious move at that point was to bolster digital-first strategies, an area where the company had fallen behind.

HEED began with a deep commercial assessment of the company’s channel strategy and go-to-market model. That process started with mapping out the company’s whole buying journey in order to find the exact friction points where they were losing sales.

Next, the team at HEED evaluated the commercial performance of traditional channels (like wholesalers and brick-and-mortar stores) versus emerging digital ones (like online platforms to uncover untapped revenue potential. They also analyzed the performance of the CPG brand against regional and global competitors.

The results of this analysis brought a few key insights into focus: The company’s distribution model was efficient but it was not flexible enough to keep up with new consumer habits. It was clear they needed a better balance between their online and offline distribution channels in order to better reach customers.

The strategy

In order to make the needed changes, HEED developed a three-phase strategy:

The first step was to redefine channel roles. The focus was shifted toward where consumers were most engaged. Digital platforms became a priority while traditional outlets, rather than being diminished, were now valued differently: Now they would serve as experience-focused touchpoints.

Next, the teams worked on omni-channel integration. That means unifying the physical and digital channels by training the salesforce to operate across both domains, implement new technologies that give real-time insights, and launching click-and collect services as a bridge between physical and online.

Last on the agenda was driving agility through data. This involves using real-time analytics to track sales data and market trends. Systematic analysis of this data allows the company to launch super effective promotions or to move inventory to better-performing channels.

The result of this new strategy was positive. It resulted in a 12% increase in market share for the company and a 20% boost in revenue from digital channels. This especially engaged younger consumers.

“But the numbers only tell part of the story. What truly stood out was the transformation in mindset. The company no longer viewed channel management as a static operational function – but as a dynamic, data-informed system for driving sales and customer engagement,” said Wael Farah, partner at HEED and an expert in high-impact sales transformation programs.

Revamping channel management

CPG leaders navigate an unpredictable market that is now largely shaped by Gen Z consumers, who expect instant, personalized, and values-driven brand interactions across both online and offline channels. This, coupled with broader market shifts and technological disruption, renders traditional distribution models obsolete.

“This transformation isn’t just achievable – it’s necessary,” concluded Farah. “The pace of change in this industry is relentless. But for those willing to adapt, the rewards go beyond short-term gains – they ensure long-term relevance in a world that never stands still.”