How does a business know that it is a candidate for price optimization to improve business performance? Here are some guidelines to get you started
Unless a company already has very strong competency along the entire pricing continuum from understanding true product and customer profitability, to setting optimal prices and then ensuring that these price guidelines and processes are consistently and efficiently executed there are usually changes a company can make that will yield immediate improvements with minimal disruption. For this reason, pricing projects are often a top remedy for addressing company initiatives aimed at revenue and/or margin improvement.
However, to truly be ready to embark on a pricing initiative, companies need top-down initiatives and executive-level sponsorship, as well as the cross-functional team that could implement the recommendations. If this foundation is not first laid, the desire to improve pricing is likely to fall into a