Companies are in the business of making money, and most often, they care about maximizing their Revenues, Gross Profit, and Operating Income. One of the biggest challenges Finance and Revenue Management teams face is the ability to systematically diagnose the drivers of fundamental business performance changes near real-time.

The price-cost-volume-mix analysis, sometimes known as Revenue or Gross Profit Growth Deep Dive, helps you understand the relevant components that drove your revenue, gross Profit, or other critical financial changes from one period to the next (or for actuals vs. budget).

This short video will show you a simple Gross Profit Growth Deep Dive built on customer transactional data.

This week, I wanted to show you another simple yet effective revenue analytics technique to steer sales behavior in the right direction and drive Gross Profits. Part 2: Discount Curve Analysis

At its very basic level, industry margin pools help you understand what share of the total profits goes to each supply chain participant, from Manufacturer, Distributor, to Retailer.

Part 1: Using Gross Margin % vs. Net Sales Customer Matrix to segment customers into actionable Sales & Pricing performance clusters.

Many middle-market companies are struggling to do action-oriented Commercial Analytics on a real-time basis. Understanding Sales, Pricing, and Margin performance vs. corporate objectives and strategies, along with proactively identifying and quantifying quick wins for improvement, is often a multi-day reactive, knee-jerk exercise. Pricing, Finance, and Commercial leaders are reticent to invest $MMs in turnkey price analytics solutions given high costs and long lead times – not to mention lack of flexibility and adoption issues that often yield a suboptimal return on investment.

Fortunately, you can do most of the above quickly, effectively (and cheaply!) using popular self-serve BI solutions like Tableau or Power BI.