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Pricing and promotional strategies can have a big bottom line impact

 

Profit elasticity underpins pricing and promotional strategies and if optimised can add huge value to the bottom line, especially in businesses with high operational gearing as many consumer businesses are. 

Coupling big data analytics with the imperative to understand both perceived and actual competitive position of current pricing strategies, pricing work is both a science and an art. Measurement, feedback, adaptation and control are then critical to effective realisation of value.

We work with clients to boil down the complexity, highlight the competition and propose clear and implementable strategies, considering alternative pricing models, absolute pricing levels, price discrimination by customer segment, total lifetime / basket value, cross-price elasticity, pricing architecture, promotional mechanics and communication.