Our Commercial Excellence Advisory Services
Our Commercial Excellence advisory services span five areas. Our approach in each of these areas is unique and distinctive, drawing on over a decade of experience working with businesses in every major industry. Just click on any link below to learn more about these areas of ComEx practice.
Merely devising a robust strategic and tactical sales plan, even with solid metrics to measure progress, is not enough to achieve maximum results. If an organization’s sales goals are not aligned with individual incentives, the business is unlikely to realize its fullest potential.
As a result of performing about 100 commercial excellence engagements across virtually every major industry, we have a unique and compelling perspective on how to design sales incentives programs effectively. Several key factors need to be considered in regard to commercial activities:
Pricing is the profit lever that has the most impact on the bottom line. Yet, most businesses neglect to take an analytical look at how they might improve their pricing structure.
Our approach covers two primary areas of pricing. Taken together, they enable us to consistently deliver 2% or better measurable improvement in EBITDA for our clients.
Pricing area 1: Analytics – the “pocket margin” waterfall
The pocket margin waterfall measures margin erosion from list price by incorporating all discounts, allowances, rebates, and special costs to service a particular transaction:
Our approach involves measuring and calculating each price waterfall element at the transaction level (line-item on an invoice). This depth of measurement enables us to perform detailed profitability analysis by customer, product, sales territory, region, and any other factors relevant to your business. It also enables us to efficiently analyze each waterfall element to understand inconsistencies in how pricing is administered across your business.
Through a market-focused approach, we develop creative pricing segmentations that enable clients to achieve higher prices and deliver more value to customers, while maintaining or growing unit volumes.
Here’s an age-old dilemma: you need a higher price or a way to lower the cost of servicing the customer; your customer wants the opposite – either a lower price or more value. How do we at Kini deal with this situation?
Sales and Marketing Process Design
Many advisory firms are great at determining the “right answer” for their clients, as if consulting is a form of homework or a math quiz. However, the real challenge lies in actual implementation of the solution. To ensure proper execution of a Commercial Excellence initiative, a business needs to design processes thoughtfully and instill them in the company’s culture.
Corporate Due Diligence
In today’s competitive environment, firms acquiring businesses need to know where the profit levers are, how big they are, and how long it will take before results appear.
We have developed specialized expertise that ensures incisive assessment of a company’s Commercial Excellence opportunities in a due diligence setting.