Where do we lose margin, and which price defends the value?
Sets the price architecture and the moves that recover margin between list price and the price each customer pays.
What you receive
The price architecture, the margin at stake and the plan to recover it.
Every on-invoice discount and off-invoice allowance between list price and pocket price.
When to open it
- Margins fall while volumes hold.
- Input costs rise faster than prices.
- Your commercial team sees discounts drift outside the pricing policy.
What the project covers
- Pocket-price waterfall by customer and deal
- Discount and rebate leakage against policy
- Value and price position against competitors
- Customer and product profitability
- Price elasticity and the volume at risk
What your team brings
- Transaction data: invoices, discounts and rebates
- Price lists and discount policy
- Cost to serve by customer and channel
- Competitor prices collected by sales
- Contract terms with key accounts
In your report
- Exhibit 1
Discounts and allowances separate list price from pocket price
Every on-invoice discount and off-invoice allowance between list price and pocket price.
- Exhibit 2
Pocket margin by customer shows where to act first
Each customer by volume and pocket margin, with the accounts that need new terms.
Where it applies
- Banking and lending
How should we reprice deposits as rates move while keeping our primary-account clients?
How sensitive each deposit segment is to rates, by client tenure and balance.
- Insurance
Which product lines should we reprice at renewal, and by how much?
Loss ratios by segment and how retention responds at each price level.
- Asset and wealth management
How should we restructure fees on our active funds as clients move to passive alternatives?
Flows by fund and share class, the fees of comparable funds and the margin each fund needs.
- Consumer goods and retail
Which promotions should we keep, given their effect on margin and basket size?
The volume each promotion adds against the purchases shoppers would have made anyway.
- Energy and utilities
How should we set retail tariffs as wholesale prices move?
Our hedged position, switching by tariff type and the cost to serve each segment.
- Technology and software
Should we move from perpetual licenses to subscriptions, and how should we price the tiers?
The revenue dip during the transition, churn by segment and willingness to pay for each tier.
- Telecom and media
How should we price our fiber, mobile and TV bundles to cut churn without diluting revenue per customer?
Churn and revenue by bundle, the price gap to rivals and the cost of serving each package.
- Travel, tourism and hospitality
How should we set room rates by day and channel as demand shifts across the season?
Booking pace, the price sensitivity of each segment and the rates of comparable hotels.
Start with this engagement
Write to hello@tacitude.com with the project you have in mind, and we frame the engagement with your team.