A phased approach to developing Pricing Excellence

At 7Sages Pricing our pricing practitioners and subject matter experts help guide you through a structured, proven process to unlock the full potential of your pricing strategy, from initial assessment to ongoing value realization. Our end-to-end program management ensures a seamless journey towards pricing excellence. It doesn’t matter where you start in the cycle, the key getting to Change Management and nurture as that is how the value generated by delivering the business growth through smarter pricing that we promise.

Our 800-client engagement over the last 25 years have delivered an average of 10% margin improvement annually or a 2% return on sales (ROS) by following some or all the steps in our process.

Phase 1: Pricing Performance Diagnostic

Phase 1: Pricing Performance Diagnostic

We begin with a thorough evaluation of your current pricing strategy & processes with your internal hypothesis. We also include a deep dive into your data to understand the business and develop some quick win pricing actions. This includes:

  • Qualitative and quantitative research to understand your current state
  • Maturity assessment and gap analysis against best-in-class pricing with benchmarks against industry best practices and competitors 
  • Data deep-dive to identify "low-hanging fruit" for quick wins
  • Assessment of current pricing tools & technologies with pricing governance and organizational structure
  • The roadmap of actions and the recommended journey for pricing including the overall ROI from an investment in pricing
Phase 2: Pricing Strategy

Phase 2: Pricing Strategy

Based on the Pricing Performance Diagnostic and the things we uncover, we further develop your pricing strategy in a tailored way to help optimize revenue and generate incremental value and margins. The types of things we might cover in this phase would include:

  • Quantitative research to understand customer willingness to pay
  • Development of pricing strategies and processes with target operating models
  • Customer segmentation, value mapping, and Voice of Customer (VoC) -driven value propositions to define pricing rules based on value and competition
  • Development of a value-based pricing framework
  • Design of optimal pricing structures (discounts, rebates, pricing corridors etc.)
  • Competitive pricing analysis and positioning strategies
Phase 3: Strategy and Tools Implementation

Phase 3: Strategy and Tools Implementation

The 3rd phase is all about implementation of anything developed in Phase 2

  • New pricing methodologies
  • New pricing structures
  • New segmentation approach 
  • Process documentation and embedded disciplines

We are tool-agnostic, meaning we select the best tool for the requirement. This could be an Excel file, a new process, some training or Pricing Software that connects ERP and CRM together to be the master of record for pricing. 

Phase 4: Value Realization & Nurture

Phase 4: Value Realization & Nurture

Change management is a critical part of any project, with ROI from a project only being realised when the new tools and processes are used.  We become your extended team as we embed the new things from Phase 3 into your organisation to ensure you realize the full value of your pricing investment.

The types of things we might cover in this phase would include:

  • Change management with support, maintenance, and team training
  • Continuous monitoring of pricing performance against KPIs
  • Ongoing optimization of pricing strategies and rules
  • Regular reporting and analysis of pricing results
  • Identification of new opportunities for pricing improvement
  • Continuous improvement and optimization of pricing

Talk to one of our experts today

If you feel like 7Sages Pricing is exactly who you are looking for, leave us a message and one of our pricing experts will get back to you.