HOW STRATEGIC MARKETING HELPED SKYPE SKYROCKET IN VALUE

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This one might take us back a little, but it remains one of the best examples of just how powerful strategic marketing can be.

Back in the 2000s, Skype became a global sensation by allowing people to talk to friends and family without the hassle of long-distance fees. It was an instant hit, and by 2005, eBay saw the potential and bought Skype. However, despite millions of users, eBay struggled to turn most of them into paying customers.

Enter Silver Lake, a private equity firm, leading a consortium of investors, with a small window to decide whether to buy a majority stake in Skype. They had to know one thing: Could Skype’s fortunes be turned around? That’s where Samantha and her team came in. With just 2.5 weeks to answer that crucial question, the team ran both qualitative and quantitative research in key markets: the UK, US, France, and Germany.

Because they were strategic marketers, not just researchers, the team adapted the approach as they went—spotting opportunities and offering solutions that were then incorporated into the research process. Rather than just delivering research findings, they provided Silver Lake with clear direction on how Skype needed to evolve and what changes could be made. There were clear barriers stopping users from upgrading to paid services, but with a few strategic adjustments, the situation could be dramatically improved. Armed with these insights, Silver Lake moved forward and purchased a 65% stake in Skype for $1.9 billion in 2009.

What happened next? Silver Lake quickly implemented the recommended changes, and just two years later, sold their stake to Microsoft for a whopping $8.5 billion. As Stephen Evans, now Managing Director at Silver Lake, wrote to Samantha after the sale: “At least 50% of the reason for that sale was you - thank you.”

Now, we can’t promise every project will result in a $6.6 billion profit margin - that was a bit extreme even for us! But time and time again, we’ve helped our clients boost profitability and stay relevant in a fast-changing market.

If you’d like to explore how we can help you, feel free to get in touch. We’d love to talk about how strategic marketing can make a difference for your business.