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Online retail has grown significantly whilst traditional shopping on our high streets has seen a marked decline - once proud small retailers have now been deposed by coffee shops and charity stores.

If your end of year results turn out to be poorer than expected, is this always the time to change your pricing strategy? 

You don't have to be the biggest competitor to be a price leader.

On average, a 1% price increase translates into an 8.7% increase in operating profits (assuming no loss of volume).

A journey of a thousand miles starts with just one step.  We say that your first "baby" step on your pricing journey should be to decide on your pricing objectives.  Pricing objectives give direction to the whole pricing process. 

Pricing your products and ensuring you have built in sufficient margins to sustain your business is one of the most important decisions you’ll make. 

The one thing that is going to stop your customer's in their tracks is price, whether that price is ridiculously low or flying high amongst the clouds.  Or, on the other hand, it could be that your prices seem fair to them, offering value and benefits not seen elsewhere, i.e. your prices are just right.

Renowned investor Warren Buffett has said, “The single most important decision in evaluating a business is pricing power. If you’ve got the power to raise prices without losing business to a competitor, you’ve got a very good business. And if you have to have a prayer session before raising the price by 10%, then you’ve got a terrible business.”  Getting your prices right is key to business success and there is therefore no question that the role of a pricing executive is a responsible one.

How many times have we stressed the importance of getting your pricing right?   Too often you might say.