An innovative medtech company relies on AI-powered pricing and guidance software to treat revenue leakage with surgical precision.
"If you do pricing right, margin takes care of itself” –pricing director, medtech company
Price transparency and the growing power of buying groups and GPOs often give more insight into pricing to customers than to sales reps. To overcome this, the medtech company wanted to modernize its pricing capabilities to maintain its competitive edge, fight downward pricing pressure, and eliminate reactionary pricing tactics that resulted in extreme price variance.
With PROS powerful pricing and guidance software, the company gained the capabilities needed to capture the value of every sale. Features include self-serve reporting that delivers truth on comparable peer prices and margin waterfall analytics to better understand what does and does not work in negotiations. In addition, science-driven data and customer segmentation at a microscopic level enables the company to identify willingness-to-pay across accounts and deliver dynamic, real-time price guidance for deal reviewers.
With its new pricing capabilities, this business has the analytical insights and data science-driven pricing to move from a reactive, manual process to a mature, disciplined methodology. The company can align pricing to sales needs to support defensible winning prices for every customer, which has contributed to significant results, such as:
- Beating fiscal goals two years in a row
- Recovering 300 basis points from excessive discounting
- Increased market share while maintaining pricing discipline