Strategic Pricing
Pricing is one of the most powerful levers to drive profitable growth. VMA’s approach to pricing involves a deep understanding of customer value and market dynamics that becomes the platform for developing a winning strategy We have completed hundreds of pricing projects to help clients develop new pricing models, build price segmentations, price new products, design competitive pricing strategies, and rationalize complex price schemes to name a few
Real Time Data & Analytics
Problem: A provider of high-value data and analytics was experiencing slower growth and increased price pressure as it attempted to expand beyond its core customer base Solution: We developed a segmented, value-based pricing strategy to improve margins in the core business while stimulating growth in new segments with a new pricing and discount strategy
Enterprise Servers
Problem: Customers were moving away from the company’s high-end enterprise servers citing the cost of the proprietary system and lack of support for open source software Solution: We conducted a detailed assessment of the value of the server hardware and software at the system and sub-system level. We recommended a series of price adjustments to bring price into line with value, particularly for configurations in common non-mission-critical situations
Industrial Distribution
Problem: The client was facing declining margins and stagnant growth due to increasing competition and intense price pressure. Management mandated a reexamination of all aspects of the business to improve EBITDA Solution: We developed a deep understanding of the value of their services for different types of customers. We combined this with an assessment of customer and product profitability to rationalize the product portfolio and customer base. We launched 6 client-led teams implementing changes producing a 50% improvement in EBITDA
IT Infrastructure
Problem: A global leader in IT hardware was struggling to develop pricing for an innovative product that enabled seamless storage virtualization Solution: Working with Product Management we identified the sources of product differentiation and customer value drivers. We established the major use cases and quantified the value of the product in each case. We then developed a non-traditional pricing model that aligned price and value across the major use cases and market segments
