Why pricing should be on every CEOs agenda | KPMG | GLOBAL

The price isn't right

Why pricing should be on every CEOs agenda

This video sets out why pricing should be on every CEOs agenda and needs to be considered as more than a tactical lever to drive volume.

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Pricing should be on every CEO's agenda. It is the most important driver of their long run profitability. Most companies think of pricing as a tactical lever to drive volume, and as a consequence have seriously under invested in their pricing capabilities over time.

Over time companies have gotten into the culture of discounts and promotions, hence customers expect heavier discounts applied to products, and as a result expectations for pricing in certain categories have been permanently reset to this.

Pricing has a significant impact on volume and demand for products and services, and it is our view that we will see technology playing a large part in introducing dynamic pricing in the long run.

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