distributor pricing improvement

Pricing’s Impact on Profitability

Pricing’s Impact on Profitability Distributors have spent many years implementing both technology and processes to reduce the cost of doing business. Often the goal is to improve productivity, customer service or create a competitive advantage. Until recently, distributors lacked the software and systems to implement their own pricing optimization program. While pricing, costs and rebates…

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your pricing strategy

You Must Own Your Own Segments and Pricing Strategy

You Must Own Your Own Segments and Pricing Strategy Many distributors are confused regarding a fundamental question: should I optimize pricing internally, or utilize an outsourced pricing service? Both options offer enough benefits to warrant further attention from the savvy executive. But either way, you must own the responsibility for the results of your segmentation…

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Removing Risks in Resegmentation

Removing Risks in Resegmentation If you get your segments wrong, you can skew the data that you use for decisions across your organization. Bad segments generate increasingly inaccurate data, causing a cascade effect where bad data leads to decisions generating more bad data. Here are a few short illustrations of gross profit losses that can…

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Why Should You Consider Enhancing Your Segmentation Strategy?

Why Should You Consider Enhancing Your Segmentation Strategy? In analyzing the business of hundreds of distribution companies, we’ve found that most distributors rely on very simple segmentation. Some companies even operate without any segmentation, flying blind hoping to come out at a reasonable price based solely on their own instincts and their ability to muscle…

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In Distribution, Better Segments Lead to Higher Margins

In Distribution, Better Segments Lead to Higher Margins Optimized pricing is one of the best—and often untapped—sources of profit optimization for a distributor. And few strategies can improve pricing in the distribution industry as well as precise, effective application of segmentation principles. In fact, many distributors are adding two to four points of gross margin…

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The Flexibility of a Cloud Subscription

The Flexibility of a Cloud Subscription We’ve made it easy to get started with epaCUBE Profit Optimizer® by offering the software in a cloud subscription model. That means you can immediately improve your gross profit without a large capital expenditure with the financial flexibility of a monthly payment. And there’s no need to purchase new equipment…

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The Secret to Continuous Gross Profit Optimization

The Secret to Continuous Gross Profit Optimization epaCUBE allows you to take action to continuously improve your gross profit. Your analysis isn’t a one-time event but a process that keeps your margins moving in the right direction. Your pricing manager may want to remove some segments out of the analysis by tagging them and then…

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