G.E. asks:
For five years, I’ve been the VP of sales and marketing at a large automotive chip supplier in southern Germany. Earlier, I had similar roles at several mid-sized outfits in the industrial electronics space. All these experiences have made me think a lot about starting my own strategy consultancy firm in marketing and sales for mid-sized (€50M-1B) industrial B2B companies, especially where sales require product design-ins.
I think there’s a huge opportunity here. As far as I’m aware, there’s almost no strategy consulting for the market I want to focus on. I spoke with several people within the industrial electronics space and from McKinsey and Bain. They tell me that the big consultancy firms aren’t targeting this market because it’s too small and the companies in it can’t afford the customary fees.
I’m approaching you as you specialize exactly in industrial electronics and have contacts with many CEOs and other executives. I wanted to ask you if you think there’s a market for the services I propose. I was also wondering whether you could introduce me to key decision-makers if I were to start this consulting business.
The headhunter answers:
Marketing is essential for a company’s success, so your idea of starting a marketing consultancy firm for the chip industry is intriguing. Your discussions with McKinsey and Bain indicate that medium-sized industrial companies find large consulting firms too costly and suggest that there might be a gap in the market.
Still, I have my doubts. For years, I’ve seen experienced sales and marketing professionals offering consultancy services, often as a stopgap between jobs. As an independent consultant, you’ll need to address this market perception. Some consultants create a professional presence with websites and business cards but end up working for just one company, blending in with permanent employees.
Recently, I talked to a British consultant with an impressive resume who spent several years training technology companies on using Linkedin to map markets and penetrate accounts. He found that the lack of continuity and the solo performance didn’t suit him, so he took a position with a chip multinational. Many sales and marketing consultants work for a single company and often accept permanent roles, not aiming to remain independent.
The financial and fringe benefits of a permanent job can be substantial. Successful sales and marketing employees at chip companies can earn significant salaries, bonuses and share packages and they build up a comfortable pension. Self-employment can also pay well, but you’ll need to constantly seek clients to ensure continuity. You’ll have to be able to deal with turbulent times, fickle clients and economic setbacks. While this is also true for permanent employees, they often have long-term relationships and better integration within the organization, along with labor law protections.
In Silicon Valley, some sales and marketing executives work as consultants or employees for companies like Apple, Meta, Google, Qualcomm and Broadcom. They have impressive resumes that open doors everywhere.
To pursue your dreams, I recommend that you first establish a robust international network and make yourself highly visible to potential clients. Leverage Linkedin to enhance your profile, aim to become a Top Voice, engage in discussions and actively participate in fairs and business communities.
