Businesses are being challenged to keep up with rising costs due to sustained inflation over recent months. Oliver Wyman found that out of all companies that improved profit during the COVID-19 pandemic, only 1 in 5 did it through pricing optimization. As economic headwinds taper the surge in demand for our products and services, and companies exhaust cost cutting measures, pricing remains the most effective, albeit under-utilized, profit lever.
While many organizations have resorted to raising prices, doing so aggressively could incite customer revolt and reputational damage. Additionally, frontline sales are not properly aligned to communicate value and defend the new pricing level. How to price, rather than how much to price, becomes the key.
• How to effectively optimize pricing models without resorting to a sharp price increase.
• Pricing strategies during inflationary times.