Modern Star is Australia’s leading B2B provider of education resources and equipment to early childhood centers and schools, with a fast-growing Asia presence, kindergartens in China and international schools in Southeast Asia. With over 20,000 SKUs, its core categories include arts & craft, ICT robotics, mathematics, science, literacy and learn & play. At the core of the business, the industry leading education team curates and designs products tailored for the Australian curriculum and key customers are predominantly individual school teachers and childcare center managers that require educational aids that are essential to the learning process and development of children.
- Leading market positions in key subject verticals (~10-15% market share in each) with over 60 years of brand history in the Australian market
- Scalable future growth – already transitioned its customer base to ordering via its market leading online platform
- Defensive and stable industry with strong underlying drivers – education funding per student growing strongly; education resources forms a small but essential portion of school spend
- Asia expansion potential from leveraging education IP developed from Australia’s world class early childhood teaching curriculum
- Executed several domestic bolt-on acquisitions to gain access to product IP in high growth subject verticals and accelerate market share growth
- Focused on building digital and brand marketing activities aimed at teacher engagement and community to increase share of customer spend
- Expansion into China market via strategic acquisition of a manufacturer of educational equipment and resources with a highly reputable brand amongst Chinese kindergartens
- Led commercial vendor review and procurement process for supply chain operations (inbound freight, domestic outbound freight, warehousing), which derived significant savings as well as improved customer service with DIFOT up to 98%
With Navis support, the management team is focused on consolidating its market leading position as the pre-eminent partner to Australian schools and childcare centers in the supply of critical educational resources and teaching aids. The Australian education system continues to receive strong bipartisan support from Federal and State Governments with long term commitments to increase school funding over the next 10 years.
Furthermore, management in both Australia and Asia are also focused on building upon the strong brand and product platform in China to capitalize on the high growth of the early childhood market and ensure the business is well placed to consolidate its premium position.