Issue link: https://pros.com/learn/i/1520138
P ricing complexity has skyrocketed over the past few years, and it's not always clear where you should turn for help. Should you use AI or BI? Pricing software or pricing consultants? MYTH #1: "We use a consulting firm to help us manage pricing, so we don't need pricing software. TRUTH: If you don't have the in-house resources, consultants can help you tap into high-level theory to think through the vision for your business, such as how to tackle a new market, grow in a new region, or adapt a brand or private label. However, the only way to execute your vision is with pricing software simply because the pricing challenge has become so much more complex. To be successful in a far more complex business environment, you must not only manage a bewildering number of pricing points, but also deliver the right price, at the right time, in the right channel, for every sales engagement. Only pricing software can provide that kind of power—and you'll see why as we dig into the next myth. MYTH #2: "Our consultants built awesome spreadsheets for us, so we have our pricing under control." TRUTH: Without pricing software, the pricing output from any human—even the best and brightest consultant—is only applicable at the time you receive it; in other words, it's one- time pricing not dynamic pricing. Every time there's a change to costs, taxes, competitor prices, you name it, you must re- engage the consultant to update your pricing. Every time you want to expand into a new sales channel, you must re-engage the consultant to deliver appropriate pricing for that channel. It becomes one long, very expensive series of engagements. This approach of relying on price execution spreadsheets also leaves potentially billions of dollars in profit on the table as you'll see in the simple math illustration below, which has proven to be eye-opening to business leaders once they understand the difference between national-level versus customer and product/SKU-level pricing. Beyond Price: Unveiling the Truth Behind Common Pricing Myths PRO TIP Scan the code to learn about Enterprise AI for pricing teams