Pricing for Controllers

Proper pricing of products and services is one of the key value creators for organizations. Unfortunately this remains in many European companies underexposed. However, a 1% improvement in price has an average impact of 15% on the EBIT of organizations. This is how performance pricing provides a higher value-added than most acquisitions or cost programs. As in most organizations, the pricing has no single owner, there remains a surprising amount of money on the table. The program explores various aspects of pricing. It discusses topics such as pricing, the choice of volume or margin, pricing strategies, cost responsibility, the organization of the pricing process and various pricing techniques. Sufficient to explore, change or improve the pricing of yourown organization at the end of the program!

This course complements the existing knowledge of cost prices and cost systems from the perspective of other functional areas, including marketing and sales. It goes beyond where the controller normally looks. You have a better understanding of the importance and impact of pricing on the organization and its cash flows. Following topics will be discussed: pricing strategies, pricing mechanisms in relation to the relative market position, on the basis of best practices of appealing organizations. Afterwards, you are better able to function as a sparring partner for CEO's and business executives.

DAY 1

1. REFLECTIONS ON PRICING FIRST…

•The importance of pricing

•When pricing goes wrong

•What can we learn from Julia ?

•Main observations when it comes to pricing

•The road towards pricing excellence

•Understanding value

•The difference between value and willingness to pay

2. HOW TO LINK PRICING TO STRATEGY

•About pricing goals

•What do you know about your industry rules ?

•Do you want to become price leader or follower ?

•What is your ultimate goal ?

•What is your price strategy choice ?

DAY 2

1. PRICE SETTING

•A complex stakeholders model …

•The classic knowledge gaps + how to solve them

•The most important price setting techniques

• Product mix pricing

2. PRICE IMPLEMENTATION

•Defend / sell your value

•Stop price leakage

3. PRICE MONITORING

4. SPECIAL TOPIC: HOW TO PREVENT AND FIGHT PRICE WARS