Distribution & Logistics
The logistics industry faces significant challenges due to the rapid transformation of transportation operations management and evolving customer service expectations. Companies often struggle with perceptions of high costs and insufficient customer satisfaction. Many companies attempt to reduce costs by sacrificing added value or making cuts elsewhere. However, these strategies can diminish perceived value and profitability over time.
Unfortunately, we often see logistics companies make the mistake of offering added value for free. Additionally, many companies try to reduce their own costs in order to lower prices for their customers, believing this is the safest option.
The problem with this approach is that the company’s added value is eroded, customers’ willingness to pay decreases, and profit margins deteriorate. Ultimately, this puts the company in an even more vulnerable position. In the end, customers can just as easily choose another supplier as many of the added values disappear when prices are cut. What can you do instead?
At PriceGain we help you identify a pricing strategy that can help you boost profitability and still meet customer needs. By developing a structured pricing strategy, you will drive sales, reduce the time spent on administrative work, and get paid for added value, without sacrificing the quality of your bottom line. You can read more about some of our previous projects here.
To find out how we can help you improve business results, contact one of our pricing experts. You can learn about our different pricing strategies here and below.