Business Planning: Creating unparalleled gross margin

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A manufacturer leveraged established product value and saw immediate impact on bottom line.

Business Planning: Creating unparalleled gross margin

Client challenge

Margins were tight restricting growth and investment in R&D
Could not keep pace with competitors
Low prices were impacting brand equity, client perception in the marketplace

Incentica’s Solution

Increase price by connecting clients to quantifiable benefits:

Determined key needs of clients
Quantified product/service alignment with needs
Compared competitor price to needs delivery ratio
Recommend price increase and least path of resistance in market
Consult with stakeholders to create plan
Coach execution, monitor plan for adoption in the market

Impact on client’s business:

Rapid path to margin growth

Universal acceptance of new pricing by current and prospective clients
Gross Margin increased by 100% almost overnight and was sustained
Tens of millions more cash to put into R&D and create further momentum
Brand equity and market perception improved dramatically

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Steve Williams CExP™, CMAA

Partner, Incentica Business Plans

(403) 305 – 0841

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