Our Client was a commodity PET Fiber producer with limited margins. The Client's leadership team desired to enter into new high-value markets. As such, they identified the high-value FR textile market as a primary target.
FRX Polymers Solution
FRX Polymers was able to offer the Client the latest most efficient FR technology as the basis for their new FR textile product line.
Through the adoption of FRX Polymers' Nofia flame retardant, the Client could vary the phosphorus content from 3,000 ppm P all the way to 25,000 PPM P. Competitive FR technologies are limited to 6,500 PPM P.
Nofia FR also enabled the Client to make PET fibers from a recycled PET, whereas with existing technologies this is was not possible. Nofia materials significantly reduced the Client’s manufacturing complexity and capital cost of adoption. Finally, the resulting Nofia based fibers delivered improved mechanical properties and lower color than existing technologies.
Under a mutual non-disclosure agreement, the Client and FRX Polymers team entered into intensive technical and scale up trials to verify Nofia FRs within the Client’s large-scale manufacturing operations.
FRX Polymers analyzed the market in terms of segments, volumes, regions, competitors, and customers, and FRX Polymers developed a comprehensive business plan for the Client that included a human resource plan, market and pricing strategy, branding strategy, comprehensive marketing communication plan, downstream supply chain partner identification, product portfolio requirement, and prioritized market penetration plan. Additionally, FRX Polymers played an integral role in enabling the Client to obtain FR certification required to enter the defined markets.
The Client and FRX Polymers entered into a partnership agreement complete with all commitments needed from both sides to make the plan a success. The agreement included a three-year volume commitment and expectations including Nofia materials pricing and exclusive lead time considerations and FRX Polymers R&D and product supply commitments.
To maintain the agreement's timing and expectations, the teams engage in weekly voice calls, monthly video conferences, and quarterly face to face meetings.
During the first year of market introduction, the Client realized a global market share of 5% and are well on their way to doubling in year two. The team's 5-year goal is to achieve 50% market share in the high-value FR market.