We work with CPG companies to maximize profitability and ability to execute.
Revenue Management Labs supports Consumer Packaged Goods (CPG) clients with pricing innovations that deliver significant improvements in profitability within tight time frames. Success begins when companies begin to leverage new business models, technology, and data to develop impactful pricing strategies that drive bottom-line results.
Why Do You Need CPG Consulting Services?
Competition, supply chain disruptions and evolutions in consumer behavior create constant upheaval in the consumer packaged goods industry. Companies that don’t change along with the industry will get left behind. Consumer products consulting ensures your business isn’t one of them. We keep abreast of the changes within the field and help you adapt with winning strategies that promote growth and stability.
How Can CPG Brand Consulting Help Your Product?
Our brand consulting services can assist you in many ways. We’ll help you develop partnerships with retailers that benefit both sides, reach scale and optimize your targeting. Our operating models can maximize your efficiency and aid you with implementing sustainability practices.
Evolving Customer Trends & Tastes
Sharp Shifts In Input Costs
Pressure For More Trade Support
- Value quantification versus relevant competitive alternatives
- Developing and implementing new go-to-market strategies
- Harmonized trade terms
- Innovation price and positioning processes
- Executing price increases
- Determining promotional effectiveness & efficiency
- Achieving the right pricing architecture
Why do you need custom pricing for your CPG product? Custom pricing helps you achieve maximum value for what you sell. You want to set your prices at a level where people will pay for your goods and you’ll continue to make money. Determining that sweet spot is a lot easier when you have the experience of a team that has monitored pricing decisions across the industry for years, as we have.
You want to ensure you consider competitor pricing when pricing your own consumer packaged good products. Looking at the marketplace is critical to making the right choice on pricing. Your customers will compare you to the competition, and you’ll need a price point that reflects the value of your product. The lower price isn’t always the right choice. We’ll help you find the right level by looking at historical data among CPG companies and considering your performance in the niche.
Common Obstacles in Consumer Packaged Goods Pricing
The consumer goods industry is home to countless brands, product lines and customer segments. It can be difficult for companies of any size to apply the best pricing and remain consistent. Challenges businesses often struggle with include:
- Pricing new products: Innovation is vital in creating and sustaining growth. With so many products on the market that contain similar ingredients and have comparable benefits, it can be hard to know where to price your new items.
- Scaling product costs: Market launch represents a chance to charge a different price. If you want to generate more revenue per sale or move more inventory, a market launch is a great time to scale your product’s cost.
- Communicating product value: The more you can help customers understand the value your products offer, the more likely they are to buy and pay a higher purchase cost. This strategy also gives you the opportunity to differentiate your project from the rest.
- Implementing price increases: Companies must occasionally raise prices for multiple reasons. It’s essential to introduce those rising costs correctly to avoid damaging relationships with existing customers.
- Managing multiple markets: In many situations, charging varying prices for the same goods across different markets can yield greater returns. Still, this practice can become confusing quickly and requires a logical strategy.
- Running successful promotions: Discounts and promotions can help you dominate your current markets and penetrate new ones. These methods require balancing several factors like time windows and profit margins to maximize your success.
- Developing the best strategy: Knowing the right consumer goods pricing strategies, how to combine them and when they’ll be most effective represents some of the biggest challenges. Fortunately, your company can take advantage of consumer goods consulting and other retail consulting services.
When setting prices for any product, you need to choose a strategy that will boost growth, align with your customer base, match your brand message and increase market share. You must meet all these objectives to avoid missed opportunities, inventory stagnation and revenue losses.
You can use many different pricing strategies with commercial goods. The most successful method for your company and product will depend on a range of factors, including product exposure, break-even points, customer demographics and market saturation. Some of the most common techniques include:
- Price skimming.
- Dynamic pricing.
- Penetration pricing.
- Value-based pricing.
- Subscription pricing.
How Can Revenue Management Labs Help?
Revenue Management Labs offers customized consulting services that take a holistic view of your company and find ways to help you achieve sustainable revenue growth. We assist you with becoming self-sufficient, folding you into the solution process so you can learn and improve. We provide services for consumer products that can:
- Accelerate growth: Your growth strategy is always our primary focus, and we’ll find the right ways to achieve measurable results.
- Define your brand strategy and position: We embrace consumer-driven strategies, relying on analytics that help you target the right market segments.
- Create channel strategy: We develop good strategies across all channels, including looking at where you do and don’t need to implement strategic changes.
- Emphasize value-creating deals: Our team guides you through deals and agreements to help you grow and flourish.
Expert Consumer Goods Consulting Services
Consumer goods pricing is a science. At Revenue Management Labs, we know the formula to help you create a price point that resonates with your customers and improves your bottom line. Our firm specializes in developing customized revenue-growth strategies. You can depend on us to provide you with expert retail consulting services with the same dedication and commitment as a fellow partner.
Develop Your Custom Consumer Goods Pricing Strategy
Our team has the skill, expertise and resources to help you create long-term sustainable company growth with consumer goods consulting services tailored to meet your needs.
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Contact us today for more info on our CPG Pricing consulting services