The right pricing consultant can dramatically accelerate your price optimization efforts. They can streamline your pricing structure, jump start a pricing analytics program, and built your company‘s overall level of pricing capability through process and system enhancements.

Speaking as a pricing consultant, there are a few things that I wish many of my clients understood. These insights would make my job easier and accelerate their progress. I’m sharing my thoughts here to help you along the path to profitable growth.

Good execution will have a meaningful effect on your company‘s valuation.

Balancing Cost vs. Value in Pricing Strategy Consulting

On May 31, 2020 By MarginHound In Distributor Pricing, Margin Improvement, Pricing Consulting, Pricing Goals, Pricing Process, Pricing Software, Private Equity

While this advice is admittedly self serving, I’ve grown very skeptical of the recent trend of B2B Pricing Consultants pairing off with B2B Pricing Software Companies as “strategic partners”. The issue isn’t the pricing software. …

How To Ensure Your Distribution Pricing Consultant Is Successful

On May 30, 2020 By MarginHound In Distributor Pricing, Margin Improvement, Pricing Analytics, Pricing Consulting, Pricing Goals, Pricing Process, Pricing Team, Private Equity, Turnaround Strategy

If you’re managing a decent sized distributor, you’ve probably been approached by at least one consulting firm to talk about pricing. The concept sounds good on paper: use a few targeted price increase campaigns to …

Pricing Audit – Unlocking The Value

On October 12, 2019 By MarginHound In Pricing Consulting, Pricing Process

A pricing audit is often a good first step towards unlocking the value of your pricing opportunity. There is often significant value in asking an experienced pricing leader to review a company’s current pricing processes …

Goal Setting: The Truth About Change

On March 27, 2019 By MarginHound In Leading Change, Pricing Consulting, Pricing Goals

Strategic Pricing: 9 Ways To Improve Profit Margin

On January 11, 2019 By MarginHound In Customer Profitability, Distributor Pricing, Margin Improvement, Pricing Analytics, Pricing Consulting, Private Equity, Product Profitability, Project Profitability, Turnaround Strategy

True Strategic Pricing isn’t about simply charging more money In fact, that’s a very risky long term value creation lever. The market eventually figures out what you’re doing.

Pricing leaders know that you need to be as good at creating value as your are at claiming it.

For a sustainable margin lift, look at these case studies exploring how to reshape the value you offer customers – and cost of delivering that value – to create a competitive advantage.

Using a Pricing Consultant to Jump Start Your Pricing Strategy

As a senior consultant, My first question to any CEO who wants me to improve their business isn’t about their willingness to pay my consulting rate. It’s much simpler:

Are you serious about leading a pricing change?

Because if you’re just doing this to impress your board of directors, we have easier consulting service offerings that will get them off your back. But if you’re truly interested in unlocking a faster path to profitable growth, we should talk further.

But I need you committed to the process.

While a pricing transformation may start as a commercial project, an effective pricing change needs the support of many team members. We’re going to need to understand your customer segment strategy and current market share within each niche. The marketing team will want to adjust their operations to support margin improvement. The operations team may need to support new logistics and service bundles. Manufacturing may need to support different priorities.

At it’s core, an effective pricing transformation is about leadership. We’re going to analyze your business, set priorities, and identify an ideal price strategy and pricing structure to rally the team around. After that, the challenge becomes execution. Will they follow us?

And that’s where we’re going to need your full support.

The tactical details of the pricing program are straightforward; we are the pricing expert to help you through this change. As a team, we will build a pricing model. There will be questions about cost accounting and transfer pricing systems (transfer prices between business units). We’re going to test price elasticity by changing prices of certain items and watching the shift in revenue. These are all things we’ve helped retailers, manufacturers, and distributors solve before.

In the final analysis, the client‘s executive leadership support and alignment with your business culture are the two most significant client success factors in a pricing consulting engagement.

Want to know more? Check out our pricing consulting services overview..