Perstorp Recovered $1M in Monthly Margin Leakage with Improved Pricing Discipline

Perstorp improved their rate of discipline by 42% to recover $1M in margin leakage per month and 20 basis points in margin improvement.

Pricing was identified as a key component of this transformation and they set forth on a nine-stage journey that started with visibility into the “leakage” and led to consistent execution of pricing best practices. A major step in that journey involved the integration of algorithmic price guidance into their quoting and price management processes. With the integration of dynamic price guidance, Perstrop is able to measure pricing improvement at the sales rep-level through a metric they called Pricing Discipline Index (PDI).

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PROS Pricing Solutions Maximize Margins for Building Products Distributor
PROS Pricing Solutions Maximize Margins for Building Products Distributor

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Reboot Your Pricing: Replace Reactive Tactics With Positive Pricing Habits
Reboot Your Pricing: Replace Reactive Tactics With Positive Pricing Habits

A Solution Architect has a mission-critical role in any CPQ business transformation project. To be successf...