Pricing & Profits

Are your pricing policies ready for the next recession?

Across the world, macro and micro-economic factors appear once again to be driving the global economy towards recession. In the UK, Brexit has already reportedly cost the country £66 billion since 2016, according to the credit ratings agency, Standard and Poor. A study by the National Institute of Economic and Social Research (NIESR) has found…

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Bubo.AI: How our machine learning solution achieves pricing goals

Very few companies achieve pricing goals, with the majority missing these targets, therefore having a negative impact on profit margins and overall profitability. Pricing strategies are a smart lever that businesses can use to increase profitability. A 1% improvement in pricing can increase net margins up to 11%. In a Bain & Company survey, 85%…

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Why do branch managers and salespeople struggle with pricing decisions?

When it comes to pricing, far too many companies rely on an ad hoc policy on the front line, leaving too much money on the table and eroding margins. In a B2B sales environment, where branch managers and salespeople have pricing discretion, a culture of discounts often exists. Regardless of what senior managers or investors…

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Why do businesses ignore the impact of pricing when optimizing returns?

Pricing impacts everything. Pricing strategy is one of the few operational areas that have a direct and meaningful impact on profits. With a 1% uptick in prices, Harvard Business Review and other studies have shown that companies can improve net margins 11%. So why do so many businesses ignore or overlook pricing when trying to…

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