Software

Simon-Kucher’s software strategy consulting practice provides a complete array of marketing strategy services including product and channel strategy, optimizing packaging, price metrics and levels optimization, and sales excellence. Simon-Kucher’s software consulting practice has worked with the world's leading software vendors to extract premium values for their products and services in a variety of markets and competitive environments. Our software strategy consultants have also helped several software companies develop and migrate to new SaaS deployment models and alternative pricing metrics. Simon-Kucher has completed over 100 software pricing projects and has offices in the five largest global software markets: USA, Japan, Germany, UK and France.

After the recent recession, many software companies are emerging with new challenges. Discounting discipline was often thrown out the window in a desire to hit revenue targets, and it is difficult to re-orientate a sales organization towards profit optimization. Depressed valuations, cost efficiency mandates and short-term growth through acquisition led to a round of consolidation in industry sub-sectors, with many companies now sorting out disjointed portfolios and pricing structures. Furthermore, the transition to cloud-based IT models has altered established channel structures and revenue models. The combined effect has made it increasingly difficult for companies to extract full value from their products and services.

• Optimize packaging and pricing to turn a large portfolio of modules into a handful of clear customer solutions that simplify the sales process and increase deal size
• Build a scalable process to evaluate and harmonize pricing metrics across dozens of products
• Test viability of alternative revenue models (e.g., usage-based pricing, revenue sharing agreements) with customers and partners
• Improve discounting authority and controls while aligning sales incentives
• Establish tools and processes to promote price transparency and KPIs
• Design a global pricing organization to ensure clear roles and responsibilities for pricing actions
• Create a strategy for managing global price differences
• Create a pricing and sales strategy for maximizing value from key enterprise accounts
• Construct a channel management strategy for value-added resellers
• Develop a product strategy for penetrating SMB space