Distribution

Segment and Set Optimal Guidance for Millions of SKUs - Realize Higher Profits

Distributors face a unique pricing environment: very thin margins earned across a very large number of individual transactions, customers, and SKU’s.  At the same time, precisely because of these characteristics, even small improvements in margins have a dramatic impact on earnings.

In general, distributors have a limited understanding of customer segments and the impact of price changes across these segments. Distributors are also under constant pressure to improve process efficiency across a very high number of transactions. Highly manual existing processes and systems for price setting and price management make it very challenging for distributors to realize even small improvements, resulting in significant margin loss.

To achieve better results, distributors must manage their unique environment to create a set of advantages – segment the customer base to identify opportunities to increase prices by exploring different combinations of pricing and terms for customers with varying needs and purchasing patterns; leverage the large number of transactions to gain a good understanding of where the market is with respect to any given SKU and customer type; and provide guidance to sales every time they quote so that they are not leaving money on the table.

The Vendavo Enterprise Pricing Suite is the choice of leading distributors that use the solution to improve pricing across millions of transactions and price points. Several major distributors have deployed Vendavo to realize significant margin improvement.

Click here to download information on how Vendavo can help your company.