Archives posted in: Pricing
In its more recent years, GE’s success has stemmed from its ability to buy, run and sell profitable companies. Its success formula partially stems from its famous product portfolio analysis matrix, called the GE Matrix or the GE McKinsey matrix.
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In order for any pricing improvement project to deliver its potential value, price governance and pricing culture must intersect. Some may want to dismiss this as “too much to take on,” but the results of addressing fundamental questions from both sectors creates the difference between the companies that slog-along and those that thrive.
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While specifics are not clear, the Swedish company Electrolux is noted to have raised U.S. prices by 10%, and is suspected to be seeking a further 4% price increase in early Q1 2019.
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Home Page Text Tailoring price according to willingness to pay is theoretically sound but culturally still questionable. It’s important to determine how your customers will react to such variable pricing when deciding whether to have price variance, and by what characteristics.
More Procter & Gamble announced price increases for Pampers and Bounty in July 2018. Kimberly-Clark similarly announced price increases for Huggies and Viva in August 2018. Both cite inflationary cost pressures specifically pulp. Monitoring competitive price moves is good business intelligence. Watch out for inflation 2018
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Learning from companies in other countries, we find common imperatives to undertake in response to price volatility. These imperatives are related to building the organizational ability to flexibly adjust prices in response to changing market environment.
More Procter & Gamble announced price increases for Pampers and Bounty in July 2018. Kimberly-Clark similarly announced price increases for Huggies and Viva in August 2018. Both cite inflationary cost pressures specifically pulp. Monitoring competitive price moves is good business intelligence. Watch out for inflation 2018.
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Executives in industries impacted by the tariffs, retaliatory tariffs, and threatened future tariffs must react. The playbook for executives in this trade war will vary.
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Traditionally, pricing is considered one of the Four Ps of Marketing, along with product, promotion, and place. But thinking about pricing as simply a subset of marketing is a mistake.
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Pricing balances the needs of very disparate interests. Pricing professionals consider profitability, shareholder interest, customer demands, customer psychology, and much more in our recommendations.
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