Revenue Analytics’ principals pioneered Revenue Management in a multitude of industries. Revenue Management’s inception came in the Airline industry in the form of Yield Management. Over the years, Revenue Analytics’ executive team leveraged and expanded upon those initial concepts to transform a vast array of industries with the introduction of Revenue Management and Price Optimization concepts. Today, these strategies drive revenue and profit margin increases across a variety of industries, including both B2C and B2B companies.
Revenue Analytics is at the forefront of innovation in Revenue Management. We develop cutting edge capabilities in pricing and forecasting for industries that have significant Revenue Management practices. Revenue Analytics also works to drive cultural change and improved analytics in industries that have only recently begun to appreciate the power of Revenue Management and Price Optimization.
- Automotive
Automotive manufacturers today are operating in a hypercompetitive environment under the weight of managing excess capacity. The rise of global competition has given consumers more options and greater leverage.
At the same time, data reflecting consumer preferences and transaction prices has become more available. Using these data to enhance understanding of end-consumer behavior patterns will be critical to selling the right vehicle to the right consumer at the right time for the right price in the new competitive environment.
Revenue Analytics’ principals pioneered the use of Revenue Management strategies in the Automotive industry to improve pricing and incentive decisions, and continue to advance the state of the art in predicting consumer response to price points and incentive offers. Successfully employing these techniques has resulted in savings of 10% on incentives spending, while increasing sales volumes.
Key capabilities in Automotive include:
- Customer Segmentation
- Demand Forecasting
- Discounts & Promotional Effectiveness Analysis
- Market Response Modeling
- Pricing Performance Measurement
- Consumer Goods
Companies providing consumer goods face a unique set of challenges in applying Revenue Management. While marketing directly to consumers, a consumer goods company must sell through a myriad of channels and intermediaries, distributors, and retailers. In this environment, marketing and promoting products can be difficult. Our principals have worked with some of the leading consumer goods companies in diverse industries like confectionaries, soft drinks and food products.
Together with our clients, we have created world class Revenue Management capabilities that drive a sustainable advantage in the fiercely competitive Consumer Goods industries.
Key capabilities in Consumer Goods include:
- Discounts & Promotional Effectiveness Analysis
- Demand Forecasting
- Market Response Modeling
- Retail Price Optimization
- Manufacturing & Distribution
Manufacturers and Distributors have recently begun to uncover the power of Revenue Management to improve pricing and discounting decisions. These determinations must be made in a complex environment that often includes thousands of individual SKUs, each with a unique product lifecycle. Each must account for factors such as channel conflict, cross-product cannibalization, and competitive actions.
Revenue Analytics has guided leading companies in the industry in using sophisticated analytics to overcome these challenges. From Fortune 500 manufacturing companies to multi-billion dollar distributors, Revenue Analytics has partnered with firms to develop and execute demand-based pricing and discounting strategies that fit with the complexity of the business model.
Key capabilities in Manufacturing and Distribution include:
- Customer Segmentation
- Discounts & Promotional Effectiveness Analysis
- Lifecycle Management
- Pricing Performance Measurement
- Price Tolerance
- Revenue Management Group Development
- Media & Entertainment
There are two distinct business models for media and entertainment: subscription/ticket revenue, and advertising revenue. Revenue Analytics’ principals have extensive experience developing Revenue Management and Price Optimization solutions for each of these business models. Our principals’ clients include some of the leading media and entertainment companies in television, theater and sports. Our work to create innovative Revenue Management capabilities consistently generates revenue increases of 2-6%.
Key capabilities in Media & Entertainment include:
- Demand Forecasting
- Negotiated Deal Price Optimization
- Pricing Performance Measurement
- Revenue Management Performance Assessment
- Retail
Revenue Analytics principals have partnered with some of the world’s leading retailers, implementing several of the first Revenue Management solutions. Retailers must contend with highly volatile customer demand. Seasonal and lifecycle effects are also strong. The wide array of instruments to influence consumer demand, including displays circulars, coupons, and percent-off make retail revenue management both challenging and rewarding.
Revenue Analytics’ principals have worked with retailers such as grocers, electronics and fashion retailers to realize revenue increases and profit margin growth from the application of Revenue Management. Key issues we have addressed in retail include issues such as pricing, promotions and markdowns.
Key capabilities in Retail include:
- Discounts & Promotional Effectiveness Analysis
- Markdown Optimization
- Pricing Performance Measurement
- Retail Price Optimization
- Services
B2B service providers are always looking for a competitive edge or a way to differentiate themselves from the competition without simply lowering price. Most firms have to manage the complexity of giving sales organizations pricing discretion and the flexibility to negotiate custom deals. Through rigorous data analysis and understanding the wants and needs of various customer segments, Revenue Analytics has collaborated with service firms, including the world’s largest aviation service provider, to improve management of discounts and negotiated deal profitability.
Key capabilities in Services include:
- Customer Segmentation
- Discounts & Promotional Effectiveness Analysis
- Revenue Diagnostic
- Telecom & Utilities
Telecommunications service providers and utility companies face a complex pricing environment influenced by regulatory constraints, demand volatility, and sales through multiple channels to both business and consumer segments.
Over the last 5 years, leading telecom companies have adopted Revenue Management tactics to hold their ground in a rapidly shifting competitive landscape. Revenue Analytics has collaborated with some of the largest telecom companies in the world to target price points to various customer segments using techniques such as Negotiated Deal Price Optimization.
As utility companies grapple with a shifting regulatory environment, increased competition, and commodity cost volatility, they are realizing that by improving their understanding of demand at a micro-market level, they can harness Revenue Management strategies to increase both profits and market share simultaneously.
Key capabilities in Telecom & Utilities include:
- Customer Segmentation
- Demand Forecasting
- Negotiated Deal Price Optimization
- Pricing Performance Measurement
- Travel & Hospitality
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Revenue Analytics’ principals pioneered Revenue Management in the Travel and Hospitality industry. Today, we are helping our Travel and Hospitality clients develop cutting edge solutions around demand forecasting, group pricing, retail price optimization and customer value analytics. Throughout the last 20 years, Revenue Analytics’ principals have partnered with 5 of the 8 largest hotel companies in the world, and 17 of the top 25 airlines in the world. Our principals also have worked with leading car rental firms, cruise lines and destination clubs.
Revenue Analytics’ Travel and Hospitality practice encompasses a broad range of capabilities, including:
- Demand Forecasting
- Market Response Modeling
- Retail Price Optimization
- Revenue Management Group Development
- Revenue Management Performance Assessment