Aftermarket pricing is more complex and more critical than ever. With hundreds of thousands of parts and millions of data points to manage, leading manufacturers are turning to AI to protect margin, act faster, and deliver real customer value. See how Jaguar Land Rover approaches aftermarket pricing at scale and what it means for the future of manufacturing.
Aftermarket profitability has never been more complex or more critical.
Manufacturers today are managing larger parts portfolios, serving more markets, and responding to faster-changing demand, all while facing sustained margin pressure. Costs continue to rise. Competition is fierce. Customer expectations for value and transparency are higher than ever. And pricing teams are being asked to move faster with fewer resources.
In this environment, aftermarket is one of the most powerful levers manufacturers have to protect margin, strengthen customer relationships, and drive long-term growth.
Few organizations understand this challenge better than Jaguar Land Rover (JLR).
Managing Aftermarket Complexity at a Global Scale
For JLR, aftermarket pricing is defined by sheer scale.
“We’re talking up to half a million parts, 33 different markets, and in excess of 60 million data points on a monthly basis,” said Sadiq Pumuram, Global Head of Parts Pricing and Margin Management at Jaguar Land Rover.
Deploying pricing accurately and on time across that level of complexity is no small feat. Each market has different dynamics. Each part has its own cost drivers, demand patterns, and competitive pressures. And the volume of data involved makes traditional, manual pricing approaches impossible to sustain.
Yet getting pricing right matters, especially in the aftermarket.
Pricing as a Strategic Profit and Retention Lever
Pricing plays a dual role in the spares and aftermarket business. It protects margin, but it also shapes the customer experience long after the initial vehicle sale.
“Pricing’s a key enabler in profit in the spares and aftermarket business,” Sadiq explained. “We want to make sure we’re offering our customers value for money when they buy a JLR vehicle, but more importantly, when they have to service it and spend money on parts.”
This balance is increasingly important across manufacturing. Aftermarket leaders know that service and parts pricing directly influence customer loyalty, retention, and lifetime value. Fair, consistent pricing builds trust. Overpriced or misaligned pricing sends customers elsewhere, and often permanently.
“Offering that value for money also helps with customer retention, which then again brings the customer back to JLR,” Sadiq said.
In other words, aftermarket pricing decisions don’t just impact short-term revenue. They shape long-term relationships.
Despite the growing importance of aftermarket pricing, most organizations don’t have unlimited resources.
“We don’t have the luxury of having 300 people in an army to do all the pricing,” Sadiq said.
This reality is widespread across manufacturing. Pricing teams are lean. Portfolios are expanding. Data volumes are exploding. The gap between what teams are expected to manage and what they can realistically do continues to widen.
This is where AI becomes essential. Not as a replacement for human expertise, but as a force multiplier.
How AI Enables Faster, Smarter Aftermarket Decisions
AI-driven pricing allows teams to focus their time and attention where it matters most.
“AI will help us find those little nuggets,” Sadiq explained. “It helps us pinpoint areas to look at and it allows the team to become more responsive and proactive.”
Instead of reviewing every part manually, AI identifies pricing opportunities, risks, and anomalies across massive datasets. Teams can see trends sooner. They can act faster. And they can make informed decisions before margin leakage occurs.
That’s important because speed is critical.
“Every time you take that action quicker, you’re protecting margin or you’re doing the right thing for the customer,” Sadiq said. “But you’re doing it there and then rather than a month later. And by then, you could have lost a lot of money.”
This shift from reactive to proactive pricing is a defining trend in modern aftermarket organizations. Those that move faster protect profitability. Those that don’t fall behind.
AI-powered pricing technology is a game-changer, but success depends on more than just software. It requires a partner who understands the realities of aftermarket complexity and global manufacturing.
“Working with Vendavo is going really well,” Sadiq said. “I see them as a strategic partner, and they’re offering different solutions to allow us to do what we do even better.”
That partnership mindset is increasingly important as manufacturers modernize pricing operations. The goal goes beyond automation to include better outcomes, stronger margins, better customer experiences, and pricing teams that can keep pace with change.
The Future of Aftermarket Pricing
Pricing leaders face a clear choice as aftermarket portfolios. They can’t rely on processes that can’t scale. They need to embrace intelligent, AI-driven pricing that helps teams act faster, smarter, and with confidence.
The path forward is clear for manufacturers like Jaguar Land Rover. Pricing now goes beyond numbers to focus on speed, insight, and value, all of which must be delivered consistently across every part, every market, and every customer interaction.
And that makes all the difference in today’s aftermarket.
Ready to bring this level of speed and insight to your aftermarket pricing strategy?
Connect with our experts to see how AI-powered pricing helps manufacturers protect margin, respond faster to market change, and deliver consistent value to customers. Schedule a demo to see what’s possible.