Market Diligence Services
Customer Due-Diligence

Customer diligence is a critical piece of the overall due-diligence process.
For most companies, the existing customer base is the most important driver of value. The nature of the customer mix, the stickiness of the relationships, competitive dynamics, relative power, customer perceptions, and other factors have profound implications for a company’s revenue and margin prospects going forward. Understanding these implications is absolutely critical not only in the diligence process, but in developing strategy post acquisition.
Ameridan has extensive experience in customer diligence across a wide variety of industries. Our customer diligence assignments, usually conducted during the last few weeks of due-diligence, assess the overall stickiness of key customers, identify at-risk relationships, gauge price elasticity, and assess the potential to increase penetration of extant relationships. In most customer diligence assignments we also:
Assess customer churn, diversification, and customer growth profiles;
Measure customer perceptions of the target company, including perceptions of product/service quality, price competitiveness, brand equity, management, and competitive position;
Assess customer purchase expectations and gauge the implications for the target’s forecasted revenue and margins.