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Consumer Pricing

Customers can compare your price to your competitors’ without leaving the house. But internet-fueled transparency can also foster greater customer loyalty. Your pricing strategy should embrace these new dynamics.


As e-commerce continues to grow the balance of power is shifting to consumers. Comparison shopping is easier than ever, and the internet gives consumers a powerful way to influence the perception of your brand and your products.

Our Consumer Pricing approach is built on a battle-tested framework that enables you to deliver value to consumers across five critical dimensions: pricing strategy, price setting, price execution, operating model and analytical capabilities and tools.

Our three-phase approach begins with a powerful diagnostic that not only gives you a foundational understanding of your price positioning relative to your value proposition, but also “sizes the prize” so you know what your full potential is. We then help you identify specific actions—and close critical gaps—to capture value and identify more opportunities. And we help you build the internal skills and knowledge you need to maintain and extend your pricing capabilities.

What to Expect


01

Strategic integration

Your pricing activities will be tightly linked to your strategy and value proposition.

02

Actionable insights

Analytics and tools help you understand the tangible and intangible value customers see in your products.

03

Superior promotions

Experiment and monitor your price and promo decisions to scale quickly and achieve optimal results.

04

Digital capabilities

Combine multiple streams of data with a tailored set of digital technologies to effectively execute your pricing strategy.

Perception is reality, particularly when it comes to consumers’ perceptions of a retailer’s prices. Statistical analysis, in fact, suggests that creating positive price perceptions is the single most important pricing capability for retailers, by a factor of more than 2x. Other key capabilities include:


  • Having a plan to deal with disruptive forces.
  • Tailoring your prices to channels and localities.
  • Having the tools and processes needed to deliver dynamic pricing.
  • Need for standardized pricing guidance and clear waterfall structures to address high discounts.
  • And executing and tracking the ROI of promotions.

We address those issues with our B2C pricing framework, built in part on a proprietary database of more than 1,000 B2C companies, including 230+ retailers. That benchmark data helps us understand what separates top performers from the rest of the pack, so we can tailor a pricing strategy for you that applies the most relevant best practices.

We also address the many sector-specific dynamics that affect retail pricing. In grocery, for example, our expertise spans active inventory management and markdowns, promotional activities driven by supplier funding, and many othe rconsiderations. In restaurants we help clients match pricing strategy to menu strategy, factor in the impact of promotions, optimize menu prices, and much more.

We support our retail pricing expertise with a rich set of analytic and diagnostic tools that provide you with a data-supported end-to-end pricing capability, so you can make sure your increasingly perceptive customers perceive, and readily pay for, the full value of what you provide.

Only 11% of fast-moving consumer goods (FMCG) companies meet our definition of top performers—those that have gained market share in the last two years and strongly agree that their companies make excellent pricing decisions. The vast majority (84%) believe their pricing decisions could be improved.

WWhat separates top performers from the rest? One notable finding from our research is that they excel on a key element of pricing strategy: price pack architecture. They are also strong in dynamic pricing and data analytics, and have well-designed operating models characterized by clear roles and decision rights.

Our B2C pricing framework is a comprehensive approach that addresses all those elements, enabling us to help FMCG companies respond to the growing disruption of e-commerce, build greater customer loyalty, and respond effectively to changing market conditions.


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