The spread of COVID-19 is an unprecedented situation, creating not only a tragic global health emergency, but also massive economic disruption and enormous challenges for businesses across industries. Commercial teams now face pricing and sales pressures that may be difficult to address without the proper capabilities. Customers are asking for discounts and competitors are making pricing moves that increase downward pressure on prices, while an uncertain cost environment makes it difficult to ascertain true profitability.
Now, more than ever, companies need to build foundational pricing capabilities to maintain pricing discipline during the downturn and beyond. In the following article, Three Steps to Pricing Excellence, we lay out a simple formula for quickly improving pricing capabilities: invest in the basic “table stakes” of effective pricing, develop “spikes” in the most critical advanced capabilities, and avoid too much complexity in pricing programs.