This website alone shows how outdated cost-plus-margin pricing is. Nevertheless, pricing is an essential part of the corporate as well as the marketing strategy. Today, pricing is done from the ERP-system.
Using comprehensive data, price calculations can be more targeted. How do you ask yourself? Here is a guide:
Strategic pricing is the real win
As already mentioned, the corporate strategy and the marketing strategy are an important part of pricing (or vice versa). In any case, both form the basis for pricing products and services. Besides cost recovery and profit, this basis is of increasing importance. It also supports marketing goals, such as a new product. Risks are gladly accepted for additional market share.
Make prices individually attractive
Order quantities, regions, target groups, previous purchases ? all this (and much more) are important factors in pricing. Complex? Yep! But it's worth it. Because the more individually the customer price can be set, the more attractive it becomes. Promotions, loyalty discounts, flat rates and other special offers can be used in a targeted manner.
ERP in use for price calculation
Now you ask yourself: How is that supposed to work? This is where the ERP software comes in. Collecting complex amounts of data, evaluating them, making them visible is, after all, also a job of this solution. Price deviations must be visible, e.g. whether a discount promotion was successful.
To ensure such operations, the following should be in place in the ERP:
- base data ? because sufficient information about articles and customers is the be-all and end-all of good pricing with ERP. The data should also be up-to-date.
- transaction data ? i.e. orders, stocks or contacts. These must always be able to act flexibly with the master data and the different pricing models.
- Functions ? are essential, for example, for data exchange with a webshop connection (see below). In the case of pricing, priority is given above all to the options for evaluation. In addition, the export and individual adjustments of these are helpful.
Data reconciliation with webshop
Especially for products, a webshop is actually indispensable nowadays. AddOns for Ecommerce-There are many ERP systems. To ensure that an investment in this direction makes sense, data synchronisation between the two systems must be guaranteed. Prices, conditions, stock levels or product descriptions will then match in any case. This provides a good basis for evaluations for pricing.
The consequence of using a suitable ERP system for pricing is, on the one hand, cost transparency ? also in connection with cost recovery and profit. In addition, the various complex factors are simplified in such a way that pricing becomes possible.