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Arnott's
Arnott’s, a major player in FMCG, was losing margin due to discounting, channel disputes, and inconsistent deal pricing. We delivered a centralised pricing strategy, clarified account segmentation, and helped recover $5.0M in EBIT within a year.
Service
Pricing Diagnostic & Quick Wins
Situation
- 41 key account managers setting their own pricing strategies
- Channel clashes between Woolworths and Coles resulting in retailer “fines” deducted off remittance.[+$200K]
- Excessive discounting driving revenues but lowering profitability below baseline levels
- Substantial and costly inventory builds due to forecasting errors
Outcome Required
- Optimised price points and strategy for iconic brands like Tim Tam and Kettle Chips
- Elimination of channel conflict
- Increased forecast accuracy to reduce excess stock build up
- Improved brand profitability
Action Taken
- Detailed analysis and pricing strategy developed for every promoted SKU
- Centralised pricing strategy and team established
- $5.0M trade spend improvement in 12 months
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Lets work together
Whether you're ready to optimise your pricing or want to explore what's possible, we'd love to hear from you.
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Specialists in pricing strategy, margin expansion and commercial capability.
Based in Sydney, serving clients across Australia and beyond.
info@pricinginsight.com.au
+61 410 534 099
Level 26, 1 Bligh Street, Sydney NSW 2000