Businessmodel of Mitchell International

Customer Segments

Mitchell International has a niche market business model, with a specialized customer segment. The company targets its offerings at firms in the auto physical damage and casualty claims markets.

Value Proposition

Mitchell International offers five primary value propositions: accessibility, convenience, innovation, performance, and brand/status.

The company creates accessibility by providing a wide variety of options. It has acquired several firms since its founding, including Cogent Works (a provider of pharmacy network management services), FAIRPAY Solutions (a provider of workers’ compensation, liability, and billing review services), and, National Health Quest (a provider of out-of-network medical payment negotiations and services). This strategy has enabled it to significantly expand its capabilities and diversify its portfolio.

The company offers convenience by making life simpler for customers. Its solutions automate each step of the collision repair and claims handling process, resulting in less work for clients.

The company places a strong emphasis on innovation. It operates Mitchell Innovation & Design (also known as Mitchell Labs), an initiative focused on driving innovation throughout the firm. The program utilizes the Mitchell Innovation Framework, a process that enables its team of data scientists, designers, developers, and product managers to examine problems in a structured manner. Mitchell also with customers to identify cutting-edge solutions through on-site observation, onside/field  customer observations, iterative/prototype testing, and Customer Advisory Councils.

The company demonstrates strong performance through tangible results. Specific positive outcomes for clients include the following:

• Precision Body Shop & Detail used Mitchell International’s solutions to increase its efficiency, shorten cycle times, and improve productivity by 25%
• Watsonville Auto Body used Mitchell International’s solutions to reduce its labor force while still repairing the same number of vehicles, resulting in the saving of 160 hours per month
• Fix Auto used Mitchell International’s solutions to eliminate almost 90% of its paperwork, enabling it to consolidate its operations into a single centralized platform
• A North American insurer used Mitchell International’s solutions to ensure the correct parts were used in each estimate, resulting in a 22% reduction in gross estimate dollars The company has established a strong brand due to its success. It bills itself as the leading provider of property & casualty claims technology solutions in North America, with the broadest range of solutions. Each year it processes more than 50 million transactions and its technology team completes over 100 integrations with client systems.

It serves over 300 claims payers and over 30,000 repair centers, with clients including Enterprise, EMC Insurance Companies, and American Insurance Company. Its customers include most of the top 25 insurance payers. Lastly, it has over 2,000 employees operating out of offices in the Americas, Europe, and Asia.

Channels

Mitchell International’s main channel is its direct sales team. The company promotes its offerings through its website, social media pages, seminars, workshops, forums, trade shows, and conferences.

Customer Relationships

Mitchell International’s customer relationship is primarily of a self-service, automated nature. Customers utilize its products while having limited interaction with employees. The company’s website features a “Media Center” with useful resources such as white papers, case studies, webinars, and videos. The site also features a “Thought leadership” section that includes industry trend reports and expert blogs.

Despite this orientation, there is a personal assistance component. The company provides customer service through phone/e-mail/online support, remote support, and field services. It also provides training on the use of its software through a program called MitchellU. Mitchell International also has a co-creation component in that it works closely with clients to discover new innovations.

Key Activities

Mitchell International’s business model entails designing and developing its products for customers.

Key Partners

Mitchell International’s key partnerships are with the technology firms it works with to provide infrastructure for its software products and solutions. These partners include Oracle, Microsoft, Tableau, and Red Hat.

It also maintains strategic partnerships with various insurance, technology, and auto companies and organizations such as Procura, Harley-Davidson, Tractable, and Guidewire.

Key Resources

Mitchell International’s main resources are its human resources, who include the technology employees that design and develop its software, the sales employees that promote it, and the customer service personnel that provide support.

It maintains important physical resources in the form of data centers it operates in the United States, Canada, and Europe.

Cost Structure

Mitchell International has a cost-driven structure, aiming to minimize expenses through significant automation. Its biggest cost driver is likely sales/marketing, a fixed cost.

Other major drivers are in the areas of customer support/operations and administration, both fixed costs.

Revenue Streams

Mitchell International has one revenue stream: revenues it generates from the sale of its software products to customers.