Local and Global Pricing Insights

8 Ways to Improve the Success of Price Increases

Posted by Finn Helmo Hansen on 05-Dec-2017 11:05:00

This is the time of year when many companies are planning or executing price increases for the new year. Some are successful and reap considerable improvements in profitability. Others have difficulty in making the price increase stick. And others simply fail to implement a price increase.

Over many years working in the pricing industry, I have seen a number of things that successful companies do when it comes to implementing the price increases. Here are some of those insights.

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Topics: Pricing, price research, revenue control, revenue management software, price increases

Should Cost be part of a Dynamic Pricing Model?

Posted by Stratinis on 18-Jul-2017 06:00:00

It can be. But, as with most things in business, it depends. In this example below from an e-commerce company, cost makes up the starting point.

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Topics: Pricing, value-based pricing, dynamic pricing

Building a Pricing Simulator for Sales People

Posted by Stratinis on 06-Jul-2017 19:13:27

Pricing Simulation for sales people can be highly useful in many situations. It can help assess price increases, or simulate different profitability outcomes when applying different assumptions. It can also be useful when e.g. merging companies to see what different scenarios play out well for the merged company versus the customer. 

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Topics: Pricing, Stratinis, revenue control, deal management

5 Pricing Areas to Train Sales People on in M&A

Posted by Stratinis on 05-Jul-2017 19:21:52

In Mergers & Acquisitions it is common that several sales organizations are merged. The result is that people often need to sell new products or services, and that they need to negotiate prices and deliver value arguments that they are not familiar with. Here are 5 areas that can determine whether the pricing side of a M&A implementation is successful or not:

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Topics: Pricing, M&A, sales

Putting Structure to Pricing in an Acquisition

Posted by Stratinis on 04-Jul-2017 10:47:23

Our partners over at RevBeam wrote a great blog post today about how to make pricing the hero of an acquisition:

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Topics: Price Optimization, Pricing, price research, revenue management software, revbeam

Dynamic Pricing and Machine Learning in Pricing

Posted by Stratinis on 03-Jul-2017 17:30:19

In some industries, if not most, prices have historically only been changed infrequently, but the emergence of Dynamic Pricing and the benefits it brings to sellers is changing that. Dynamic Pricing in itself is simply to update prices (more) frequently based on an underlying pricing model, in order to optimize prices in accordance with demand, competition, market conditions, customer willingness-to-pay and more. 

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Topics: Price Optimization, Pricing, machine learning, artificial intelligence

Revenue Control: Continuous, Incremental Profit Improvements

Posted by Stratinis on 21-Jun-2017 12:46:18

Controlling revenue in B2B, as well as B2C, means being on top of what prices and discounts are offered to each customer. 

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Topics: Pricing, Stratinis, revenue control, floor prices

Pricing Software in E-Commerce

Posted by Stratinis on 16-Jun-2017 13:57:05

Pricing in E-Commerce often involves updating thousands, if not hundreds of thousands of prices on a very frequent basis. While theoretically Microsoft Excel will hold over a million lines, in practice manual updates become very cumbersome and also miss out on a number of optimization options. This is where Price Management and Price Optimization software comes in.

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Topics: Pricing, technology, ecommerce

Should Sales People Know the Floor Prices?

Posted by Stratinis on 14-Jun-2017 14:25:20

Pricing in B2B sometimes including setting a Floor Price, i.e. a pocket price that sales people are not allowed to go below for a given customer, at least not without prior approval. They are usually internal numbers not shared with customers, for the obvious reason that any buyer worth his salt will immediately push for that price if he knew how low the sales executive is allowed to go. But what about what the sales person him or herself? Two main school of thoughts exist:

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Topics: Pricing, revenue control, international pricing

Floor Prices in B2B

Posted by Stratinis on 13-Jun-2017 13:13:21

In business relations it is very much the norm that a variety of discounts or rebates are given to customers, which leads to that many customers have different pocket prices, or net net prices, after all those discounts. This is in itself a good thing, as it means that suppliers can differentiate discounting and final price paid, based on customer value and performance. 

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Topics: Pricing, revenue control, floor prices