Industry
Consumer & Retail
Consumer Products
Company Profile
- US$4bn company annual revenue
- Global cosmetics brand
- Complex portfolio with frequent seasonal renovations as well as innovation launches
- Vastly different share and price positioning across markets
Situation and Objectives
- Define a global pricing strategy framework that takes into account both single market peculiarities and global company strategy
- Move away from cost-plus pricing and better incorporate consumers’ needs and willingness-to-pay into pricing approach
- Design global launch prices for pilot category
Approach
- Existing data
- Institutional knowledge
- Sales feedback
- Voice-of-consumer research
Results
- Alignment across regions on one global new product pricing framework
- Defined global consumer segments with deep understanding of needs and willingness-to-pay
- Recommended launch prices across regions and markets
- 3-year roadmap to layout timing for price, product and packaging changes
Impact
- Buy-in across regions and functions
- 5-7% retail revenue growth
