This PPT slide, part of the 56-slide Strategic Pricing Framework and Tactics PowerPoint presentation, presents a structured overview of various SKU pricing tactics, categorized by the number of product lines and their respective sales percentages. It highlights a total of 20,000 lines, segmented into 5 distinct categories: Core lenders, Core matchers, Related, Tactical, and Less sensitive. Each category has a specific number of lines, with Core lenders being the most limited at 125, while the Less sensitive category encompasses approximately 17,500 lines.
The second column illustrates the percentage of sales attributed to each category, indicating that Core lenders and Core matchers contribute 5% each, while Related and Tactical categories contribute 7.5% and 15%, respectively. This distribution emphasizes the importance of the Core categories in driving sales.
The third column outlines the target price positioning for each category. Strategies include pricing 5% below the cheapest local competitor or matching their prices. For the Core matchers, the strategy is to maintain relativity with core competitors. The Tactical category suggests pricing 5% below a specific competitor's unpromoted price and matching their promotional prices.
The final column shows the average price change associated with these strategies, indicating a range from -10.0 to +3.5. This suggests that while some tactics may lead to price reductions, others could potentially increase prices, reflecting a nuanced approach to pricing strategy.
Overall, the slide serves as a practical guide for businesses looking to refine their pricing tactics across different product lines, ensuring alignment with market conditions and competitive pricing strategies. Understanding these categories and their implications can significantly impact profitability and market positioning.
This slide is part of the Strategic Pricing Framework and Tactics PowerPoint presentation.
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