Managing price to deliver profit growth at CIBLEX
Case Study
CIBLEX, with sales of € 150 M, is a specialist in express distribution and maintenance. The company delivers over 100,000 objects per day through a network of 120 depots permitting to serve at D+1 in the morning all the french territory.
In 2005, following an MBO, the management team decided to implement OP pricing and revenue management system in order to improve the financial performance of the company.
This implementation was a full success. The new pricing processes based on OP contributed to an increase of +3.5 points in net margin between 2005 and 2007. The new pricing tool enabled CIBLEX to:
- Increase price and margin per shipment
- Renew its customer basis concentrating on more profitable deals