Overview
The issue of margin erosion will never end if distributors do not get creative with both their pricing methods and their value proposition. Issues involving pricing methods are highly critical to profitability and therefore should be addressed promptly in order to safeguard success. For many distributors, pricing decisions are delegated to individual salespeople to allow for flexibility, but the resulting inconsistency in pricing decisions will result in greater disorganization and inefficiency. The solution to this dilemma lies in “complexity management”—providing consistency and structure with simple and easily manageable variables.
Click on the image to the right to access a brochure for this program.
Benefits
- Improve Margins by 300 basis points
- Identify key variables that must drive your pricing decisions
- Adopt a simple, practical, and scientific framework
- Utilize existing information in your system to increase margins
- Provide meaningful, concise information to your sales force
- Implement pricing best practices with minimal resources
The pricing optimization program has been an invaluable tool for highlighting opportunities to improve margins. Implementing the principles in a pilot location raised gross margins by over 3% in less than a year. It has been an eye-opening experience for those salespeople using the cost-plus method for determining sales price.”
– Kevin Martin, Vice President of Operations, Pipeline Packaging
Who Should Attend?
Sales and Branch Managers
Customer Service Personnel
Pricing and Purchasing Professionals
Executives and Strategic Managers
Business Analysts and IT Managers
Deliverables
Slides as a course booklet
Workbook for exercises and activity
Pricing Optimization Book
Customer Stratification Book
Certificate
Required Materials
Laptop with Excel 2007 or later, key customer metrics you track at your firm, customer data from your firm, calculator
