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MRO Distributor Strengthens Market, Grows EBIT 30 Percent

January 15, 2015

Branch-based distribution businesses typically operate with a decentralized pricing process that allows each branch to essentially operate as its own business. This maintenance, repair and operations (MRO) distributor was no different. The MRO industry’s standard operating procedure with regard to pricing practices is to publish a price list against which matrix discounts are extended. It’s not uncommon to observe discounts of 50 percent or more.

However, branch staff expressed that pricing was a hassle and not what they wanted to focus on; they wanted to focus on helping and adding value to the customer relationship. Read this case study and learn how executives were able to leverage optimized price matrix guidance to strengthen branch rep confidence and positively impact the bottom line. 

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