1. A Pricing Profitability Model
The Price is Right?
What is
our price
saying?
Should I
discount?
Where’s the
market going?
Am I
charging
too much?
Are our
margins
good?
Advance Order Analysis
Actual Advance Orders
Forecasted Orders
Event (Internal/External)
Economic Analysis
Macroeconomic
Microeconomic
Industry Trends
Other Variables
Known
TBD via Testing
Customer Analysis/Ranking
Segment A
Segment B
Other
Historical Time Series Analysis
Seasonal Supply/Demand Trends
Actual v. Projected Results
Statistical Price Analysis
Cost/Expense & B-E Analysis
Fixed Costs
Variable Costs
Break-Even Point
Competitive Analysis
Capacity (Current or Planned)
Pricing
Substitutes
Management Estimates
Senior Management
Operating Managers
Department managers
Can I
raise my
price?