Pricing, Reimbursement & Reforms​

Across the industries in India, pricing has become an increasingly complex decision, if one were to earn maximum value from the products and services one sells. Our work in this area has helped several clients manage its pricing more intelligently and effectively than practiced earlier to our intervention, resulting in a substantial addition to profit pools.

Pricing in industrial goods has witnessed pressures from customers given that the customers’ unwillingness to pay for a price increase ranges only from being reluctant to being open to a marginal increase in the prices of the goods they buy, regardless of the relationship they enjoy with customers and quality of the goods they buy. This is at a trade off with the increasing cost pressures, especially in basic industrial goods eroding the margins of the suppliers. Such challenges are met by exercising discipline in identifying where the value lies in the eyes of its customers and finding the maximum threshold levels of prices they will be willing to pay. We have built in rigor in our methodology to help clients manage these decisions. Our on-the-ground interviews with participants in the value chain builds into pricing the high probability of its success.