Illustrative engagements are composite examples showing how we approach this type of work. They do not describe a specific client.
Abstract
A grounded assessment of market demand, pricing power, and downside risk for a specialty healthcare-services platform.
A mid-market private equity fund
The question
Is the proposed acquisition thesis supported by reachable demand, durable customer relationships, and defensible pricing?
Context
A mid-market fund was evaluating a specialty healthcare-services platform. Headline market growth did not establish what demand was accessible in the target’s operating footprint. The investment committee needed independent evidence on customers, competitors, and the assumptions most exposed to downside.
Our approach
- Frame
- Translate the investment thesis into testable market, retention, and pricing hypotheses.
- Collect
- Interview customers and market experts; assemble local demand, supply, and competitor evidence.
- Analyze
- Build bottom-up market sizing, examine purchasing and switching drivers, and model pricing power.
- Validate
- Triangulate interviews with market evidence and stress-test downside scenarios against alternative assumptions.
- Advise
- Deliver an investment-committee-ready memo, market model, and diligence questions for management.
Methods
- Market evidence
- Bottom-up market sizing · Competitive mapping
- Primary research
- Customer interviews · Expert calls
- Modeling & review
- Pricing sensitivity · Downside scenarios · Peer review
What the client received
- Commercial diligence report and decision memo
- Market sizing model with transparent assumptions
- Customer and competitor evidence summary
- Downside scenarios and management diligence questions
Outcome
The fund could evaluate the acquisition with a clearer view of reachable demand, customer risk, and the conditions under which the growth thesis would hold.
Team on the engagement
Research Director · Senior Economist · Senior Data Analyst — Financial Services