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Inside SPA: The Epicor-SPA Program

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There is no greater profit lever you can pull for your business than a disciplined pricing strategy. The Epicor Strategic Pricing module simplifies the task of getting the prices you charge to their optimal level. Watch our collection of videos to learn about the power of strategic pricing with Epicor.

For every product, for every customer, there is a price that produces the optimal gross margin – the highest margin you can obtain while retaining the customer’s business. What that price is depends on multiple factors, from the amount of business you do with a customer annually to the particular item being ordered. Up until now, determining that right price for every item has been a formidably complex task. With Epicor Strategic Pricing, that task becomes as simple as a few keystrokes.

Research conducted by SPA has shown that most distributors either charge customers too little or too much for the products they buy. Both have pitfalls: charge customers too much, and they are less likely to do more business with you; charge them too little, and you’re leaving money on the table. Strategic Pricing helps you get all your transactions to that optimal price – not too high, not too low, but just right.

The Strategic Pricing module analyzes your database for customer and order information and then classifies customers by type and size. It then exports your customer data to SPA, which sends back recommendations for pricing items by customer and product. The optional Pricing Structure service from SPA will recommend optimal discount structures across customer and item categories, and the optional Customer SKU service from SPA will recommend pricing for specific customer/item combinations for your best customers. These recommendations can
be imported into your Epicor solution, providing easy updating and maintenance of your pricing structures.

Benefits

  • Increase gross margins anywhere from two to four percentage points in the first year alone on affected items
  • Maximize profits by squeezing higher gross margins out of less price-sensitive transactions
  • Support a pricing architecture that is strategic, market-based, and disciplined
  • Build customer loyalty by offering each customer maximum value for money

Click here to learn more.

Follow SPA

To easily keep up with the latest SPA announcements, events and resources you can subscribe to our Strategic Pricing Pays blog or follow us on LinkedIn or on the following major social media channels and file sharing platforms: Twitter, Google+, Facebook, SlideShare, and YouTube.

We also encourage you to join the Strategic Pricing discussions in our LinkedIn group and to sign up to receive our Strategic Pricing Newsletter by clicking here.

Inside SPA: The Power of Strategic Pricing

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Reducing your operating expenses, increasing your sales volume, and reducing your cost of goods sold all deliver bottom line profit improvement. But no element of your business mix can deliver more impact to your bottom line than strategic pricing. Watch our collection of videos to learn about the power of strategic pricing and how SPA’s clients are realizing significant margin improvements.

We have worked with hundreds of distributors and manufacturers to deliver margin gains of 2 to 4 points or more. How? By helping our clients implement a structured approach to pricing that avoids these common and costly pricing errors and approaches:

  • Charging small customers less than they are willing to pay
  • Missing the opportunity to charge premiums on products that are less sensitive to price
  • Allowing exceptions to drive pricing architecture
  • Using a cost-plus pricing approach

Making small changes to your Pricing Strategy typically delivers worth 2 to 4 margin points or more. That’s $200,000 to $400,000 per year per $10 million in affected revenue!

The Architecture of Optimized Pricing

The SPA Pricing Cube™ combines your understanding of markets with SPA’s powerful analytics, to identify the optimal pricing architecture for your business, focusing discounts on the most price-sensitive products and customers, where it will have the biggest payoff in competitive positioning; and extracting small premiums on less-sensitive products and customers.

The SPA Pricing Cube™ takes the guesswork out optimized pricing in complex environments, allowing your sales force to focus on serving the customer and driving value. Our process provides for flexibility and discipline in pricing, to create a balance that works in your business.

Strategic Pricing Videos

Click Here to access our collection of videos that provide valuable perspective for all companies that would like to improve their performance through strategic pricing.

Click here to hear what our clients have to say about the power of Strategic Pricing.

Follow SPA

To easily keep up with the latest SPA announcements, events and resources you can subscribe to our Strategic Pricing Pays blog or follow us on LinkedIn or on the following major social media channels and file sharing platforms: Twitter, Google+, Facebook, SlideShare, and YouTube.

We also encourage you to join the Strategic Pricing discussions in our LinkedIn group and to sign up to receive our Strategic Pricing Newsletter by clicking here.

Learn How 100s of Manufacturers and Distributors Have Used the SPA Strategic Pricing Process and Technology to Improve Margins 2-4%

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Reducing your operating expenses, increasing your sales volume, and reducing your cost of goods sold all deliver bottom line profit. But no element of your business mix can deliver more impact to your bottom line than achieving strategic pricing excellence.

We work with your team to think strategically about pricing; segment your markets; analyze your invoice data; and rebuild your pricing structures to maximize your profitability. We help you build the guidelines and process metrics to ensure effective execution. We help you train your sales force in the practical and cultural dimensions of this process.

SPA provides recommended pricing architectures and related process training to complex companies. SPA helps clients to quickly and efficiently build a more profitable pricing architecture in their enterprise system, without complex and costly integration efforts. The benefits are staggering; and they are typically accomplished in less than 90 days.

We work with our clients to segment their customer base and product/service sets. They give us a slice of invoice data that describes their actual pricing performance—who paid how much for which product/service and how many they bought—and we apply our proprietary analytical models to these data to recommend what their pricing architecture should look like. We profile the relative sensitivity of customers and products, to recommend pricing structures that focus discounting where it pays off in the market; and extract price premiums where there is less sensitivity.

Watch our informative videos about the SPA difference. You will learn the keys to achieving strategic pricing excellence and hear about the work we have done to improve margins by 2-4% for some of the biggest names in manufacturing and distribution.

Our clients comprise the largest Fortune 500 industrial companies, such as ExxonMobil, GE, Parker Hannifin, Rockwell, Mitsubishi/Caterpillar, Pella and American Standard. We also serve mid-size manufacturers.

We serve the world’s largest distributors, such as Grainger, Wesco, Industrial Distribution Group, and ThermoFisher Scientific; Caterpillar dealers; as well as hundreds of mid-size and small distributors and equipment dealers. Our distribution client base spans all major segments: industrial, electrical, building products, medical, fasteners, paper & packaging, plumbing/HVAC, chemicals, food.

Our team would be honored to help you on your journey to achieving strategic pricing excellence as well.

 

Learn More

Click here for more information about capturing pricing opportunities and improving your bottom line using our proven processes and tools.

Click here for a quick questionnaire to determine the impact Strategic Pricing can have on your company’s bottom line.

 

SPA Events

Click here to learn about our complimentary Strategic Pricing Seminar in Las Vegas, NV on October 16 where you will hear from our clients about their fast payback and significant ROI.

Click here for other SPA Seminar dates and locations and click here for upcoming SPA webcasts.

 

Follow SPA

To easily keep up with the latest SPA announcements, events and resources you can subscribe to our Strategic Pricing Pays blog or follow us on LinkedIn or on the following major social media channels and file sharing platforms: Twitter, Google+, Facebook, SlideShare, and YouTube.

We also encourage you to join the Strategic Pricing discussions in our LinkedIn group and to sign up to receive our Strategic Pricing Newsletter by clicking here.