{"id":77391,"date":"2024-11-13T08:00:00","date_gmt":"2024-11-13T15:00:00","guid":{"rendered":"https:\/\/www.vendavo.com\/?p=77391"},"modified":"2024-11-12T11:00:34","modified_gmt":"2024-11-12T18:00:34","slug":"pricing-for-profitable-growth-outlook","status":"publish","type":"post","link":"https:\/\/www.vendavo.com\/news-releases\/pricing-for-profitable-growth-outlook\/","title":{"rendered":"2025 Pricing Considerations Identified in New Research from Vendavo and Experis Pricing Solutions\u00a0"},"content":{"rendered":"\n<p class=\"has-medium-font-size\"><em>C-Suites in US and European manufacturers and distributors report growing optimism and anticipate shifting buyer sentiment in 2025<\/em>\u00a0<\/p>\n\n\n\n<p><em>Denver, November 13, 2024<\/em>\u2014Manufacturers and distributors are optimistic about better economic conditions in 2025 and are planning accordingly, says new research released by <a href=\"https:\/\/www.vendavo.com\/\" target=\"_blank\" rel=\"noreferrer noopener\">Vendavo<\/a>, the global leader in B2B pricing, selling, and rebate management solutions and <a href=\"https:\/\/web.manpowergroup.us\/pricing-solutions\" target=\"_blank\" rel=\"noreferrer noopener\">Experis Pricing Solutions.<\/a> In the <a href=\"https:\/\/www.vendavo.com\/2025-pricing-for-profitable-growth-outlook\/\" target=\"_blank\" rel=\"noreferrer noopener\"><em>2025 Pricing for Profitable Growth Outlook<\/em>,<\/a> C-suite members identify top pricing considerations in 2024\u2019s sluggish economy, what they know about buyers today, and how they will price their products in 2025.&nbsp;<\/p>\n\n\n\n<p>Nearly half of all responding US and European manufacturers and distributors (46%) say they are cautiously optimistic about 2025 and are preparing their pricing models for better economic times ahead. One\u2013fourth (26%) go further and say they feel bold and have already implemented new products\/services and pricing models.\u202f\u202f&nbsp;<\/p>\n\n\n\n<p>\u201cOrganizations are focused on boosting profits, and margin improvement strategies are essential today,\u201d said Eric Carrasquilla, CEO, Vendavo. \u201cFinding and offering the right product at the right price at the right time to the right customer is table stakes for successful commercial operations. Every other growth initiative will deliver little value without the right price.\u201d&nbsp;<\/p>\n\n\n\n<p>Insights into how market pressures influence buyers are foundational to offering the right price. In 2025, leaders anticipate buyers\u2019 willingness to pay (WTP) thresholds &#8211; or the maximum amount of money they are willing to spend on a product or service \u2013 will prioritize customer experience (34%) followed by product support options (32%), and sustainability (30%).&nbsp;<\/p>\n\n\n\n<p>C-Suite pricing considerations, anticipated shifts in 2025, and the\u202fresources required for effective price optimization are outlined in the report, including:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>How inflation influences pricing strategies. <\/strong>Before adjusting their prices to inflation, manufacturing leaders first consider revenue gain goals (45%). Distribution leaders are most concerned with maintaining margin (38%) and meeting customer demand (37%). Both manufacturers and distributors report their top price optimization strategy is the <a href=\"https:\/\/www.vendavo.com\/glossary\/value-based-pricing\/\" target=\"_blank\" rel=\"noreferrer noopener\">value-based approach<\/a> (28%) followed by the market-based approach (25%).\u00a0<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Pricing automation grows while AI use stalls. <\/strong>Automation and AI offer pricing advancements, but AI adoption remains challenging. C-suites understand software is required for successful pricing initiatives. Approximately half (49% &#8211; 53%) report fully integrated instances for setting prices, formulating guidance, and providing product suggestions and context to the sales team. To assist with price management, just 29% report using AI to streamline operations, increase efficiency, and boost profitability. Those that use AI say it\u2019s for pricing process improvement (50%) more so than pricing intelligence (28%).\u00a0\u00a0<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>The need for a strong pricing function.<\/strong> Market pressures require agile pricing models. For timely execution, respondents recognize the importance of robust and proactive pricing teams. More than half (52%) of respondents (all with 500+ employees) say they rely on 11-20 people working on pricing, and 95% say they will recruit more in 2025.\u00a0<\/li>\n<\/ul>\n\n\n\n<p>\u201cCompanies who focus on proactive pricing strategies to incorporate value-based approaches, leverage technology, and prioritize customer engagement will pull ahead in a market where costs are rapidly fluctuating,\u201d said Maureen Roderick, Director of Delivery, Experis Pricing Solutions. \u201cThe critical aspect of a pricing journey is the ability to align pricing strategies with both market realities and customer expectations, ensuring long-term success and adaptability in an ever-changing landscape.\u201d&nbsp;<\/p>\n\n\n\n<p>The 2025 Pricing for Profitable Growth Outlook, conducted by Vendavo and Experis Pricing Solutions, questioned manufacturers (67%) and distributors (33%) from the US and Europe. Respondents are senior-level sales (64%), finance (30%), pricing (3%), and marketing (2%) professionals who have sole pricing decision-making responsibility.&nbsp;<\/p>\n\n\n\n<p><a href=\"https:\/\/www.vendavo.com\/2025-pricing-for-profitable-growth-outlook\/\" target=\"_blank\" rel=\"noreferrer noopener\">Download the <em>2025 Pricing for Profitable Growth Outlook<\/em> here.<\/a>&nbsp;&nbsp;<\/p>\n\n\n\n<p>##&nbsp;<\/p>\n\n\n\n<p><strong>About Vendavo<\/strong>&nbsp;<\/p>\n\n\n\n<p>Vendavo\u202fempowers global manufacturers and distributors to accelerate growth and profitability with leading pricing, selling, and rebate management solutions. Companies like Emerson, Medtronic, and GAF rely on\u202fVendavo\u202fto manage, optimize, and\u202fdigitize their end-to-end commercial processes. Vendavo&#8217;s\u202fsolutions, a team of pricing and\u202fselling experts, and proven process accelerates value and outcomes that are not only\u202fpredictable but unrivaled. With\u202fVendavo, the world&#8217;s most ambitious B2B organizations can develop\u202fdynamic customer insights and execute optimal pricing strategies that maximize margin, boost sales\u202feffectiveness, and improve the customer experience.\u200b\u200b&nbsp;<\/p>\n\n\n\n<p>Vendavo\u202fis headquartered in Denver with offices in Czech Republic, India, and Sweden.\u202fFor more\u202finformation,\u202fvisit\u202f<a href=\"http:\/\/www.vendavo.com\/\" target=\"_blank\" rel=\"noreferrer noopener\">http:\/\/www.vendavo.com<\/a>.&nbsp;<\/p>\n\n\n\n<p><strong>About Experis Pricing Solutions<\/strong>&nbsp;<\/p>\n\n\n\n<p>Experis Pricing Solutions has delivered more than 100 successful pricing implementations and offers enhancements, support &amp; maintenance, data transformation (ETL), and sustainment models that lead customers to self-sufficiency.&nbsp;&nbsp;&nbsp;<\/p>\n\n\n\n<p>With 20+ years of experience, Experis Pricing Solutions helps companies make profitable commercial decisions faster \u2013 and more accurately \u2013 by implementing and maintaining world-class pricing and revenue management software solutions. From total project ownership to complete project teams or key skilled resources, our flexible delivery model allows you to custom design the project delivery to meet your needs.&nbsp;<\/p>\n\n\n\n<p>Media Contact: Kimberly Doyle&nbsp;<br \/>Kimberly Communications, Inc.&nbsp;<br \/>319-389-6953&nbsp;<br \/><a href=\"mailto:kb@kimberlycommunications.com\" target=\"_blank\" rel=\"noreferrer noopener\">kb@kimberlycommunications.com<\/a>&nbsp;&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>C-Suites in US and European manufacturers and distributors report growing optimism and anticipate shifting buyer sentiment in 2025\u00a0<\/p>\n","protected":false},"author":24,"featured_media":77392,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_kad_blocks_custom_css":"","_kad_blocks_head_custom_js":"","_kad_blocks_body_custom_js":"","_kad_blocks_footer_custom_js":"","_kadence_starter_templates_imported_post":false,"_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"footnotes":""},"categories":[1237],"tags":[1437],"class_list":["post-77391","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-releases","tag-pricing-excellence"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ 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