Unit sales of sensors are growing rapidly, with a forecast 17% CAGR through 2020. Smart sensors lie at the heart of modern technology – from inertial navigation systems in cell phones to object-detecting driver assistance systems. However, despite being essential hightech components, sensors are facing continuous commoditization. The average price for sensors is set to fall around 8% a year between 2010 and 2020.

Achieving sustainable profit in this industry is a challenge. Sensor manufacturers currently capture only a fragment of the value of the applications that they make possible in the first place. These players need to figure out a way to keep a larger slice of the cake for themselves rather than seeing it swallowed up by actors further downstream.

Three strategic options exist. Which is the right one for you? Our approach takes companies through a series of logically ordered steps: Understand yourself better, consider your strategic options, select the strategic move that suits you best as an organization.

Developing a smart strategy is no easy matter. We can help you to effectively master the complexity. It might be time for a change of direction.