A price increase requires collaborative revenue management.
The Sales, Marketing and Finance teams must input into the planning process.
To be successful the proposed price increase requires a strong underlying rationale.
The financial modelling must be based on detailed data capture, clearly understood customer segmentation and robust forecasting assumptions.
Communication is key. Customers require lead time and advance notification. All customers must be treated equally to ensure success. Sales and Marketing teams must believe in the underlying rationale for the increase. Customer monitoring pre and post the increase is required to capture any behavioural change.
The program should include adequate timelines to deal with any partner pushback and scenario planning for partial implementation.
Any price increase requires detailed program management to deliver a net yield to the business.