Where to Look for Hidden Profit in your Spare Parts

There’s no shortage of things to think about when it comes to spare parts pricing. But despite the increasing complexity of catalogs, distribution networks, and markets, the majority of aftersales service organizations focus on the roughly 10% of products that make up the biggest portion of revenue. This may be because they’re using legacy systems […]

SHARE THIS POST

Why Use Spare Parts Price Optimization Software?

Along the lines of my recent post on why you should use spare parts inventory management software, today we’re talking about another key topic for OEMs. We’ve been diving pretty deep into the benefits of price optimization and segmentation here on the blog this year, but maybe you’re still wondering about the basics: Why should […]

SHARE THIS POST

Why Your Spare Parts Inventory Could Be a Gold Mine

Fallout from the COVID-19 pandemic made 2020 a tough year for everyone. The economic downturn has impacted aftersales service from every angle, with supply chains disrupted, sales of finished goods dropping, and many OEMs left looking for ways to make up for lost revenue. Strategic spare parts pricing offers a great opportunity to increase revenue […]

SHARE THIS POST

Optimizing Returns with Smarter Product Segmentation – Part Three

Welcome back to the final installment in this series on price segmentation. If you missed part one and part two, be sure to read them first to get up to speed. (We’ll wait.) Picking up where we left off last time, we covered the three most common ways to structure segmentation. Now let’s look at […]

SHARE THIS POST

Optimizing Returns with Smarter Product Segmentation – Part Two

Welcome back to our three-part series on using product segmentation to increase returns. In the first post of this series, we covered the basics – why we use segmentation and which pricing methods work best for different parts categories. Let’s pick it up where we left off, looking at opportunities to differentiate. How can we […]

SHARE THIS POST

Optimizing Returns with Smarter Product Segmentation – Part One

It’s no secret that accurately segmenting your service parts will produce the best results when setting prices. However, doing spare parts segmentation “right” is another thing altogether, especially when pre-determined categories created by engineering and product development tend to shape much of the strategy. So, while product segmentation is a popular pricing method that’s commonly […]

SHARE THIS POST

Beyond the Basics: Pricing Tactics, Part Three

Today we’re wrapping up our conversation about how price tactics can help OEMs overcome the market challenges of a post-pandemic world by strategically boosting margins and revenue. If you’re just joining us, be sure to catch up on what we’ve already covered in this series, as well as our Back to Basics series: Beyond the […]

SHARE THIS POST

Beyond the Basics: Pricing Tactics, Part Two

Welcome back! If you missed part one of this series, you can read it here. Be sure to check out our recent Back to Basics posts, too, where we covered the fundamentals of pricing – price optimization; inventory optimization (part one and part two); and retail inventory management or RIM (part one and part two). […]

SHARE THIS POST

Beyond the Basics: Pricing Tactics, Part One

As the coronavirus pandemic continues to impact people and businesses around the world, we’re looking at strategies to help manufacturers retain customers and bolster margins. In our five-part Back to Basics series, we talked about the fundamentals of price optimization; inventory optimization – part one and part two; and retail inventory management (RIM), also a […]

SHARE THIS POST

Optimize Spare Parts Price Management to Maximize Profits from After-sales Service

After-sales service is becoming an increasingly important and strategic focus area for manufacturers around the world, but many organizations are resistant to invest in solutions solely dedicated to its optimization. Recently, I led a virtual discussion where I covered how manufacturers can leverage Syncron PriceTM to evolve service parts pricing beyond cost-plus logic and unlock […]

SHARE THIS POST