Case studies

Case studies
Marketing & sales

Optimizing pricing strategy and sales incentives

  • Challenge

    Based in Latin America, the client is a local key player in mining environment. For several years the client hadnít adapted its pricing strategy, following only competitorís price structure. Consequently, pricing policies were outdated and incentives weakly distributed.

  • Approach

    A team combining marketing & sales expertise and knowledge of the mining sector evaluated and cross-checked company data relating to pricing policies, procedures, realized prices, net working capital and operational cost structure. The entire pricing strategy was reviewed, identifying products that were driving complexity, setting new target margins and defining a new model for pricing policies and incentives.

  • Result

    Price realizations increased by 8% o.a. across the entire portfolio, incentivized products generated 5% more revenue and margin structure improved significantly.