Organisations are striving to unlock their full potential through pricing
Some companies are making progress to reach a higher maturity, while the majority of organisations surveyed still struggle to unlock their full potential through pricing.
of respondents don't have a process in place to understand the willingness-to-pay of customers
give no (or very limited) price guidance to their sales team
complements monitoring with tracking the achievement of pricing strategy objectives
have their pricing data scattered across multiple non-integrated systems
Trade wars, Brexit and an overall downturn in economic growth have created challenging market dynamics over the past year. To understand the impact of these dynamics on a company’s pricing outlook and maturity, PwC launched a survey on pricing in organisations active in different industries.
The report is based on the respondents’ feedback and experience of PwC consultants on the topics covered. Is pricing thoroughly embedded in the organisation and considered one of the most important levers for profitability? Or is it considered a one-off that needs to happen whenever there’s a product launch or when there are customer changes (e.g. changes in preferences)?
To achieve successful pricing, companies have to be strong in five main areas:
For each of the domains mentioned above a score was given to indicate the maturity in each area,
with one (1) being the most basic score and four (4) being the most advanced.
For organisations looking to take the next step in their pricing maturity, it’s important to first identify opportunities in the main areas of improvement: strategy, processes, reporting, technology and organisation, and gradually grow from there.
Once the current capabilities are assessed, companies can start improving on pricing. How, exactly, can they do this?
Find out in our report and contact us for insightful recommendations.