Methodology

The geographies in which you operate, the number of customers served, the number of products/services offered, and the size of your sales force multiply to create a highly complex pricing environment. HFx Strategic Pricing Manager organizes the complexity in a manageable framework that standardizes pricing practices.

Using your transactional data, our sophisticated analytical engine profiles your customer base and product/service offerings.

Customers are segmented according to how they value your products/services
Customers are sized according to the sales and margin they contribute annually, as well as their unit consumption
Products/services are categorized by product group
Price sensitivity scores are assigned to products/services

The above factors are used to construct a strategic pricing architecture that helps you manage the complexity of your business while maximizing its profitability. Pricing recommendations and discounting structures are designed such that:

Pricing structures across geographies reflect the varying pricing power of your products/services
Relatively small customers pay premiums compared to large customers
Relatively price insensitive products/services command premiums relative to price sensitive products/services

With the pricing architectures in place, the HFx Strategic Pricing Manager’s Progression Stages give you a roadmap to pricing excellence. Starting with pricing moves that expose you to minimal risk, state-of-the-art visualization dashboards guide you through the process of managing to the strategic pricing architecture. You make profit improvements quickly in a low-risk, strategic fashion.