Simon-Kucher & Partners advises leading companies in the field of base materials in their pricing and marketing strategies. The common belief in base materials is “the market makes the price”. This is not completely wrong. However, our experts have identified a number of pricing levers that drive profitability. Simon-Kucher supports market leaders in developing pricing strategies based on scenario analyses and war gaming approaches. We optimize contract elements, price differentiation strategies, and support large account negotiations based on a systematic balance of power assessment. We develop sales strategies, structures, processes and governance.
Success in the highly competitive field of base materials is strongly linked to a company’s ability to balance volume and price and to transfer factor cost increases into prices. A high and increasing market volatility makes this a challenging task. Especially as volatility not only leads to (strong) fluctuations in spot prices, but also impacts customer’s expectations with regard to contract prices and future price developments. Only those companies with professional price management, efficient pricing processes and an effective sales management succeed in this environment.

  • Price strategies in contested markets using scenario techniques and war gaming
  • Price forecasting and volatility management
  • Price structure and architecture optimization
  • Price increase initiatives
  • Price negotiation and deal support at large accounts
  • Pricing process re-design
  • Pricing programs
  • Sales excellence programs

Selected clients

  • Deutsche Edelstahlwerke
  • HeidelbergCement
  • Lafarge
  • Omya
  • Rio Tinto