Pricing

Pricing is an excellent lever for increasing a company’s profitability without large investments. Optimizing a company’s pricing strategy is about understanding the underlying drivers of customer value and paying attention to the details in terms, targets and KPIs. It will be achieved by using fact-based insights and practices and challenging previously established myths and practices.

Working with the entire pricing process is often a cross company effort. That is why we take a holistic view when working with pricing. For us that means both making sure that all parts of a winning pricing concept are there and that any changes really are implemented. We work with customers that are in any stage if the journey whether it is about finding the right pricing strategy or implementing a new discount structure, but we always make sure we don’t deliver desktop products. Depending on industry and product/service we have a historic price effect of 2-9%. That means a direct revenue increase entirely hitting the bottom line.

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Direct to your bottom line

The four cornerstones of pricing

Pricing strategy

Do you have a recognized pricing strategy? Is it well aligned with your corporate strategy and your business goals? This is important as the rest of your framework should be designed to help you with your business goals.

The pricing framework

Where do your prices come from? Are prices and discount set to support your business offering? Almost all of our clients have some sort of price logic, however, most of them do not have data driven pricing rules. We help clients develop both the right offer and the right price.

Governance & Compliance

Pricing often happens in several stages and in different places within a company. If you can fully follow the price journey you will know when you are about to experience a price leakage and stop it. It’s about giving employees the right tools to make good deals.

Organization & Tools

Do your employees have a forum for discussing prices? Does your system allow for the price logic you want?If you don’t have the infrastructure to empower your people you are not likely to win in pricing.

Change through data

Pricing can be a sensitive subject, from a technical-, business- and individual standpoint, which can make change troublesome. To make sure you are moving in the right direction and to make everyone believe in that direction, proper data analysis is needed. By working jointly with people and numbers we find that it is possible to challenge old myths and truly make strides in a narrow time-frame. We often help clients set up monitors and tools for analysis that end up becoming vital reporting instruments that increase longevity of any implemented change.

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We are here to help you! Reach out to us and we can together figure out how we can tackle your challenges.