Purpose Media is an e-commerce website developer and online marketing specialist located in South Normanton, Derbyshire. It was founded in 2009 and now has 13 employees. Through working with GrowthAccelerator, Purpose Media has experienced significant growth, increasing its turnover from £280k in 2012 to £500k in 2014, a 78% increase. It has also doubled its operating profit over this period and increased the number of FTE employees from 4.5 to 13. GrowthAccelerator has helped Purpose Media strengthen its strategic planning, team development, marketing efforts, systems and processes to support its continued expansion.

1. Case Study – Purpose Media
July 2014
Sector: Ecommerce, web design & on-line marketing
No of employees: 13
Turnover: £500,000
Location: South Normanton, Derbyshire
Growth Manager: Tim Sutton
Service used: Access to finance, Business development coaching,
leadership management
Snapshot – impact of GrowthAccelerator
• Purchase of larger offices to enable expansion
• Robust internal systems and workflow processes have
enhanced ability to project manage larger value projects.
Average order value up from £500 to £7,500.
• Directors aware of need to become enablers not doers
• Clear strategic direction
• Solid financial foundations, historic growth 30% each
year. Forecast 140% growth over next two years
• Turnover year end 2012 was £280K (before Growth
Accelerator) and for the latest year end 2014 was £500K,
an increase of 78%
• FTE jobs for the same dates above 4.5 FTEs and 13 FTEs
• Operating Profit has doubled over the same period.
About Purpose Media
Purpose Media was founded in 2009 by Matt Wheatcroft
and two former colleagues of EMTEX, Tim Lenton and
Rob Marshall. The company is now an award winning
e-commerce website developer and on-line marketing
specialist. It focuses on the design and build of content
managed websites and e-commerce solutions that
integrate back office accounting and stock control systems.
Specialisms include:
• Updateable CMS websites
• E-commerce websites
• Integrating websites with accounting and stock control
systems
• Multi-lingual websites
• On-line marketing strategy
In addition to bespoke website design, Purpose Media also
provide online marketing and Sage integration services
which integrate web, business and accounting systems, to
provide real time stock control, order processing and data
management. Customers range from sole traders to large
corporate clients in the retail, manufacturing or wholesale
industries.
How GrowthAccelerator has helped
Strategic planning
The management team has been strengthened by high profile
non-executive appointments. Adviser/mentor, Richard Crooks
and marketing consultant Bev Cook were appointed in 2012.
In 2014 Brett Critchley was appointed. Brett has successfully
grown and sold two businesses, including Orchid IT, which
was sold to an £80 turnover company, GCI.
Monthly board meetings ensure the business continues to be
structured, managed and operated in a way that will maximise
value.
Team development
A formalised system of appraisal and KPI’s/ in now in place for
all staff, with clearly understood values and a set of “person
attributes” are referenced when recruiting.
Marketing
High profile marketing campaigns continue, including
partnerships with Derby County FC, Sheffield Steelers.
Derbyshire County Cricket Club, Sheffield Wednesday FC
Mansfield Town FC, Mansfield 2020 and Marketing Derby.
A regular programme of direct marketing targets specific
retailers, wholesalers and manufacturers.
Leveraging new strategic relationships with complimentary
businesses who have potential to refer work delivers a regular
flow of new business
Customer retention is high at 98% and over 50% of customers
by an on-going consultancy package.
Systems and processes
Underpin growth, improve customer satisfaction and deliver
profitability. An eight-step client management plan is in
place together with a bespoke system for clients to be able to
manage multiple websites.

2. The business challenge
In 2011, having outgrown its initial incubator unit start-up
offices, a more robust business strategy and marketing plan
was devised.
This review highlighted that a brochure website for ten
clients could deliver the same profit as one e-commerce
website.
In order to grow margins, increase the quality of client
and also achieve the overall aim of being acquired by
a larger agency, a decision was taken to shift the focus
to e-commerce websites, develop key strategic referral
partnerships and develop a suite of on-going support service
packages to develop a portfolio of recurring clients.
The meant that Purpose Media had move to larger offices,
develop and implement internal systems and processes that
would sustain growth, and equip the leadership team with
the skills required to increase turnover, maintain profitability
and manage a growing team and client base.
“As a former business adviser myself I am always
eager to seek ideas from others who have been
there and done that before me.You can learn a
lot from their journey, replicate what worked and
hopefully avoid making the same mistakes.”
Matt Wheatcroft, Managing Director.
Finance
The taking of up front deposits and letters of engagement that
clearly set out final payment terms has maintained regular
cash flow. Banking arrangements comprising of four separate
accounts for current account, VAT, corporation tax and savings
have created a business with solid financial foundations.
Apart from the loan outstanding on the building which has
just been sold to cash buyer for a £50,000 profit, the business is
remains self funding and has incurred no bad debts.
Purpose Media has applied for a further grant of £125,000 to
buy larger premises 4,500 sq ft to support growth of £2m by
2016.
The following have been the key changes and actions that have
driven success
• Strategic development
– Regularly updating and revising the business plan and
taking outside advice
• Product Market development
– Ensuring customer needs and demands are met – e.g
retainers and addition o creative services
– High profile marketing campaigns and sponsorship
deals
• People development
– Directors now lead not do
– Employees have a clear development plan and
appraisals
– Use of non-executives as coaches and mentors
• Processes
– Enable good project management and high levels of
customer satisfaction
With a skilled team, a management board which meets
monthly to discuss performance, plan strategy and other
developments, a successful client base, regular retained
income and a sustained track record of turnover and
profitability, Purpose Media now has value and skills that will
be attractive to an acquirer.