Key Value Item Series II: a KVI to whom?

This post is part II of our series on Key Value Items, or KVIs.  Read Part I here, and other pricing work here. Identifying KVIs as a retailer is complex and hard, but it’s important enough that it must be done right.  In the age of increased price comparison, online shopping, and showrooming, nailing the […]
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A tactical guide to finding your Key Value Items (KVIs)

In prior posts we’ve discussed the varying definitions of the Key Value Item (KVI) in retail.  Setting aside the important differences, the core principle remains: KVIs are the most important SKUs in the assortment.  We’ve worked with many retailers to build and maintain a list of their KVIs as top priority SKUs.  And while every retail sector […]
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Empty Threats, Brinkmanship, and MAP

Many of our clients have Minimum Advertised Price (MAP) clauses in their vendor contracts, and we pay attention to developments in the space.  When Amazon breaks MAP, it’s often large enough that the rest of the players feel the pain.  They call the manufacturer, who then threatens to cut Amazon off.  Most of the time, it’s […]
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Key Value Item Series I: (Re)Defining the KVI

This post is part I of our series on Key Value Items, or KVIs.  Read Part II here, and other pricing work here.  If you’re looking to get a better handle on your KVIs, drop us a line or schedule a free discovery interview and we can discuss in more depth. The standard definition of a […]
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“Fairness” in Pricing

A recent HBR article titled “Understanding Fairness is the Key to Keeping Customers” caught our eyes this week. From the headline we expected another rant on what a “fair” price is, conflating ethics with price setting. We were relieved to discover it’s actually a more tactical guide to the perception of fairness in pricing. Customer […]
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A Rule of Thumb in Pricing

Pricing is complex, which is why we love it.  But we also love those rare instances where we can use simple rules of thumb as a shortcut.  We’ve been using this one for years:
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The Six Analytic Capabilities of Retail Pricing Excellence

The current state of retailer pricing sophistication is all over the map. Some, with little investment and low organizational adoption, stay in the low-value early stages perennially. Others develop advanced analytic capabilities which, when paired with the broader strategic context, drive huge financial impacts. Setting aside why these disparities exist, there’s value in exploring how […]
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