Brochure: Pricing Excellence | Page 8

8 9% EBIT increase with new spare p at an international automotive sup AT A GLANCE SPARE PARTS OPTIMIZATION FOR AUTOMOTIVE SUPPL INITIAL SITUATION • International automotive supplier with cost-plus approach • Dealers and customers complain about distorted prices (e.g., right back mirror more expensive than left one) • Lack of central price steering lead to grey imports RESULTS Value-based pricing plus OBJECTIVE • Have consistent parts pricing • Reduce dealer/customer complaints • Increase profitability METHODOLOGY • Optimization of segmentation • Introduction of price drivers and thresholds per segment • Transformation of pricing model from simple cost-plus to value-based pricing plus approach Simple cost-plus pricing Differentiated cost-plus pricing PRICING MODE TRANSFORMATION JOURNE Source: goetzpartners