Service 01

Most distributors have a price list.
Very few have a pricing system.

Pricing Framework & Governance is the foundational layer of commercial performance — the architecture that determines how every transaction is priced, discounted, approved, and enforced across your organization.

The Problem

Price decisions made without a system compound into margin erosion at scale.

In most B2B distribution businesses, pricing authority is distributed across reps, branches, and account managers — each making independent decisions without visibility into what peers are doing. The result is wide price dispersion on identical SKUs to comparable customers, override rates that quietly absorb margin, and a P&L that shows the damage months after the decisions were made.

"The meeting to discuss the discount override happens after the margin is already gone. The framework is what prevents it from happening in the first place."

What We Build

List Price Architecture — Head/Torso/Tail segmentation, competitive index targets by tier, margin floor and ceiling guardrails per category
Matrix & Contract Pricing — Customer-segment pricing logic, contract architecture, CSP governance, renewal triggers
Discount Governance — Override authority tiers by rep level, escalation workflows, daily/weekly discount spend visibility
Exception Management — Approval gates with context, guardrails that flag without blocking, audit trail for leadership review
Price Change Process — Recommendation workflow: engine recommends → pricing reviews → joint merch/pricing approval → glide path execution
Competitive Positioning — Weekly competitor benchmarking, market price index by SKU, dynamic repositioning playbook
Change Management — Rep adoption plan, leadership alignment, governance cadence that outlasts the engagement

Outcomes

What a governed pricing system delivers.

150–300bps

Margin Rate Recovery

Typical improvement in gross margin rate within 12 months of implementing a governed pricing framework — driven by price realization and discount discipline.

40–60%

Reduction in Override Rate

Organizations with clear override authority tiers and escalation workflows see material reduction in discretionary discounting within the first 90 days.

6–9 months

Time to Full Implementation

From diagnostic through pilot to full rollout across top categories. Compressed to 3–4 months for high-urgency PE-backed situations.

How We Engage

Three phases, measurable at each gate.

Every pricing engagement starts with a diagnostic — we will not recommend a framework before we understand your data. The diagnostic produces a ranked opportunity report before any broader commitment is made.

Phase 1 — Diagnostic (Weeks 1–4): Transaction-level analysis, price dispersion mapping, discount waterfall, override audit. Output: ranked opportunity report with dollar estimates.
Phase 2 — Framework Build (Months 2–4): HTT classification, list price algorithm, matrix design, governance policy, approval workflow.
Phase 3 — Pilot & Rollout (Months 4–9): Top-category pilot, rep training, leadership alignment, KPI tracking, full deployment with glide path controls.

The Margin Command Center Platform

The pricing framework we build is operationalized inside the Margin Command Center — a live analytics platform that surfaces price realization gaps, discount waterfall by layer, and 34 AI-ranked pricing initiatives ranked by dollar impact.

See Live Demo →