MarketSphere Consulting

Steve Seatak, president and CEO

When Steve Sestak set out to launch a different kind of consulting firm in 2002, he knew he wanted a name that said something about the business. So Sestak, along with the three other ex-Arthur Andersen co-founders of the firm, settled on the name MarketSphere Consulting. “The firm was founded on a market-centric business philosophy,” says Sestak, who is president and CEO of MarketSphere Consulting. “That market orientation is the key dimension of our business. That approach really keeps us anchored on the local companies. We’re investing the time to be knowledgeable to their business, their issues and their challenges.”

Sestak says that MarketSphere has found that a blend of national expertise and local support “is the best way to serve those clients,” he says. “And because we are committed to local companies and communities, we are able to develop deeper relationships and be more responsive to our clients as needs arise.”

The market-centric approach focuses on 10 offices clustered in the three areas—the Midwest (Kansas City, Omaha, Neb., Indianapolis and St. Louis), the Southwest (Dallas and Houston) and North Central (Chicago, Pittsburgh and West Orange, N.J. MarketSphere also has an Atlanta office and will be looking to open more locations in the Southeast and Northeast, “depending on where clients want us to be,” Sestak says. Some 90 percent of MarketSphere’s revenue is generated from companies in local markets.

MarketSphere goes to market around two main strategic areas—enterprise technology and business advisory services, two fast-growing niches in the industry. Sestak says MarketSphere tries to keep about a 50/50 balance between those two practice areas. The positive growth has helped fuel revenue growth to the tune of 36 percent and 20 percent the last two years.

“Growth isn’t our primary strategy, it was more of a good outcome for doing the right things,” Sestak says. “Growth is certainly a good thing. Our industry is one where you have to grow or you don’t provide opportunities for your people.”

So, what’s the sweet spot for MarketSphere? “ We believe if we stay the course on our strategy, we’ll probably be in the $75 million to $100 million range in three years or so,” Sestak says. “But, I’d rather be a $75 million firm staying true to our principles than a $100 million firm that got there the wrong way.”

The wrong way, he says, is by rapid expansion through mergers and acquisitions. “Certainly, there is an M&A strategy, and we’ll continue to look for the right opportunities, but the organic track we’re on should take care of most of the growth,” Sestak says. “When you take acquisitions, there’s some risk there as well around culture. And that’s something we take very seriously.”

Preserving the culture at a firm that’s rapidly expanding is no easy task. One big plus, Sestak says, is the local focus means fewer days on the road for the consultants. “Our people certainly appreciate that,” he says. “And our new hires tend to be excited by the opportunity to be more relevant to the community in which they live.”

Another attractive feature of the firm, Sestak says, is the work that it does. “We’re a very well-rounded firm in terms of the work we do, while a lot of firms our size tend to specialize in just one or two areas,” Sestak says. “But we introduce a broad enough platform of solutions to attract good people to the firm.”