Pricing Software: A Guide to Revolutionize your Business
Elevate your business success with this comprehensive guide—start transforming today!
What’s the secret to transforming your enterprise from ordinary to extraordinary? It’s a question countless businesses attempt to answer and address year after year. While some companies look to branding, location, or niche products to build a legacy there is one tactic that is still overlooked: pricing. More specifically, pricing strategies.
Often underestimated yet always delivering, pricing software is the unsung hero of implementing successful pricing strategies and businesses. Yielded correctly this incredible lever will support and enhance an organization’s ability to visualize, design and execute industry dominating pricing strategies.
At Pricefx , we have spent over a decade curating pricing solutions in collaboration with enterprises across all industries. We have seen pricing software enable organizations to be incredibly effective businesses, surpassing all expectations.
Ready to begin your pricing transformation? Learn everything about pricing software and how you can leverage this tool and revolutionize your business!
Unlock the power of pricing software with this definitive guide.
Let’s jump in!
What Is Pricing Software?
Pricing software is an incredible tool that empowers organizations to identify and capture market opportunities by streamlining the definition and testing of pricing strategies. This platform integrates a multitude of data sources, including historical sales, product and customer data, market indicators, and customer trends, to facilitate a thorough analysis.
By leveraging these insights, businesses can set the right prices at the right time for the right customers, leading to a direct and measurable impact on their bottom line.
Imagine pricing software as a clever business partner that guides your strategies and ensures you meet organizational goals.
Core Functions of Pricing Software
- Comprehensive price management to adopt new, dynamic strategies
- Price execution to ensure profitable deals
- Optimization-driven guidance across the platform
- Advanced analytics give clear visibility into pricing performance
- Dynamic pricing
- Enhanced pricing decisions support
- Price Optimization as a ready-to-use strategy
- Pricing Audit Trails
- Superior understanding of traditional pricing strategies (i.e. Cost Plus, Competitive Indexing, etc)
- Advanced analytics give clear visibility into pricing performance
- Agile and Competitive Pricing Strategies
Pricing software empowers companies to discover and capitalize on opportunities by testing new strategies and measuring their impact, boosting overall profitability.
Get to Know Pricing Software Categories and Benefits
Pricing software allows enterprises greater pricing insight via increased insight via increased data accuracy, overall visibility, automation, and more. Did you know many pricing solutions available to address every pain point and reach business objectives? Let’s figure out which one is right for you!
Pricing Analytics Software
Price Optimization Software
Configure, Price, Quote (CPQ) Software
Rebate Mangement Software
Ship and Debit Software
Why Pricing Software Matters to Your Business a.k.a The Power of 1%
In this video, Tim Shorter, CRO, speaks about the top 4 drivers to help unlock an increase in operating margin.
Pain Points
Description
Is Pricing Software Right for you?
Pricing management software is a game-changer for most businesses! Small to medium-sized businesses generating less revenue, will see significant benefits. Large enterprises with more users will also derive immense value from the technology.
Let’s take a step back and look at the bigger picture. Some, not all, companies that offer services, don’t produce physical products, or have few products, probably won’t find pricing management software valuable. If your company produces a limited range of products with little price or regional differentiation, the advanced features in this tool may not be as effective or necessary for you.
Advanced features:
- Advanced Analytics: Harness powerful data insights to understand market trends and customer behaviour.
- Revenue Management: Maximize your earnings with strategic pricing techniques.
- Streamline Rebates, Discounts & Promotions Management: By streamlining these processes, companies can better control margins, boost customer satisfaction, and quickly adapt to market changes.
- Dynamic Price Changes and Simulations: Advanced software automates complex pricing calculations, incorporating market factors to enable real-time price adjustments that can be simulated across industries.
Efficient processes: At Pricefx automation approval workflows, enabling rapid price adjustments by delegating authority and reducing sales cycle times.
How to Choose the Right Pricing Software: Solving the Puzzle
So, you've aced the research phase, secured executive buy-in, now comes the exciting part: choosing the perfect pricing software! High fives all around! Let's keep this momentum going and find the right tool to fuel your pricing strategy.
With so many options out there, all promising incredible results, how do you pick the perfect match for your business?
Don't worry, you are not alone. The vast landscape of pricing solutions can feel overwhelming. The key is finding software that aligns perfectly with your unique business model and goals, not just a generic approach.
Essential Questions Before Selecting Software
Navigating pricing software from discovery to purchase can be overwhelming. As you begin the process arm yourself with essential question to consider before choosing a product.
- What capabilities does pricing software offer?
- What is the value that this solution brings to the table? How will this solution enable new areas of opportunity (i.e. go to market strategies, capture more values)
- How soon after implementation will my pricing solution be operational?
- Can this pricing software handle high-volume operational needs?
- Does the company have industry-specific experience?
When it comes to picking a pricing software, we know that every detail matters. Purchasing a high-cost solution should not feel scary. It is imperative that you feel 100 percent confident in your choice.
How Much Does Pricing Software Cost?
Navigating the budget for new pricing software is a complete fork in the road on your pricing journey. Whether you want to speed forward toward total software implementation, or pump the breaks, no matter what you do understanding what to expect will certainly ease that process.
Why don’t they show prices up front? The honest truth is often the truth you don’t want to hear. Every business is unique. Your company's needs are just as special as your goals. A one-size-fits-all price wouldn't be accurate. Since every business has unique needs, you typically will not find software prices posted because costs vary significantly.
So, How Much Does it Cost?
The short answer? It depends. Here's a breakdown of the two main costs:
- Implementation: This is the cost to set up and configure the software to your specific needs. The range of cost typically depends on the following factors:
- Complexity of your pricing workflows (think number of steps to set a price)
- Depth of data analysis you need (how much data do you want to see?)
- Number of systems you need to connect (think CRM, ERP, etc.)
- Subscription: This is the annual fee to use the software. It is also a wide range based on the below factors:
- Features you choose (analytics, price setting, price execution, optimization capabilities, etc)
- Your company's yearly revenue (most vendors charge based on this)
- Additional services (like training or premium support)
Additional Costs of Pricing Software: Don't Be Left in the Dark!
Let's talk all about the additional costs of pricing software.
Pricing software is an incredible tool that requires a bit of help getting jumpstarted. Thes additional costs include training (standard or customized) ongoing maintenance, and even technical support. Enterprises can request pre-built functions for faster setup and insights; however, these tools also impact costs.
Now you're equipped to tackle budget discussions with confidence.
Streamline Success: Expert tips for Software Implementation
Before you can begin software implementation take the time to carefully review every detail and aspect of pricing within your enterprise. By frontloading and preparing for implementation you will seamlessly transition your pricing process.
The secret sauce to ensuring a successful journey in the pricing software realm is choosing the right partner, one with a proven record of accomplishment of navigating the intricacies of implementations. Think of it as selecting a travel companion who’s been to your dream destination before.
Time to Implementation: 7- Phases of Pricing Software Implementation:
In any enterprise-level business time is money, you know that first-hand. No matter how passionate you are about pricing software no one wants to spend valuable time worrying about setting up pricing software. Working to identify major factors and complexities involved will mean the difference between the implementation process dragging on or accelerating.
Time to Implementation: 7- Phases of Pricing Software Implementation:
In any enterprise-level business time is money, you know that first-hand. No matter how passionate you are about pricing software no one wants to spend valuable time worrying about setting up pricing software. Working to identify major factors and complexities involved will mean the difference between the implementation process dragging on or accelerating.
The 7- Phases of Pricing Software Implementation:
Gearing up for a pricing software project is exciting, but let's be honest, it can also feel like a puzzle! No worries -let’s break it down together. Knowing the project phases helps you prepare for each step, keeps things on track, and avoids surprises down the road. This way, your project is a total win, not a budget-busting mystery!
Try to remind yourself and your team that failure is one of the best ways to identify areas of improvement.
Getting the job done efficiently is key to increasing productivity and jumpstarting your pricing journey. A successful and efficient software implementation process will make your pricing projects unbelievably easy. Kick of each phase with confidence.
Unlock Success with PriceFx
At PriceFx, we get it- not every business has in-house resources, and sometimes, the IT or Pricing Team isn't readily on standby to tackle pricing software challenges as they happen.
If your is business is on the lookout for a pricing software solution that offers a dedicated partnership component, for extra support, then check out the Advantage PriceFx Partner Network. The pricing partners available should be your first call.
Launch your pricing journey with PriceFx!
