Drive Volume

Volume Strategy

Whether we like it or not, promotions and discounts are a marketplace reality. In fact, they are one of the most common ways for companies to boost revenue. Unfortunately, 1/3 of promotions and discounts fail to generate a return and negatively impact the bottom line.

Poorly planned volume investments can lead to:

  • Customers who wait for discounts to avoid buying at the regular price
  • Channel programs that do not support organizational goals
  • Channel partners who are unmotivated to sell
  • Loss of sales due to deterioration of brand value
  • Sales teams who are over-reliant on pricing incentives
  • Inability to forecast demand versus promotions and discounts

Revenue Management Labs helps companies maximize volume by leveraging analytics to identify the right set of promotions and discounts to invest in, when and where to invest, on what offers / customers, and at what levels. We also help companies develop a systematic process and framework to manage discounts, promotions, and bids to improve their share of revenue in the value chain.

Our engagements have helped clients:

  • Design promotions that drive sales volume and improve customer value perception
  • Develop optimal investment structures to eliminate customer and channel conflict
  • Control and optimize spending on discounts and promotions
  • Streamline the sales process with clear discounting guidelines
  • Invest in activities that drive volume while maintaining brand integrity

Our Discount Optimization Process

1

Data
Acquisition

2

Baseline
Definition

3

Analysis &
Modelling

4

Simulation &
Forecasting

5

Execution
 

6

Sustainability
 

7

Tracking &
Reporting

Insights

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