100+ AD Members Have Increased Margin An Average of +1.7 Points
Can You Safely Increase Margin?
Ask Yourself 5 Questions
1. How Does My Margin Compare?
It’s hard to know just by looking at your company margin. Sales mix alone makes that tough. To see how you’re really doing, compare your pricing practices vs. industry leaders. Let us show you how you benchmark on key metrics.
2. Do I Make Enough on Incidentals?
Target your “low-hanging fruit”. Your least price-sensitive sales are the quickest and safest path to higher margin. You should be making 10 to 12 points more than your average on these sales. Only 1 in 5 distributors do. Identify incidental sales that are underpriced and make more.
3. Am I Using Contracts Correctly?
Do you have a ton of contracts? Is your team using them the way they should, or do they leave money on the table? For most distributors, 60+% of their contracts aren’t needed. Identify contracts to eliminate, help your team make better decisions and simplify contract maintenance.
4. Does the Sales Team Trust My Pricing?
You put so much work into pricing, only to have the sales team cut your price. If they override your system price more than 20% of the time…you need to rethink how you price. Charge the “right price” and build a culture that trusts your pricing.
5. Are We Ready for the Future?
Your marketplace and competitors are changing fast. Make sure your pricing reflects how you want to go to market. Balance sales and profit growth. Ensure that your online pricing gives the right impression and doesn’t undermine your traditional business. Let us show you a path to a more profitable future.
Hear What Our Customers Say
Talk with Profit2’s customers. See how our customized solutions have enabled 300+ distributors to improve how they price, better support their sales team and carefully build a sustainable margin advantage.
“The process of transitioning our pricing strategy from in-house to Profit2 was a success on several levels. The P2 team was engaged from the beginning. They executed the plan we came up with together and responded whenever there were any issues to make sure we stayed on track…”
“Since day one Profit2 has under-promised and over-delivered. The people at Profit2 are accessible, patient and easy to work with. Their reporting is easy to understand and always on time. We like that they provide both graphs and numbers. They do not pressure us to accept their recommendations. Initially we were tentative and skeptical, and I wish we had been more aggressive at first. We are now more confident in our relationship and the last two price optimization reviews have been no brainers. I was shocked at how well Profit2 knew our marketplace and our industry. The ROI is fantastic. Yes, I would highly recommend Profit2.”
“The process of transitioning our pricing strategy from in-house to Profit2 was a success on several levels. The P2 team was engaged from the beginning. They executed the plan we came up with together and responded whenever there were any issues to make sure we stayed on track…”
“Since day one Profit2 has under-promised and over-delivered. The people at Profit2 are accessible, patient and easy to work with. Their reporting is easy to understand and always on time. We like that they provide both graphs and numbers. They do not pressure us to accept their recommendations. Initially we were tentative and skeptical, and I wish we had been more aggressive at first. We are now more confident in our relationship and the last two price optimization reviews have been no brainers. I was shocked at how well Profit2 knew our marketplace and our industry. The ROI is fantastic. Yes, I would highly recommend Profit2.”
Hear What Our Customers Say
Talk with Profit2’s customers. See how our customized solutions have enabled 300+ distributors to improve how they price, better support their sales team and carefully build a sustainable margin advantage.
Talk With Us
Tell us about your business and the challenges you face. See how companies just like yours have increased margin.
Paul Parsons
Paul@profit2.com