Optimize your company’s offering!
Revisiting your company’s offering is one of the most important aspects of your firm's strategic posture, especially in dynamic environments such as the ones we currently operate. Changes in the macroeconomic or regulatory environment or even changes in consumers’ preferences and values may alter significantly the P&L dynamics of your corporation, while the entrance of new competitors or new technologies may add extra pressures on your financial results.
In ClientIQ – using a holistic client management view – we can help you address the demands of a constantly changing business environment, transforming the need to change from a risk into a competitive advantage that will generate new opportunities for your business.
Optimizing the pricing strategy
The issue: ClientIQ was called to design an entirely new pricing strategy for its client with the challenging task to meet 3 conflicting requirements at the same time: Set up a price that would not impact customer engagement and would not result in volume loss towards competition, formulate a proposal that would improve profitability despite the environment of diminishing spreads, and respect the local regulatory environment, which allowed small room for flexibility.
The actions: ClientIQ’s strategy team introduced a 360 approach following the “Understand, Measure & Test” rule on every step of the way. Understand through a multi segmentation approach, the price sensitivity of the customer base. Measure the correlation between the price and customer spending, and Test the key components of our pricing proposal directly with the end consumer.
The results: Our results speak for themselves. Using a holistic client management strategy, ClientIQ’s teams managed to improve our customer’s financial performance by €12.6 mln, of which, €6.8 mln being attributed to savings compared to the old pricing and the remaining €5.8 mln being generated by increased customer engagement and usage
Loyalty offering optimization
The issue: ClientIQ was called to redesign the core loyalty program of our client, with the task to optimize the cost for the business with the perceived value from its customers.
The actions: Our strategy teams combined enhanced customer analytics methodologies with marketing research to measure the relevance of rewards programs and understand the attributes that impact customer spending behavior.
The results: The results of our proposal were dual, since in one hand, ClientIQ managed to improve the client’s financial performance by €1.7 mln, and on the other, improve customer satisfaction by 28%.