Unbox the drivers of margin changes and stabilize profits by creating a price/volume/mix model for your business.
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Revenue bridge, variance analysis, price-volume-mix analysis: whatever you call it, is a powerful capability. It is a high-level overview comparing and isolating changes in revenue or margin into key components. What drives success or failure? The main purpose of PVM analysis is to provide a view into the past, and to break down the change in revenue or margin into key components and categories. The categories are used to highlight and help explain which factors are impacting the overall change in revenue or margin.
Download the eBook to learn:
How to set pricing objectives
Three critical points in scenario building
A real world example
Reliable, Repeatable, Rapid PVM Analysis
This Practical Guide to PVM Analysis will bring you one step closer to the solution. Set price objectives, start scenario building, and get ready to unlock a higher level of understanding around what’s impacting your margin and revenue.
You can attain a higher level of
granularity by unboxing the ‘Mix’ into
different mix effects to help identify
trends and better understand the
drivers for revenue/margin variation.
The entire path including the very
last dimension determines the
lowest, most granular level that you
can drill through and at the same
time determines the 1:1 match criteria
for PVM computation