Customer Centric Pricing

The Contract Monitoring module enables enterprises to quickly identify profit leakage resulting from injustified price disparities among customers. Together with the Smart Quote module it ensures that commitments taken at contract signature are respected, identify significant gaps and take corrective actions (re-rating or change of contract terms).

Customer pricing diagnosis

Contract Monitoring enables to identify profitable micro-segments where sales efforts should be focused and to monitor customer price performance with identification of loss makers and customers potentially at risk. Key tools include:

• Price Score analysis: shows how customer price compares with prices of most similar customers
• Margin Score analysis: shows how customer margin compares with margin of most similar customers
• Profitability waterfall
• Competitive benchmark

Compliance analysis

At the end of each invoicing period (monthly or weekly), compliance alerts signal contracts showing deviance between actual and committed/expected transaction profile, i.e. margin, revenue, order volume or other transaction profile characteristics which have an impact on contract margin such as product mix, time period profile, geographical profile…

Price change management

Contract Monitoring enables to determine the target price plan that matches actual deal transaction profile and compare impact versus actual price plan. At contract anniversary, target price increases are defined by type of contract/account and exceptions are managed through a specific workflow.