 |
Situation
| A $3+ B life science
company faced an imperative to grow revenues |
| Over-reliance on
discounting by Sales to close business |
| Complex product configuration |
| Multiple pricing bases |
| Increasing sharing of pricing information
among customers |
Actions Taken
| Set performance
goals with executives |
| Determined price
management and enforcement models that fit the business |
| Determined segmentation fences that
explained current price levels through modeling |
| Segmented customers by several fences,
developed deal envelopes (guidance and controls) for each segment |
| Developed
a pricing strategy roll-out package for Sales and trained Price
Strategy Leader |
Results
| 3% increase in
revenue, 8% improvement in PBT, net of account losses |
| Identified battle
for price basis as largest pricing threat to the business |
|
