Situation
- Long tail of medical technology products with cost plus mark up prices in the system
- Margin pressure from procurement
- Competitive price pressures leading to unstructured sales discounting
Outcome Required
- Price potential identification for long tail of products
- Strategy to combat procurement
- Pricing structure to support strategic discounting and margin expansion program
Action Taken
- 5.7% point margin improvement driven by SKU price optimisation project
- Development of new pricing strategy + structures. Implementation of pricing management function
- New approach to selling on value using Customer Value Discovery program rolled out
