Can A 1% Price Increase Really Deliver An 11% Profit Increase?

Posted in Business Growth

It’s proven that the fastest and most effective way for any business to realise its maximum profit is to get its pricing right.

The right pricing structure can boost profit faster than reducing costs or increasing your sales volume. On the flip side the wrong pricing structure can shrink your profits just as quickly.

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Pricing has the biggest influence on profits

And yet many business owners are still reluctant to investigate initiatives to improve price for fear that they will alienate, frighten or lose customers.

The result of not managing price performance, however, is far more damaging. Getting your pricing right is one of the most fundamental and important functions for any business manager and should be the first job undertaken.

Two studies by McKinsey & Co and A.T Kearny (global consulting firms), suggest that pricing has the biggest influence on the profits of a company.

Please click here to read the details of these studies.

Just think – what impact could better pricing have on your bottom line profits?

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