Helping a major wholesaler boost profitability and build sustainable pricing capabilities.
In a highly competitive home improvement market, a leading European distributor saw an opportunity to strengthen its pricing strategy to drive margin growth and improve customer price perception. With growing pressures from discounters and online players, the business recognised the need to align prices more closely with customer value and market dynamics.
By addressing inconsistent pricing practices across regions and categories, the retailer aimed to unlock hidden profit potential and embed a sustainable pricing culture.
Through a focused pricing transformation, our collaboration delivered recommendations that boosted EBITDA by more than 2 percentage points within 12 months.
By embedding robust pricing governance and equipping teams with the right tools and processes, the business is now able to sustain pricing discipline and respond dynamically to market shifts. Improved price perception among key customer segments has strengthened competitiveness and positioned the retailer for long-term commercial success.
In today’s competitive retail environment, pricing is one of the most powerful levers to protect margins and drive growth. By addressing margin leakage and aligning prices to customer value, businesses can unlock significant profit potential while improving customer trust and perception. This case highlights how a structured pricing approach not only delivers rapid financial impact but also builds the internal capabilities needed for sustained commercial success.
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pricing benefit as a percentage of revenue in the first year
Discount changes caused NO decline in volume and NO customer churn reducing value leakage
The sales team bought in to the pricing committee process and became more confident in their pricing negotiations
We developed a differentiated pricing strategy for various product classes – including Key Value Items, Fast Movers, and Shadow Products – within the client’s catalogue. By classifying products based on brand relevance and revenue contribution, and incorporating insights from sales and category experts, we enabled:
Market-aligned pricing for high-visibility products.
Margin maximisation for niche or lower-volume items.
Pricing approaches tailored to capture customer value and utility dynamics.
We created an enhanced discounting framework based on customer segmentation and value proxies (e.g. size and growth level). This structure achieved:
Improved market relevance and competitiveness.
More targeted pricing actions across customer groups.
Correction of pricing outliers and elimination of redundant discount levels.
Through interactive sales workshops, we secured stakeholder buy-in and refined the discounting solution. These sessions:
Gathered critical insights to shape an agile pricing governance structure.
Defined clear roles and escalation levels across regions.
Established a segment-based organisational approach to improve decision-making and accountability.
To minimise risk and ensure smooth rollout, we:
Piloted the new discounting framework in selected sites before scaling.
Rolled out the solution across all business units over three months.
Introduced a monthly pricing committee and dashboards to monitor performance, drive data-led decisions, and embed best practices across the sales team.
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