For enterprises, determining pricing is imperative for increasing profit margins. Raising prices 1 percent has the ability to raise operating profits nearly 9 times as much. Of course, blindly raising prices is not an effective strategy to achieve an increase in revenue. To find appropriate circumstances where prices should be raised, businesses must make use of customer data to design and implement a successful pricing strategy.
Sharing data across different departments is key to developing a pricing strategy that will work for your business. Sales departments need the appropriate data management solutions to to construct pricing models that accurately reflect current market conditions. By having access to data that conveys a customer’s economic situation, competitors’ prices in the marketplace and other valuable information, salespeople are able to preemptively determine when raising prices is an effective business strategy.
To increase the impact data has on sales divisions within a business, enterprises need to accelerate the communication of data between different departments. While salespeople can make the most of data, it is usually a delegated responsibility of another department to gather and analyze the relevant information. The responsibility for customer data management often lies with marketing departments. Consequently, effective communication between marketing and sales departments is essential in order for pricing strategies to be implemented successfully. When companies are able to integrate customer data into the core of their pricing strategy, they will be able to maximize revenue opportunities.
Data analysis tools such as Management Information Analysis’ ETL Plus* offer enterprises a way to integrate data between separate departments so that they can collaborate on strategic projects more efficiently. Extracting data from each department’s database and translating it to a singular format so that it can be loaded into data management platforms that share information across an enterprise is an increasingly critical function today. Corporate systems integration has multiple benefits, including facilitating the implementation of an effective pricing strategy.
By harnessing the power of ETL tools, marketing and sales divisions within an enterprise can become united. This union allows data to be shared in a manner that is accurate and efficient. Management Information Analysis offers system integration services to streamline in house communication between departments within an enterprise to achieve the unity that is becoming a prerequisite for success.