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Foodservice Distributor Increases Margin 50bps with Pricing Optimization

For this broadline foodservice distributor with tens of thousands of customers and products, hundreds of sales reps and millions of transactions, price optimization for every selling circumstance was a challenge, especially when food costs change weekly and pricing approval was executed by only two centralized pricing team members.

Not surprisingly, sales reps focused only on the top 10 percent of their customers and set prices based on last price paid for the remaining accounts.  Products were sold at lower margin and did not reflect the market. Executives needed to quickly reverse the squeeze on margins reflected in the P&L.

With Zilliant’s AI software, this foodservice distributor moved from manual re-pricing to actionable, real-time pricing optimization to address pricing complexity at scale

Read the case study for details on:

  • Choosing the right timing to deploy a new price optimization solution

  • Performing two types of pricing optimization to align price relationships with price response

  • Managing change management thoughtfully to boost pricing confidence with the sales team
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