How MARKT-PILOT leads manufacturers into the new world of market-based spare parts pricing.
Manufacturers can´t determine spare part prices and delivery times in a market-based manner. This is particularly due to a lack of market transparency, which makes it almost impossible to align prices for a spare part with the overall market price.
The Old World: Cost-Plus Pricing
Cost-plus pricing (also called mark-up pricing) is the most common method of pricing spare parts. In the world of cost-plus pricing, pricing often involves adding a mark-up factor to the item's purchase price, usually between 150 and 400 percent. This method has become widely accepted, especially because of the lack of transparency in the spare part market. Information about competitors or relevant market data is therefore just superficially taken into account.
The New World: Market-based pricing with MARKT-PILOT
With MARKT-PILOT, comprehensive market-based pricing is now possible for the first time. Competitor prices, as well as other market factors such as delivery times, are included in an indepth anylsis. This enables manufacturers to implement date-based decision making in their pricing process. With MARKT-PILOT, manufacturers now can identify which spare parts have potential for price increases, are excklusive or are above the average market price. MARKT-PILOT provides manufacturers insightful pricing intelligence and enables them, to set prices according to the market. The result is not just a customer focused pricing strategy. Manufacturers also to stay one step ahead of the competition and can leverage the full potential of the spare part business.