Despite being the largest specialist structural steel group in the UK, in 2014 the Severfield-Rowen group of companies was suffering from confusion over its four operational brands. Customers did not realise that each was part of the whole. Cross-selling opportunities were not being taken up and the constituent parts were not combining effectively in their approach to sales. Also, the identity of the business was failing to portray the quality, experience and market-leading skills, instead making the company look a little old-fashioned.
Building from the bottom
These factors were significant contributors to poor financial performance in 2013 and 2014. The business was loss-making and dividends were suspended. The business objectives were clear – to create sustainable growth and return to profit, create shareholder returns, help win more significant projects and engage with internal audiences to improve attitudes and behaviours.
The shape of success
With a simplified name, single operating brand and a more confident outlook, Severfield returned to profit. Internally, the business pulled together as a strong single entity, improving efficiency, centralising sales functions and maximising opportunities with existing customers. Externally, a raised profile helped secure significant new contracts, including some of the most iconic construction projects in the UK. All of this has led to a substantial and increasing growth in both revenue (up 36% in three years) and profit, delivering significantly improved shareholder returns.
Ian Lawson, CEO, says
“Our rebrand provides exactly the right impression to the market and will provide a platform for our ambitious growth plans over the next few years.”