SlideShare a Scribd company logo
Copyright Pricing Insight 2014 1 
10 RISKS TO PROFITABILITY THAT ARE PRESENT IN NEARLY EVERY COMPANY 
10 KEY RISKS TO REVENUE, PRICING & MARGIN
10 Risks to Revenue & Margin 
2 
© Pricing Insight 2012 
Pricing Masterclass – Session 1 
Margin erosion 
4. Margin erosion, revenues flat to growing 
5. Belief that lowest price wins the business 
1. Cost plus pricing culture 
2. Undefined value proposition 
3. Inconsistent pricing 
9. Price overrides 
10. Management misalignment / agreement 
6. New business won at low margin / below cost 
7. Channel conflict 
8. Price rise stalled
Copyright Pricing Insight 2014 
ABOUT PRICING INSIGHT 
Pricing Insight 
VALUE PROPOSITION 
We help companies accelerate revenue and margin expansion 
[Track record: $2.7M-$7.0M per project] 
CLIENTS 
Fortune 500, ASX 500, PE Portfolio companies 
REVENUES UNDER ADVICE 
$1.1B 
Total lifetime: $5.0B 
EXECUTIVES TRAINED 
2,300 
FOUNDED 
2007 
FOUNDER 
RON WOOD 
CASH GENERATED 
Approx. $150M 
Average yield 3.0% 
3
Copyright Pricing Insight 2014 
CONTACT DETAILS 
We work with a wide range of product and service related industries to generate earnings growth 
Corporate Office: Level 26, #1 Bligh Street Sydney 2000P: + 61 2 8226 8621E: prospectus@pricinginsight.com.auW: www.pricinginsight.com.au 
Rank Group Limited 
4

More Related Content

Recently uploaded

Memorandum Of Association Constitution of Company.ppt
Memorandum Of Association Constitution of Company.pptMemorandum Of Association Constitution of Company.ppt
Memorandum Of Association Constitution of Company.ppt
seri bangash
 
NewBase 24 May 2024 Energy News issue - 1727 by Khaled Al Awadi_compresse...
NewBase   24 May  2024  Energy News issue - 1727 by Khaled Al Awadi_compresse...NewBase   24 May  2024  Energy News issue - 1727 by Khaled Al Awadi_compresse...
NewBase 24 May 2024 Energy News issue - 1727 by Khaled Al Awadi_compresse...
Khaled Al Awadi
 

Recently uploaded (20)

The Inspiring Personality To Watch In 2024.pdf
The Inspiring Personality To Watch In 2024.pdfThe Inspiring Personality To Watch In 2024.pdf
The Inspiring Personality To Watch In 2024.pdf
 
transform-your-business-with-cutting-edge-inventory-management-and-3pl-integr...
transform-your-business-with-cutting-edge-inventory-management-and-3pl-integr...transform-your-business-with-cutting-edge-inventory-management-and-3pl-integr...
transform-your-business-with-cutting-edge-inventory-management-and-3pl-integr...
 
Event Report - IBM Think 2024 - It is all about AI and hybrid
Event Report - IBM Think 2024 - It is all about AI and hybridEvent Report - IBM Think 2024 - It is all about AI and hybrid
Event Report - IBM Think 2024 - It is all about AI and hybrid
 
sales plan presentation by mckinsey alum
sales plan presentation by mckinsey alumsales plan presentation by mckinsey alum
sales plan presentation by mckinsey alum
 
New Product Development.kjiy7ggbfdsddggo9lo
New Product Development.kjiy7ggbfdsddggo9loNew Product Development.kjiy7ggbfdsddggo9lo
New Product Development.kjiy7ggbfdsddggo9lo
 
Special Purpose Vehicle (Purpose, Formation & examples)
Special Purpose Vehicle (Purpose, Formation & examples)Special Purpose Vehicle (Purpose, Formation & examples)
Special Purpose Vehicle (Purpose, Formation & examples)
 
Understanding UAE Labour Law: Key Points for Employers and Employees
Understanding UAE Labour Law: Key Points for Employers and EmployeesUnderstanding UAE Labour Law: Key Points for Employers and Employees
Understanding UAE Labour Law: Key Points for Employers and Employees
 
Vendors of country report usefull datass
Vendors of country report usefull datassVendors of country report usefull datass
Vendors of country report usefull datass
 
Memorandum Of Association Constitution of Company.ppt
Memorandum Of Association Constitution of Company.pptMemorandum Of Association Constitution of Company.ppt
Memorandum Of Association Constitution of Company.ppt
 
Using Generative AI for Content Marketing
Using Generative AI for Content MarketingUsing Generative AI for Content Marketing
Using Generative AI for Content Marketing
 
Luxury Artificial Plants Dubai | Plants in KSA, UAE | Shajara
Luxury Artificial Plants Dubai | Plants in KSA, UAE | ShajaraLuxury Artificial Plants Dubai | Plants in KSA, UAE | Shajara
Luxury Artificial Plants Dubai | Plants in KSA, UAE | Shajara
 
Equinox Gold Corporate Deck May 24th 2024
Equinox Gold Corporate Deck May 24th 2024Equinox Gold Corporate Deck May 24th 2024
Equinox Gold Corporate Deck May 24th 2024
 
Hyundai capital 2024 1quarter Earnings release
Hyundai capital 2024 1quarter Earnings releaseHyundai capital 2024 1quarter Earnings release
Hyundai capital 2024 1quarter Earnings release
 
LinkedIn Masterclass Techweek 2024 v4.1.pptx
LinkedIn Masterclass Techweek 2024 v4.1.pptxLinkedIn Masterclass Techweek 2024 v4.1.pptx
LinkedIn Masterclass Techweek 2024 v4.1.pptx
 
Global Interconnection Group Joint Venture[960] (1).pdf
Global Interconnection Group Joint Venture[960] (1).pdfGlobal Interconnection Group Joint Venture[960] (1).pdf
Global Interconnection Group Joint Venture[960] (1).pdf
 
India’s Recommended Women Surgeons to Watch in 2024.pdf
India’s Recommended Women Surgeons to Watch in 2024.pdfIndia’s Recommended Women Surgeons to Watch in 2024.pdf
India’s Recommended Women Surgeons to Watch in 2024.pdf
 
How to Maintain Healthy Life style.pptx
How to Maintain  Healthy Life style.pptxHow to Maintain  Healthy Life style.pptx
How to Maintain Healthy Life style.pptx
 
Byrd & Chen’s Canadian Tax Principles 2023-2024 Edition 1st edition Volumes I...
Byrd & Chen’s Canadian Tax Principles 2023-2024 Edition 1st edition Volumes I...Byrd & Chen’s Canadian Tax Principles 2023-2024 Edition 1st edition Volumes I...
Byrd & Chen’s Canadian Tax Principles 2023-2024 Edition 1st edition Volumes I...
 
HR and Employment law update: May 2024.
HR and Employment law update:  May 2024.HR and Employment law update:  May 2024.
HR and Employment law update: May 2024.
 
NewBase 24 May 2024 Energy News issue - 1727 by Khaled Al Awadi_compresse...
NewBase   24 May  2024  Energy News issue - 1727 by Khaled Al Awadi_compresse...NewBase   24 May  2024  Energy News issue - 1727 by Khaled Al Awadi_compresse...
NewBase 24 May 2024 Energy News issue - 1727 by Khaled Al Awadi_compresse...
 

Featured

How Race, Age and Gender Shape Attitudes Towards Mental Health
How Race, Age and Gender Shape Attitudes Towards Mental HealthHow Race, Age and Gender Shape Attitudes Towards Mental Health
How Race, Age and Gender Shape Attitudes Towards Mental Health
ThinkNow
 
Social Media Marketing Trends 2024 // The Global Indie Insights
Social Media Marketing Trends 2024 // The Global Indie InsightsSocial Media Marketing Trends 2024 // The Global Indie Insights
Social Media Marketing Trends 2024 // The Global Indie Insights
Kurio // The Social Media Age(ncy)
 

Featured (20)

Everything You Need To Know About ChatGPT
Everything You Need To Know About ChatGPTEverything You Need To Know About ChatGPT
Everything You Need To Know About ChatGPT
 
Product Design Trends in 2024 | Teenage Engineerings
Product Design Trends in 2024 | Teenage EngineeringsProduct Design Trends in 2024 | Teenage Engineerings
Product Design Trends in 2024 | Teenage Engineerings
 
How Race, Age and Gender Shape Attitudes Towards Mental Health
How Race, Age and Gender Shape Attitudes Towards Mental HealthHow Race, Age and Gender Shape Attitudes Towards Mental Health
How Race, Age and Gender Shape Attitudes Towards Mental Health
 
AI Trends in Creative Operations 2024 by Artwork Flow.pdf
AI Trends in Creative Operations 2024 by Artwork Flow.pdfAI Trends in Creative Operations 2024 by Artwork Flow.pdf
AI Trends in Creative Operations 2024 by Artwork Flow.pdf
 
Skeleton Culture Code
Skeleton Culture CodeSkeleton Culture Code
Skeleton Culture Code
 
PEPSICO Presentation to CAGNY Conference Feb 2024
PEPSICO Presentation to CAGNY Conference Feb 2024PEPSICO Presentation to CAGNY Conference Feb 2024
PEPSICO Presentation to CAGNY Conference Feb 2024
 
Content Methodology: A Best Practices Report (Webinar)
Content Methodology: A Best Practices Report (Webinar)Content Methodology: A Best Practices Report (Webinar)
Content Methodology: A Best Practices Report (Webinar)
 
How to Prepare For a Successful Job Search for 2024
How to Prepare For a Successful Job Search for 2024How to Prepare For a Successful Job Search for 2024
How to Prepare For a Successful Job Search for 2024
 
Social Media Marketing Trends 2024 // The Global Indie Insights
Social Media Marketing Trends 2024 // The Global Indie InsightsSocial Media Marketing Trends 2024 // The Global Indie Insights
Social Media Marketing Trends 2024 // The Global Indie Insights
 
Trends In Paid Search: Navigating The Digital Landscape In 2024
Trends In Paid Search: Navigating The Digital Landscape In 2024Trends In Paid Search: Navigating The Digital Landscape In 2024
Trends In Paid Search: Navigating The Digital Landscape In 2024
 
5 Public speaking tips from TED - Visualized summary
5 Public speaking tips from TED - Visualized summary5 Public speaking tips from TED - Visualized summary
5 Public speaking tips from TED - Visualized summary
 
ChatGPT and the Future of Work - Clark Boyd
ChatGPT and the Future of Work - Clark Boyd ChatGPT and the Future of Work - Clark Boyd
ChatGPT and the Future of Work - Clark Boyd
 
Getting into the tech field. what next
Getting into the tech field. what next Getting into the tech field. what next
Getting into the tech field. what next
 
Google's Just Not That Into You: Understanding Core Updates & Search Intent
Google's Just Not That Into You: Understanding Core Updates & Search IntentGoogle's Just Not That Into You: Understanding Core Updates & Search Intent
Google's Just Not That Into You: Understanding Core Updates & Search Intent
 
How to have difficult conversations
How to have difficult conversations How to have difficult conversations
How to have difficult conversations
 
Introduction to Data Science
Introduction to Data ScienceIntroduction to Data Science
Introduction to Data Science
 
Time Management & Productivity - Best Practices
Time Management & Productivity -  Best PracticesTime Management & Productivity -  Best Practices
Time Management & Productivity - Best Practices
 
The six step guide to practical project management
The six step guide to practical project managementThe six step guide to practical project management
The six step guide to practical project management
 
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
 
Unlocking the Power of ChatGPT and AI in Testing - A Real-World Look, present...
Unlocking the Power of ChatGPT and AI in Testing - A Real-World Look, present...Unlocking the Power of ChatGPT and AI in Testing - A Real-World Look, present...
Unlocking the Power of ChatGPT and AI in Testing - A Real-World Look, present...
 

10 Key Risks to Revenue & Margin

  • 1. Copyright Pricing Insight 2014 1 10 RISKS TO PROFITABILITY THAT ARE PRESENT IN NEARLY EVERY COMPANY 10 KEY RISKS TO REVENUE, PRICING & MARGIN
  • 2. 10 Risks to Revenue & Margin 2 © Pricing Insight 2012 Pricing Masterclass – Session 1 Margin erosion 4. Margin erosion, revenues flat to growing 5. Belief that lowest price wins the business 1. Cost plus pricing culture 2. Undefined value proposition 3. Inconsistent pricing 9. Price overrides 10. Management misalignment / agreement 6. New business won at low margin / below cost 7. Channel conflict 8. Price rise stalled
  • 3. Copyright Pricing Insight 2014 ABOUT PRICING INSIGHT Pricing Insight VALUE PROPOSITION We help companies accelerate revenue and margin expansion [Track record: $2.7M-$7.0M per project] CLIENTS Fortune 500, ASX 500, PE Portfolio companies REVENUES UNDER ADVICE $1.1B Total lifetime: $5.0B EXECUTIVES TRAINED 2,300 FOUNDED 2007 FOUNDER RON WOOD CASH GENERATED Approx. $150M Average yield 3.0% 3
  • 4. Copyright Pricing Insight 2014 CONTACT DETAILS We work with a wide range of product and service related industries to generate earnings growth Corporate Office: Level 26, #1 Bligh Street Sydney 2000P: + 61 2 8226 8621E: prospectus@pricinginsight.com.auW: www.pricinginsight.com.au Rank Group Limited 4