Price management in practice - how to systematically increase your profit

Process steps for price management:

Positioning and objectives

• Procedure Pricing is derived from the positioning.
• Company results and pricing strategy.
• The price from the customer's point of view. Loyalty as a basic factor for profitability.
• Different cost structures for industry and services or digital products.

Analysis as a prerequisite

• What is the cost structure? In particular: How are the variable costs changing?
• Pricing basics: products and channels, classic and digital.
• Three Cs as parameters: Costs, competition, customers.

Calculation

• How is the information turned into prices?
• Consideration of different customer groups.
• Price position in competition.
• Target pricing as a fundamental approach.

Decisions

• Which price line should be followed?
• What is the framework for action?
• How is pricing implemented organizationally?

Price variations

• Variation options by segment, quantity and products.
• Expansion through paragraphs on the Internet.
• New price metrics.

Price psychology

• What do psychology and neuroscience say?
• Effects on customer and pricing behavior.
• Pricing in the course of the product life cycle.

Basics of the control system

• Contribution margin as pricing basis.
• Multi-level contribution margin as a control basis.
• Customer knowledge to adjust the procedure.

Price negotiation

• Enforcement in the price discussion.
• Price scale as a model.

Controlling

• Organizational unit for pricing.
• System support (CRM system) for control and foundation.

Price negotiation

• Enforcement in the price discussion.
• Price scale as a model.

Customer view

• Loyalty as a basic factor for profitability.