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Pricing Strategy

Tariffs, “Sneakflation,” and the Pricing Tightrope

A hidden tariff tax, dubbed “sneakflation,” is quietly raising prices on everyday goods and squeezing business profits. Faced with this pressure, many companies make the mistake of implementing blunt, across-the-board price hikes that can damage sales volume and customer relationships. This post details a smarter, surgical approach, using data-driven strategies like price elasticity analysis and scenario modeling to manage rising costs. Learn how to walk the pricing tightrope to protect your margins without alienating your customer base.

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Stop asking for an “AI Pricing Tool.”

For B2B firms in industries like wholesale, distribution, and manufacturing, the idea that AI in pricing is a magic black box can quickly become an investment sinkhole and a strategic dead end. Before thinking about AI, you must confront the two beasts that kill nearly every pricing initiative: Cross-Functional Chaos and The Profitability Mirage. Fancy algorithms do not drive pricing success—getting the basics right is.

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The Tariff Tightrope: Why Walmart’s Price Hikes Signal a Reality Check for American Consumers

Walmart’s recent announcement of price hikes due to tariffs serves as a stark reality check, confirming that American consumers will ultimately bear these costs. This isn’t just about Walmart; it signals a broader economic shift impacting shoppers and presenting significant challenges for CPG companies. This article delves into why these price increases are happening and outlines crucial strategies for CPGs to navigate this turbulent environment.

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The Sinking Feeling of Weak Pricing Power? BATNA is Your Anchor

That sinking feeling when sales asks for another discount or competitors drag you into a price war isn’t just anxiety; it’s often a sign of weak pricing power. This reactive negotiating, often driven by the lack of a quantified walk-away position, bleeds profits and erodes margins. Discover how defining your Best Alternative to a Negotiated Agreement (BATNA) can anchor your pricing, stop margin leakage, and empower you to secure better deals.

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Pricing Strategies to Counter Tariff Impacts

Rising tariffs create significant financial pressure, demanding proactive and strategic pricing adjustments. Companies must move beyond simple cost-plus models to deeply analyze their entire value chain, identifying hidden tariff-related costs and supply chain vulnerabilities. This involves understanding direct and indirect cost increases, assessing competitor reactions, and recognizing how currency fluctuations exacerbate the impact.

A “one-size-fits-all” pricing response is inadequate; a nuanced approach is crucial, based on the specific “pricing game” a company plays (Cost, Uniform, Power, or Custom). It involes differientiating between products, presenting different strategies for each game. This framework lets companies anticipate how tariffs will impact their specific market and creates catered strategies. By using analysis and scenario modeling, companies can protect margins while delivering value.

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Solving the 5 Most Pressing Pricing & RGM Pain Points for Mid-Market CPGs: Your Curated Resource Library

Mid-market CPG brands are grappling with margin pressures, ineffective promotions, and fragmented data that hinder profitable growth. Without a structured approach to Pricing & Revenue Growth Management (RGM), many rely on outdated tools and reactive strategies, leading to revenue leakage and missed opportunities.

The Revology CPG Resource Library provides curated insights, frameworks, and advanced analytics tools to help brands optimize pricing, improve trade spend efficiency, and drive sustainable profitability—empowering teams to take control of their RGM strategy with data-driven decision-making.

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Pricing Gone Wild: Lessons from ChatGPT, X (Twitter), and the High Cost of HiPPO Decisions

Pricing decisions are often swayed by the “HiPPO” effect—Highest Paid Person’s Opinion—resulting in gut-based calls rather than data-driven strategies. High-profile examples, like Sam Altman’s $200 ChatGPT Pro subscription and Elon Musk’s $8 Twitter checkmark, illustrate the risks of ignoring robust pricing frameworks. To maximize profitability, companies must treat pricing as a strategic function supported by data, governance, and cross-functional collaboration.

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Retail Discount Strategies: How to Optimize Discounts While Sustaining Growth

Discount strategies play a critical role in driving sales and maintaining profit margins in retail. Finding the right balance between offering discounts to attract customers and protecting profitability is key.

This guide covers different discount tactics like Premium Pricing and High-Low Pricing, showing how they influence consumer behavior and brand perception. You’ll also learn about common mistakes like excessive discounting and how pricing psychology impacts buying decisions. Whether you need to clear inventory or boost customer loyalty, this article provides practical strategies to use discounts effectively while sustaining growth.

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