Unified Strategies to Align Pricing, Freight, and Discounts Across Two Integrated Businesses

Background

Our client, a $300M manufacturing company, needed to optimize pricing structures and align strategies for its HVAC reflective insulation products after acquiring a competitor.

  • Key challenges included:
    • Integrating pricing, rebate, and discount structures between the two businesses.
    • Developing a consistent freight model to streamline operations.

The Approach

  • Pricing Strategy: Developed a new product pricing structure based on pricing power and insights from internal and external research.
  • Freight Model: Created a comprehensive freight model, estimating costs for any product from any warehouse to any customer location, incorporating freight and handling fees based on historical data.