• Share
  • Email
  • Embed
  • Like
  • Save
  • Private Content
Pricing solutions boost $38m/yr business benefits for our customers
 

Pricing solutions boost $38m/yr business benefits for our customers

on

  • 874 views

Effective pricing management solutions can help your company make better pricing decisions during your quote-to-bid process, to ensure profits margins are kept at its max. ...

Effective pricing management solutions can help your company make better pricing decisions during your quote-to-bid process, to ensure profits margins are kept at its max.

Talk to us to find out how..Let us share with you our experience in creating $38m/yr of business benefits for our customers in Asia.

Statistics

Views

Total Views
874
Views on SlideShare
872
Embed Views
2

Actions

Likes
0
Downloads
9
Comments
0

2 Embeds 2

http://www.slideshare.net 1
http://www.linkedin.com 1

Accessibility

Upload Details

Uploaded via as Adobe PDF

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

    Pricing solutions boost $38m/yr business benefits for our customers Pricing solutions boost $38m/yr business benefits for our customers Presentation Transcript

    • “Rapid Delivery of Business Value through Pricing & Margin Management” terence.chan@acceval-intl.com Proprietary & Confidential to Acceval
    • Who Is Acceval ? Leading provider and pioneer in Asia Pacific for Pricing & Recipient of Margin Management Software for Business-to-Business Singapore Infocomm companies Award 2008 for Created more than USD 38 million/yr worth of business Best Industrial Application benefits to-date for our customers PriXLence™ is an Enterprise Class software developed based on Pricing Best Practices from leading thought leaders such as McKinsey and Co. Designed to give business users control in every step of the Pricing Process from Segmentation to Deal Execution to Deal Negotiation to Closure Pioneered by a team of consultants from world class organizations (Accenture, Deloitte, SAP Consulting) Best Customer ROI Acceval’s Partners includes Accenture, IBM, HP, Singtel, and Award other industry-specific consulting partners Founder is ex-Shell -2- Proprietary & Confidential to Acceval
    • We have proven experience delivering “Pricing & Margin Management” capabilities across multiple industries within B2B environment -3-
    • Pricing Management – An Enterprise wide Challenge Reactive Pricing Error Prone Pricing Process “Gut feel” ad-hoc pricing Un-synchronized price list versions No central price list Inability to disseminate and control pricing to One Price fits All (lacking in segmentation) employees causing inconsistent prices to customers Enterprise wide Challenge Ineffective Deal Negotiation Disconnect from Enterprise Lacking in updated information weakens a Systems negotiation and cause exposure to financial Quote-to-Bid and Negotiation process risk disconnected from other functions/systems -4- Proprietary & Confidential to Acceval
    • Pricing Management and its Importance It’s about arriving at the right Offer Mckinsey study shows that by Price taking into consideration increasing 1% in all business drivers – Cost-to-Serve – Customers – Competition Pricing shows the most substantial Business Drivers increase in Profits and yet the most underutilized profit lever A rich opportunity to improve the bottom line not by cutting cost Control and creation of market segments thru differentiated pricing With PriXLence, it means achieving all these in one software Source: Harvard Business Review, McKinsey “The Price Advantage” Pricing Excellence is important in delivering superior business results -5- Proprietary & Confidential to Acceval
    • Pricing Transformation delivers significant business Benefits Case Study :- Chemicals (commodity and specialty) Benefits and Investment Attractiveness for Pricing transformation initiative Actual Acceval Client Business Benefits Case Study: 14,000 14000 Disguised Chemical Company 12,000 12000 10,000 10000 Investment Attractiveness US $ / year (‘000) 8,000 Benefits significantly 8000 US $ (‘000) > 1% of Revenue / Year 6,000 6000 4,000 4000 IRR > 40% 2,000 2000 0 0 P Optim rice ization Price Value Pricing Price Price ForecastingPrice Negotiation Total Annual One-tim e Synchronization Perform ance & Control Recurring Receivables Analysis Benefits Reduction For company with annual revenue of US 1 Billion / year, recurring business benefit is more than 10 million / year 6 6 7 7 8 8 9 9 0 0 '0 '0 '0 '0 '0 '0 '0 '0 '1 '1 1 3 1 3 1 3 1 3 1 3 Q Q Q Q Q Q Q Q Q Q -6- Proprietary & Confidential to Acceval
    • Acceval creates Success for your business at your pace Pricing & Margin Management / Optimisation Continuum Pricing & Margin Management Price Optimisation (Foundation) (Advanced) Value Creation ($) Deal Execution Pricing Analytics Price based on Customer Value Quick Win (Value Pricing) Improve Negotiated Improve Pricing Reduce Unwarranted Price / Margin Policies & Cost to Optimise Bid Price / Discount / Serve List Price Inconsistent Pricing Enhance Price Differentiation Improve Business “Optimise” Product (Segmented Pricing) Mix / Service Offerings Pricing Capabilities Continuum While Acceval covers the whole spectrum of pricing capabilities, most companies will start with Pricing & Margin Management areas -7- Proprietary & Confidential to Acceval
    • PriXLence™: Acceval’s flagship Pricing & Margin Management solution for Business To Business Industries 1 Deal Execution (List Price / Policy Management, Quotation Management) 2 Pricing / Profitability Analysis, Segmentation, Competitive Intelligence 3 Value Pricing / Price Optimisation -8- Proprietary & Confidential to Acceval
    • Value Proposition for Pricing Transformation enabled by PriXLence™ Compelling Business Benefits : Typically 1-3% of Revenue / year Company with 100 mil revenue / year 1-3mil benefits / year Value Drivers Benefit Sources Improve Offer Price to Customer Achieve Better Negotiated Price / Margin Revenue Reduce Unnecessary Discounting Enhancement Enhance contract compliance Improve Capture of Market Price Trend Earnings After Opportunities Capital Costs Improve Product / Customer / Channel / Market Mix Cost Reduce Costs To Serve, e.g. Reduction – Supply Chain costs – Customer Support / Service costs – Channel costs Working Capital Reduce Working Capital Requirements Reduction (payment terms / inventory) -9- Proprietary & Confidential to Acceval
    • Pricing Management solution enables your Pricing Strategy Empower and Enable People Policies and Processes Clear price setting/discount policies/rules Empower to quote and negotiate deals Clear approvals process/authority Incentives to promote lower discounts, shorter payment terms Pricing done globally or in-country Pricing Management Systems Analyze Control and Measurements Constant efforts to quantify each offering to each target market Controls on undeserved discounts Co-Relation of Offer Prices /Volume Reviews of previous discounts Co-Relation of Offer Prices/Market Control on Cost-to-Serve factors - 10 - Proprietary & Confidential to Acceval