Nordic TopLine Power® Conference 2018
The amount of money spent worldwide on innovation has never been larger. However, 72 % of all new products do not achieve their profit targets. The main reason is that considerations on customers’ needs and willingness-to-pay are made too late.
Simon-Kucher & Partners hosted the Nordic TopLine Power® Conference in Copenhagen on November 8. The main topics of the conference were monetizing innovation, behavioral science, pricing strategies and digitalization. Top managers from leading companies, including Bonniers, Fitness World, NKT, Nordic Capital and Pandora, spoke about how they are using segmentation, behavioral science and digitalization to drive topline growth.
“According to our studies, 72 % of all new products do not achieve their profit targets. This means that 72 % of all new products flop. In 25 % of the companies in our survey all new products fail to achieve their profit targets,” Dr. Georg Tacke, CEO at Simon-Kucher & Partners, said. "To avoid flop you need to place the willingness-to-pay-analysis very early. Do it at the beginning of the innovation process. Besides, don’t forget segmentation of your products. One size fits none,” Dr. Georg Tacke emphasized.
Guest speaker Steen Albrechtslund, CEO at leading Danish fitness centre chain Fitness World, felt inspired by the keynote speech by Dr. Georg Tacke: “While listening to Dr. Georg Tacke I got an idea: Why do we use a simple subscription model? Why do our all our customers simply pay for turning up and doing fitness? Why don’t we charge some of our customers for achieved results such as BMI and muscle mass,” Steen Albrechtslund asked.
Dr. Christoph Bauer, Partner at Simon-Kucher & Partners, informed the event’s participants on possibilities of applying behavioral science to sell more at better prices. “The bevarioral economic effects are very powerful. But they are also very sensitive. Small mistakes and they are not working. A deep understanding of the effects is necessary,” Dr. Christoph Bauer concluded.
In a final discussion round, all the speakers agreed that digitalization and segmentation are huge challenges. “We are on a journey, and we need to take our customers along with us,” Silja Schoeneborn from Pandora said.
Overview of presenters, panelists and topics:
- Steen Albrechtslund, CEO of Fitness World: Achieving long term profit growth through Pricing, Marketing and Sales
- Niklas Hyden, EVP, Group PMO and Chief Procurement Officer at Bonnier AB: TopLine Growth
- Silja Schoeneborn, Director Product Management at Pandora: TopLine Growth
- Frida Norrbom Sams, Executive Vice President, Head of Applications division at NKT: TopLine Growth
- Peter Thorninger, Operations Director at Nordic Capital: Top Line Growth
- Dr. Georg Tacke, CEO at Simon-Kucher & Partners: Monetizing Innovation
- Dr. Christoph Bauer, Partner at Simon-Kucher & Partners: Applying behavioral science to sell more at better prices
- Dr. Andreas von der Gathen, Global Head of Consumer and Retail, Board Member at Simon-Kucher & Partners: Managing the Amazon entry successfully through effective omni-channel management
- Andreas Jonasson, Managing Partner Sweden at Simon-Kucher & Partners: Capturing TopLine Power® through segmented price, product and service offerings
- Othmar Schwarz, Partner at Simon-Kucher & Partners: Accelerating sales force performance in the digital age
- Alexander Bilsing, Director at Simon-Kucher & Partners: How to improve targeting at every step of the customer journey
- Alan Kelly, Director at Simon-Kucher & Partners: How to improve targeting at every step of the customer journey
- Nicolai Broby Eckert, Partner at Simon-Kucher & Partners: Equity value creation through TopLine Power®
Simon-Kucher & Partners, Strategy & Marketing Consultants:
Simon-Kucher & Partners is a global consulting firm with more than 1,200 professionals in 38 offices worldwide focusing on TopLine Power®. Founded in 1985, the company has more than 30 years of experience providing strategy and marketing consulting and is regarded as the world’s leading pricing advisor.