5 Analyses Every Pricing Manager Needs to Know

When it comes to understanding the importance of pricing, our five important analysis methods can be eye-openers for Management. They show you where immediate action is needed, and, if the right steps are taken, will have a direct impact on your profits. To emphasize: We mean profit, not revenue. Most KPIs, dashboards and cockpits indicate the revenue figures, sales volume and in the best cases some aggregated margins on a country or product level. However, to draw meaningful conclusions you have to dig one level deeper. Use our analyses to reveal profit potential in places you haven’t looked until now:

#1 Customer analysis

A very basic analysis, that’s conducted by very few companies. This analyses annual revenue using the average margin or discount for all of your customers. Typically you would expect higher revenue to lead to a higher discount (and lower margin). But…