‘Can I Scrape Historical Data?’ & Other Pricing Myths Busted
‘Can I Scrape Historical Data?’ & Other Pricing Myths Busted The pricing software industry is plagued with many myths and false assumptions. And that’s as perfectly understandable as the technology has been moving at astonishing speed over the last decade. Pricing software has become more powerful and now offers more pricing insights than thought possible just a few short years ago. However, those myths and false assumptions act as roadblocks for people who want to adopt pricing software in their businesses. Sure, pricing software can lead to significant profit lifts, business efficiencies and time savings for most commercial organizations. If...
What’s Sales Compensation & How Can You Make it More Effective?
What’s Sales Compensation and How Can You Make it More Effective? For a lot of organizations, their salespeople are the main drivers to bringing in deals and making money. So, it’s no surprise that you’d want to make sure that they are well compensated. But how do you make the sales compensation plan effective and fair so that your sales team continues to be motivated to bring in deals that grow your business? Recently at Pricefx, one of the topics we’ve been discussing recently with our customers is about Sales compensation and sales performance. We’ve been discussing how to make...
What Infrastructure Do I Need to Use Pricing Software?
What Infrastructure Do I Need to Use Pricing Software? Despite evidence that pricing is the most critical predictor of profitability, the science of pricing and using price software is still relatively underdeveloped for many businesses. Some organizations may not have made the switch because they are still comfortable with using their legacy pricing systems, and many other companies (despite knowing the power of automated pricing and being able to eliminate manual pricing for good) can feel needlessly intimidated by not believing they are technologically ready for the switch. That is why we have decided to debunk those myths and more...
How the Pricefx – SAP Partnership Helps Our Customers
How the Pricefx – SAP Partnership Helps Our Customers Nice, you have your SAP Enterprise Resource Planning (ERP) software running sweetly – congrats! Your pricing strategy has led you to unearth new business opportunities and you have scaled up efficiencies and expanded your company into other regions and across different customer segments. Then suddenly – Bam! – due to pandemics, regional conflicts and associated rising costs and inflation your business requirements took a sudden, dramatic, and unexpected turn. As a result, you need to automate your newly introduced rebates and promotions set-up, and to have your finance system and SAP...
What is Data Scraping and is it Right for You?
What is Data Scraping and is it Right for You? There’s been a huge rise in demand in recent years for tools and services offering data for businesses via data scraping (sometimes also called ‘web scraping’) and similar techniques. With that sudden increase in both the amount of, and requests for data scraping assistance, there has been an accompanied rise in myths and misconceptions regarding data scraping. With this article, we have decided to examine the historical data misconception and other myths and tried to separate fact from fiction around data scraping to unearth if it is for you or...
Cost Plus Pricing: Everything You Need to Know
Cost Plus Pricing: Everything You Need to Know Knowing which pricing strategy to employ for your business can be confusing. Cost-plus pricing is considered the simplest of all. But could it bring the same benefits as more sophisticated strategies? Do the drawbacks pertain to your industry? Should you be considering a cost-plus strategy? At Pricefx, we have spent a decade helping customers work out the best pricing strategies for their specific businesses and are in a good position to guide you on the merits, weaknesses and uses of a cost-plus strategy. In this article we’ll explore what cost-plus pricing is,...
Airline Pricing Strategies Explained: Types, Examples & Tips
Airline Pricing Strategies Explained: Types, Examples & Tips As an airline trying to improve yields in the ultra-competitive Airline Industry, you face unique challenges that other industries don’t need to be concerned about. Your business is currently facing more disruptions than other industries as you continue to be affected by COVID-19, pilot shortages and the rising cost of fuel. In times like these, an airline’s pricing strategy is critical to ongoing success. At Pricefx, we’ve spent the last 10+ years assisting companies across several industries in becoming more pricing agile and more efficient. This resulting pricing dexterity helps businesses to...
Important Pricing KPIs: What Are They & How Are They Measured?
Important Pricing KPIs: What Are They & How Are They Measured? It’s easy enough to describe what a Key Performance Indicator (KPI) is, right? Sure, and 99 out of 100 of you would be right in saying that a KPI is a measure that indicates how on course or how well you are tracking towards you are a goal or an objective that you seeking to achieve in either your personal or business lives. But are you as right as you could be with this definition? It might be a shock to learn that definition is just one half of...
The Benefits of Working with a Pricing Software Partner
The Benefits of Working with a Pricing Software Partner Congrats – your research is done, and you’ve completed the cost-benefit analysis math and the numbers that have spat out all agree that pricing software can add profitability, speed, and accuracy to your company’s pricing. However, while doing the math you’ve stumbled across the realization that you may require a little assistance in either implementing the pricing software and/or putting in place the pricing strategy that will help you yield the unique set of business outcomes that you’re seeking. For example, you may have identified that you require assistance in integrating...
AI In Pricing Software: Why They’re Not All The Same
AI In Pricing Software: Why They’re Not All The Same Artificial Intelligence (AI) has become such a buzzword in the price optimization world recently, that’s it hard to differentiate between offerings. Surely if all the pricing solutions do AI, then they’re all delivering the same kind of capabilities, right? Actually, no. If a language app claimed their AI could teach languages, it wouldn’t be untrue, there is some vocabulary-learning going on, but by no means are you enjoying the promised “get a new soul” experience. As providers of AI in our price optimization solutions, we at Pricefx are well...
Pricing Analytics Software vs Business Intelligence Software
Pricing Analytics Software vs Business Intelligence Software Pricing your products and services effectively can be a challenging undertaking in these uncertain times full of unpredictable market forces, supply chain disruption and a range of uncontrollable events like pandemics and regional conflicts. To be more targeted and reactive in your pricing, your business may be looking to new technology to assist you in implementing a modern pricing strategy and protecting the pathways to profit you’ve worked so hard to establish. Along the way, you’ve no doubt learned that getting pricing analytics tools to provide you with deep insights will be key....
Machine Learning vs AI in Pricing Software – What’s the Difference?
Machine Learning vs AI in Pricing Software – What’s the Difference? Congrats! You have made the big decision to switch over to the automated solution of pricing software from your outed Excel spreadsheet pricing set-up. But now, the choices for which pricing software you want are becoming blurry and confusing. On one hand, from one work colleague you have heard that pricing software powered by Artificial intelligence (AI) is great, but another of your colleagues in the pricing team has read that Machine Learning (ML) powered pricing systems are best. But who is right and what is the difference between...
6 Reasons You Don’t Need Pricing Software
6 Reasons You Don’t Need Pricing Software You know that pricing software helps optimize prices. That’s great. Lovely. You’re happy for those who like that sort of thing, but you really don’t need that. You have your own processes in place and they’re working. You have a pricing team you adore and a sales team who’ll do anything to win that deal. Why would you spend a fortune on software when everything is hunky-dory? At Pricefx, we’ve spent the last decade delivering our pricing solution to companies that want to move their pricing up a gear. And in that time,...
Why You Need Pricing Software – Building A Business Case
Why You Need Pricing Software – Building A Business Case The question of whether to purchase a pricing solution is a difficult one. Do you really need pricing software? Can’t you do without it? And if you’ve decided that pricing software is a need and not a nice to have, you’ll have to convince others. You might discover that it’s not just other projects that you might have to go up against but inertia. At Pricefx, we’ve spent many years helping companies satisfy their need for cloud-native pricing software, by providing a robust, cloud-native pricing solution with which they can...
What is a Scoping Workshop? (In a Pricing Software Project)
What is a Scoping Workshop? (In a Pricing Software Project) Whether you’re tuning up for your company’s first-ever pricing software project or you have already launched several of them in staged expansions to your existing pricing functionality, you almost always begin with the same question. What is the best approach to cover all the aspects of the pricing software planning and preparation for the project? To align people with your vision, brainstorm new ideas, make sure you have all your pricing ducks in a row and finalize your methodology with a clear plan to start, go for a scoping workshop...
How Does AI Work in Pricing Software? – Made Simple
How Does AI Work in Pricing Software? – Made Simple It is no secret that these days your data can lead to Artificial Intelligence (AI) powered algorithms helping companies just like yours price items based on price optimization, competitor pricing, inventory levels, and customer response to sales promotions. Using AI-informed pricing software can help grow profit margins, develop loyalty from price-conscious customers, and eliminate the hard manual work and take away mystery of setting prices. But what is more of a mystery is simply explaining exactly how AI works in pricing software – which is what we will do in...
Food & Beverage Pricing Strategy: Tips, Types & Examples
Food & Beverage Pricing Strategy: Tips, Types & Examples Food and beverage manufacturers have watched in horror over the last 2 years while your input prices have skyrocketed and placed pressure on already constrained margins. What’s more, it is not exclusively food and beverage ingredient prices that are swollen to record levels. Record fuel prices and labor shortages are also an enormous part of the margin compression puzzle. Roll in other factors into the pricing equation like meat prices undergoing rapid rises as the cost for grain to feed animals climbs, and beverage makers are facing a jump in packaging...
What is Value-Based Pricing? Benefits, Drawbacks & How to
What is Value-Based Pricing? Benefits, Drawbacks & How to The power of a value-based pricing strategy to boost profit and revenue has caught the attention of pretty much every organization. But actually, adopting it is a different story. For many, the jump from cost-plus to value-based is just too wide. Will it be worth the effort? At Pricefx, we’ve spent the past decade helping companies successfully make the jump and we’ve seen how their value-based strategy has delivered incredible ROI, so we thought we’d share some of our expertise in value-based pricing with you. In this article, we’ll take a...
Distribution Industry Pricing Strategies: Tips, Types & Examples
Distribution Industry Pricing Strategies: Tips, Types & Examples As a business trying to make it in the ultra-competitive Distribution Industry, you face some unique challenges that other industries don’t need to be concerned about. Your business is currently facing more disruptions than any other industry as you are the critical lynchpin in the heavily disturbed supply chain between manufacturers on the one hand, and retailers on the other. What’s more your transportation overheads are currently priced through the roof, and labor (if you can get it) costs are rising steadily too. No wonder considering or even re-examining your distribution industry...
Penetration Pricing Strategy – Pros, Cons, Examples & Tips
Penetration Pricing Strategy – Pros, Cons, Examples & Tips Even if you have never heard the exact phrase “penetration pricing strategy” before, the chances are you have seen the pricing strategy in action. Unless you have been castaway on a deserted island the last few years, you have probably seen any number of new internet or cable providers come newly into the market either offering low introductory offers, free streaming services, or extra channels to draw in new subscribers. That is penetration pricing strategy in a nutshell. Penetration Pricing Strategy, by definition, is simply a pricing strategy that is used...
Dynamic Pricing Strategy – Tips & Examples + Pros & Cons
Dynamic Pricing Strategy – Tips & Examples + Pros & Cons When your customers visit your bricks-and-mortar or online store to purchase one of your products, most of the time they will want to know the exact prices of your products beforehand. However, if you are providing services like that of doctors, lawyers, accountants, plumbers, or electricians, setting an exact price is not a simple task. Prices vary because of multiple factors, like time, length and complexity of the service provided. That is a form of dynamic pricing and it certain cases it can be used for pricing your products...
Economy Pricing Strategy: What Is It & When to Use It?
Economy Pricing Strategy: What Is It & When to Use It? You have low production costs for your company’s products, but you are still struggling to meet your organization’s sales targets? It could be that that you need to consider an Economy Pricing Strategy. Also widely known as ‘Economic’ Pricing Strategy, this concept of pricing is extremely useful for companies that are keeping their overheads low. It enables businesses to price goods low and gain revenue based on many customers purchasing those low-priced goods. But if your business does not enjoy a lion’s market share or strong enough brand awareness,...
Explaining Artificial Intelligence vs Machine Learning in Price Optimization Software
Explaining Artificial Intelligence vs Machine Learning in Price Optimization Software Setting the right price for your company’s goods or services is always a tricky question to solve. What pricing strategy your business adopts will depend on your business objectives. One part of your business may seek to maximize profitability on each unit sold or on protecting your overall market share, while another sector of your company needs to access a new market or to grow an existing one. Moreover, different scenarios might coexist in your company for different products or customer segments. If that’s the case, the time might have...
Everyday Low Pricing Strategy Explained + The Pros & Cons
Everyday Low Pricing Strategy Explained + The Pros & Cons You’ve probably heard the phrase “everyday low pricing” (EDLP) before and it’s possibly lodged its way into your subconscious, particularly if you live in North America. Why does it ring a bell? Because EDLP this is the pricing strategy that Walmart has used to become retail powerhouse. Amazon has followed in Walmart’s EDLP footsteps in the E-commerce sector. But is it for your business too? While it may be tempting to simply carve your prices back to rock bottom levels, it is not as simple as that. There are several...
What Happens To The Pricing Team When You Get Price Management Software?
What Happens To The Pricing Team When You Get Price Management Software? Buying pricing software can be a scary prospect. It’s a big investment and requires a comprehensive change management plan to drive adoption. Once you mention that you might be getting pricing software, no doubt you’ll have questions from members of your team wanting to know what will happen to their roles in the company. And if you lead the team you’ll probably want answers to those same questions At Pricefx, we’ve spent the last decade helping companies of all sizes across all industries to elevate their pricing strategies, fine...
Why Am I Paying for A SaaS Subscription I Haven’t Started to Use Yet?
Why Am I Paying for A SaaS Subscription I Haven’t Started to Use Yet? There’s nothing worse than having finally convinced the executives that the company needs new software than being called in a couple of months later to explain why they’re paying for a tool but haven’t had a chance to use all the features. Having spent the last decade sharing our cloud-based offering with companies looking to optimize their pricing strategies and processes, we’ve had to answer this question often. And we get it. Buying software-as-a-service (SaaS) solution takes a definite mindset shift. But once you get it,...
Do I Need A Pricing Team To Use Price Management Software?
Do I Need A Pricing Team To Use Price Management Software? Pricing software is not cheap, and investing in a pricing solution is a big decision. Congratulations, you’ve made the decision to use price management software to alleviate pressing business pains. If you’ve made the right choice, the software you want will save you time and spark a not minimal ROI. So, if price management software does all that, do you even need a pricing team to use the software? The short answer is “yes”. Over the past decade, we at Pricefx have learned that pricing software is not for...
How to Implement a Pricing Strategy: A Guide
How to Implement a Pricing Strategy: A Guide How you set your prices and the strategy behind your price setting can have a range of implications for your business. For example, did you know that not every price you set needs to maximize your profit margins? Nor is every price on your products required to increase your sales volume. It could be you mix and match either of those two pricing strategies on different goods across your product line. And what’s more, you might even implement different strategies again on more of your products – and it could all be...
How Safe is the Pricefx Infrastructure? – Very, and Here is Why
How Safe is the Pricefx Infrastructure? – Very, and Here is Why Cybersecurity is one of the greatest threats to most companies worldwide. Since the onset of COVID-19, the FBI has seen a 300% rise in cybercrime. What’s more, with data breaches up by more than 68% in the 2021 calendar year, it is quite a valid question to ask, ‘How Safe is the Pricefx infrastructure?’ The answer is – generally speaking, your company’s data that is stored within the Pricefx system is much safer there, than it is on your work computer, home computer or your smartphone. Because of...
High Low Pricing Strategy Explained: The Pros & Cons
High Low Pricing Strategy Explained: The Pros & Cons Pricing your products and services in the Goldilocks ‘just-right’ zone is a challenge for any business. Set your prices too low, and you could potentially be leaving valuable profit at the checkout. On the other hand, by setting your prices too high, you could risk losing out on sales altogether to your competitors. Companies worldwide are increasingly using the pricing science available at their fingertips more and more and moving between different pricing strategies as the need dictates. These days there are a range of pricing models and strategies that can...