In this business use case, we are looking at how Pricefx can help you quickly and efficiently adjust your pricing strategy in response to supplier cost changes or other market factors. Whether you need to update prices across your entire product portfolio or create new price lists based on updated pricing strategies, Pricefx has the tools you need to get the job done quickly and accurately.
Use Case Situation Description
User Role:
Pricing Analyst/Manager
Business Objective:
Calculating and publishing new prices can be an extensive and expensive task. There are numerous reasons why a distributor would publish new price lists. Those include, but are not limited to, changes in overall strategy, changing market conditions, or supplier cost changes. The ability to quickly publish a new price list is paramount to avoiding margin leakage and erroneous pricing.
Complication:
· Price changes potentially happen frequently (daily/weekly/monthly) across market segments
· Calculating and communicating updated pricing is time-consuming and error-prone
Capability Needed:
· Real-time pricing updates based on new input triggers and recalculation logic
· Easy and efficient execution to loop back the prices into the ERP system(s)
Benefit:
· Increase margin due to more frequent and faster price updates
· Reduced margin compression with reduction in manual errors and timely pricing updates
KPI:
· Margin improvement and price realization due to more frequent price changes
Calculations:
· Margin improvement = new margin – old margin