Christopher Global

A merger or acquisition can be a real challenge. Combining two businesses in terms of products, technology, and operations takes insane patience. Plus, there is always a stubborn factor associated with employee comradery to contend with. The question is, why does that matter when you combine your product offerings?

Customer loyalty follows companies, not mergers, which is the first reason why this is important. The products offered by both companies may benefit you, but in the eyes of the customer little has changed, likely only the brand name. Getting a good understanding of market demand from two merged companies is challenging for product leaders.  It may not be apparent to you as a strategic leader how this affects product development. I guarantee you, however, that your product team feels it. Those who are in contact with customers also feel it. Consumers are aware that the expansion of products comes with a price. To you, and at some point, to them.   

This is where the hard decisions must be made. Before deciding which company takes the lead (in terms of branding), do you have the data to support that market has better market potential and a more loyal consumer base? Before investing in your new product development offerings, you might want to re-survey your market. Every step needs strategy, even if you've planned before. Your companies are no longer two but one, so you inherit both reputation and revenue. Changes in the market after mergers are inevitable.