Blog, Pricing

Introducing Vendavo Margin Bridge Analyzer

By Matthias Mueller
April 27, 2020

To help companies accurately measure and monitor the business impact of complex changes in prices, volumes, product mix, and other dynamic market factors, Vendavo released today Vendavo® Margin Bridge Analyzer, a powerful, cloud-based commercial intelligence solution that enables large B2B enterprises.

 

I have worked in Vendavo Value Consulting Services for 5 years with the goal of delivering greater value outcomes to Vendavo customers through Vendavo Commercial Excellence Solutions. As Product Manager, I have the opportunity to further develop the very analytics that Vendavo Value Consultants have used to bring $18 million in annual average return to our customers.

 

Large enterprises in industries like manufacturing, process and distribution potentially sell millions of products to tens of thousands of customers.  Each month, quarter, and year, the company’s revenue and margins are determined by changes in sales volumes, product mix, pricing, and other dynamic variables like currency fluctuations. To explain why revenues or margins changed, companies will use a specific chart often called a “bridge”, “walk”, or “variance” chart. Many companies use a form of this in their financial reports to explain how their business changed from one time period to another.

 

Traditionally, companies have managed this analysis by spreadsheet which adds significant time, inaccuracy and a lack of flexibility in how results are broken down. Or, they simply cannot scale to the volumes required in order to do the margin analysis. As a result, large enterprises have found it extremely difficult to efficiently and quickly analyze, simulate, and explain the differences in revenues and margin changes from one time period to the next to make these insights actionable and provide better guidance  – to drive more value!

 

Enter Vendavo Margin Bridge Analyzer

With Vendavo Margin Bridge Analyzer (VMBA), enterprises are enabled to automate ‘real-time’ value capture tracking across complex price, sales volume, product mix, and other dynamic market factors such as currency fluctuations. Enterprises can use advanced business scenario simulations with improved accuracy for better decision making.

 

VMBA delivers:

 

  • Flexible, user defined model configuration. Cope with the most demanding business scenarios and set up multiple models for different stakeholder or business needs.

 

  • Comprehensive analysis for Price/Volume/Mix comparison across datasets. Create new use cases to assess performance and potential gaps including plan versus current status, pipeline versus plan, current versus plan, forecast versus market or competitor data, etc.

 

  • Scalability for maximum insights. Drill down into the analysis quickly and in an easy to consume manner. Gain powerful insights into change effects and their interaction so that you may take corrective actions and drive more value from your commercial excellence initiative.

 

VMBA can be up and running in as little as 24 hours, and comes with advanced OOTB Business KPIs, integration to the Vendavo Commercial Excellence Platform, and “click” not “code” based configuration capabilities which enables the user to quickly configure the solution  to meet unique enterprise industry and business process requirements. 

To learn more about how Vendavo Margin Bridge Analyer can help you understand and explain the business implications of change, join the webcast Introducing VMBA: Taking Control of your Margin Through Actionable Insights.

 

 

  • commercial excellence , commercial intelligence , Price/Volume/Mix comparison , Vendavo Margin Bridge Analyzer

    Matthias Mueller

    Matthias Mueller is a Pricing Transformation Entrepreneur and Senior Product Manager at Vendavo. With over 20 years of experience in both operational and strategic pricing in B2B, he has a strong background in analytics. During the last 9 years at Vendavo, Matthias has helped customers across many industries adapt and implement best practice pricing strategies, quickly ramp-up/enhance their analytical skills, and provided change management & value consultancy to help manage the organizational and individual transformations most efficient for optimal outcomes and targeted benefits from customer’s pricing initiatives, faster. Before joining Vendavo, Matthias served in numerous pricing, marketing, and sales roles at a leading global telecommunication infrastructure manufacturer.