Enhancing Customers’ perception of the Value of their offers & Optimizing pricing decision-making represents the two largest, multi-million dollar opportunities for companies to drive incremental sales and profits. Successfully implementing Customer Value & pricing analytics can quickly result in 3 – 6% ROS Improvement while driving 1 – 3% increases in sales. Too often this “lowhanging fruit” opportunity goes unpicked, and sales opportunities and profits lost
PriValEdge’s State of the art Pricing Analytics provide leading companies with answers to critical pricing and Customer Value questions.
Pricing Analytics Questions
- · What drives customer’s Value Perception? …and how does my offer rate vs competitors on key Value Driving product attributes?
- · What are the right price points to optimize Value Capture / Effectively support my strategic objectives?
- · How often should I price promote and at what depth to achieve my sales and profit targets?
- · How can I adapt / redesign my offer to increase Value perception & develop a defendable source of competitive advantage?
- · What items are synergistic that can be bundled and promoted together to enhance Customer Value?
- · What is the impact of competitive pricing on my brands; my pricing on competitive brands?
- · What price thresholds and price gaps pose the most risk to my sales and brand position?
- · What is the right amount of price promotion and marketing activity? Which activities can be bundled to produce the best results?
- · How should I differentiate my offers & price against specific consumer segments to optimize sales and share in specific markets?
- · What is the pricing sensitivity to my own and competitive products that will result in switching?
- · What is the best pricing architecture for my product portfolio given competitive and category trends/pressures?
Pricing & customer Value decisions impact virtually every part of the organization. Ipsos MMA’s strategic pricing solution and pricing analytics enable
companies to improve their understanding of the impact of pricing decisions and make more informed and forward looking decisions across the
organization. The result is higher sales and improved profitability.
PriValEdge’s Value & Pricing Analytics tools provide clients with powerful approaches to build Pricing & Value management into a key source of Competitive advantage & bottom line results. They can be used not only to provide a rich mix of fact-based, predictive analytical insights but to enable those insights by connecting them to the marketplace and helping them evaluate the merits of alternative strategies / competitive stances. By understanding what will happen under various scenarios companies can plan and act more effectively to boost performance & results but also quickly and proactively react to competitive threats and evolving market conditions.
CUSTOMER VALUE MODELING / willingness to pay:
Privaledge combines Value & Pricing research (Choice based conjoint) and sophisticated statistical analysis of customers’ reaction to past prices to develop robust & precise models of customer’s Value drivers Price elasticity & detailed Value models.
Powerful, Real-time Simulation and Scenario Planning TOOLS:
PriValEdge Decision Support Tools allow real-time “what if scenario” simulation activities across products and brands (including competitors’ products and brands) allows users to understand the direct implication of pricing and/or Value repositioning strategies on sales and profits for their own brand as well as competitive items.
Customer Value MODELS:
FinancialValue to customers models can be developed in many instances to actually quantify the Financial value of our offer (vs that of our main competitors) for individual customers in a target segment. Such models, when used by the sales force can provide very effective support for Value Based Selling.
Pricing levers effectivenes measurement & management:
PriValEdge’s Power Pricer provides highly powerful and flexible transactional analytics to provide control and insights on all Pricing levers (pricing discounts and rebates, pricing promotions, pricing sales support, …) to follow & control how they are used and how effective they are on any segment: geography or product group….
Price leakage management & control:
Power Pricer’ powerful and flexible transactional analytics also provide effective controm and management of ‘Price Leakages’ … Key tools includes Price waterfall, Dispersion charts, Variance analysis, Price corridors, Price exceptions management, Price Traffic lights, etc..