Gross Profit and Pricing Optimization

epaCUBE Attending Infor TUG 2012

2012-01-03T14:42:00.000-08:00

epaCUBE Attending Infor TUG 2012

Dallas, TX, Jan 3, 2011: epaCUBE will once again be attending and presenting at the annual Infor TUG U2U Conference, Feb 15-18, 2012 at the JW Marriott, San Antonio, TX.

TUG • U2U is the annual conference for licensed users of Infor Distribution Software products. Over 150 sessions of technical, managerial and executive content over three days along with a marketplace of third party solution providers make this THE distribution event to attend this year.

epaCUBE is proud to once again support the Infor Distribution Community as a platinum sponsor of the 2012 TUG Connects Conference”, stated Randy Hughes, VP of Sales & Marketing at epaCUBE.

epaCUBE has several sessions including users presenting (see dates and times below) how they are using our products to increase gross margin and improve the accuracy of product data.

Product Data Quality: the Achilles Heel for Distributor Information Technology

Duration: 60 Minutes

epaCUBE Presenter: Sharon Newlin, Prof Services Mgr. & Randy Hughes, VP of Sales & Marketing

Imperfect product data is more than just an unnecessary tax on your business. Without clean, accurate product information, other operational systems can fail and lead to dangerously costly, time-consuming or even fatal problems. Often many distributors realize the full impact of “bad data” when they venture out to the web. Whether required for your ERP system, web storefront or for sharing product data internally and with customers, distributors know product content is often the “Achilles heel” - limiting the success of the these projects.

Attend this session to learn the nuts and bolts of implementing the epaCUBE Product Data Management Suite to improve Product Data Quality for your Infor ERP and Web Storefront. Learn how to automate and accelerate the “on-going process” of ensuring all your systems get the clean burning fuel required in the form of accurate product data

Profit Plays with epaCUBE Margin Manager

Time: 60 Min
epaCUBE Presenter: Dan Barlow, VP of Customer Success & Randy Hughes, VP of Sales & Marketing

Lack of Visibility into ALL Aspects of Gross Margin Management can erode your gross margin.

epaCUBE Margin Manager models and analyzes the “FUTURE” impact of change to any margin-affecting dimension of data, right down to the warehouse / product / customer levels. Gain a visibility, never before possible, into the “Actual” or “What if” impact of cost, rebate and price changes on your gross margin. In this presentation, we will be discussing where hidden profits might be found and how to use the epaCUBE Margin Manager Modeling System to drive margins up by 2% to 6% or higher.

Attend this session to understand how the Margin Manager module can help you incorporate strategic profit plays, enabling distributors to:

· Quickly access margin opportunities during a vendor price increase.

Identifying Items and Business Reasons for Negotiating Net-Into-Stock Opportunities
Finding Pricing Matrix Change Opportunities through Macro Level Price Optimization Analysis
Negotiating New Vendor/Customer Contracts
Renegotiating Existing Vendor/Customer Contracts
Dashboard Controls for Measuring the total ROI Opportunity Created
Negotiation of better SPA’s (Strategic Price Agreements) with suppliers

Building an Optimized Pricing Matrix

Time: 75 Min
epaCUBE Presenter: Dan Barlow, VP of Customer Success

While pricing is one of the more significant variables affecting a distributor’s profitability, relatively few dollars have been spent automating pricing management and optimization. Most distributors attempt to maintain extensive pricing schemas in their operational systems and create reports to analyze events long after the facts are available. Excessive sell price overrides often are symptoms of gross margin loss further highlighting the difficulty of building an accurate pricing matrix. However, the ability to truly properly segment customers and products to optimize pricing, has been more elusive. Some distributors have attempted to outsource pricing all together simply to determine on-going pricing optimization requires an internal focus. Building and/or enhancing this “internal core competency” in pricing optimization and management is the without question the #1 initiative a distributor can implement to improve gross margin in 2012.

In this session, epaCUBE will be introducing a new “Distributor Pricing Science Suite” of software modules that will change the way distributors view pricing, and empower them to develop this essential core competency. We will discuss the need for developing context in pricing through proper segmentation and provide a software solution which allows for visualization and handling of pricing exceptions. The results are an accurate optimized pricing matrix to maximize profits, and minimize overrides. The best part…the person who does pricing for your customers – is you!

For more information about Infor TUG U2U Conference visit: http://www.tugconnects.net/

About epaCUBE, Inc.

epaCUBE was founded on the premise that “real dollars” could be reclaimed in the supply chain by solving the problems and overcoming the challenges associated with optimizing “pricing & gross margin” over “continuously” cleansed and up-to-date product data. The Product Data Management, Gross Profit Optimization and Distributor Pricing Science Suites give a company the powerful ability to manage every aspect of its product mix, specifically and accurately target its customers and their consumers, and negotiate with suppliers from a position of strength based upon complete knowledge of its products.

epaCUBE enables companies to easily manage product information across existing business processes and systems. It is a powerful solution that improves data quality, dramatically increases productivity, and streamlines integration with internal systems & outside trading partners while helping distributors build their “internal core competency” in pricing and gross margin optimization.

For additional information, visit www.epacube.com

Or contact…

Randy Hughes, Vice President of Sales and Marketing

Phone: (719) 930-4074; Email: rhughes@epaCUBE.com

epaCUBE Product Webinar

2011-10-11T10:58:00.000-07:00

Come join us for an epaCUBE Webinar...

Optimizing Pricing & Gross Margin

over

Continuously Cleansed Product Data

Learn how other innovative companies are using epaCUBE to out negotiate, cut excess costs, improve customer service levels, recapture lost margins and optimize pricing & gross profit.

Title: Optimizing Pricing & Gross Margin over Continuously Cleansed Product Data

Date: Thursday, October 13, 2011

Time: 11:00 AM - 12:00 PM EDT

Reserve your Webinar seat now at:
https://www1.gotomeeting.com/register/714421416

Imperfect product data is proven to increase your costs and erode your profits. Recovering profits lost in data chaos requires automated data cleansing, systematic management of your data processes, pricing management and margin & pricing optimization.

Move beyond a historical look at what happened in the past...and use a proactive modeling and optimization approach which provides visibility into the future of what will happen with your pricing, costs, and gross margins.

Learn how your company can use epaCUBE to:

* Put Processes in Place to Keep Product Data Clean on an on-going basis

* Understand the "Effects of Product Data Changes" BEFORE Live Processing

* Improve Gross Margin & Pricing through better Modeling, Management &

Optimization techniques.

* Model and manage the impact of cost changes on customer pricing and gross margin

* Create "What if" scenarios to analyze the impact of changing cost, price or quantity

on your gross margin

* Create Price Sheets based on any effective date

* Get visibility into information, like never before possible, to better manage and

tune your pricing matrix

Who Should Attend: President,COO, CFO, CIO, VP Operations, VP Sales

Reserve your Webinar seat now at:
https://www1.gotomeeting.com/register/714421416

2011-09-13T07:21:00.000-07:00

Myths, Truths & Practical Advice for Your

“Pricing & Gross Profit Optimization Game Plan"

Join us for a Webinar on September 27

Reserve your Webinar seat now at:
https://www1.gotomeeting.com/register/622849953

Attend a free webinar to learn how to develop a pricing and gross profit margin optimization game plan for your wholesale distribution business.

Dan Barlow, VP of Customer Success at epaCUBE will outline “specific plays” you can run to improve gross margin and build your bottom line profits, including:

    Fog of War Play: How to maximize Gross Profit during a Vendor Price Increase.

    SPA Opportunity Play: How to dig into the rebate and supplier SPA (special pricing agreement) side of the equation to reclaim gross profits.

    Distributor Pricing Science: Learn about the pros and cons of applying various segmentation and price sensitivity analysis to your overall game plan for increasing gross margin.

    Over-ride Over-time Play: Use this play to gain visibility into the true symptoms of price over-ride and gain new insight on how to reduce gross margin losses.

    Pre-Game Plays: Data Correction and Synchronization: Understand how the lack of accurate or up-to-date product data related to pricing, costs and rebates is the “Achilles heel” of pricing and gross margin optimization

    Gross Profit Optimization Analytics Play: How can you start eating the “gross profit optimization elephant” one bite at a time and begin adding NOW to your bottom line by 2% or more.

   The Draft: Who in your company might need to be recruited to play critical roles in your overall gross profit improvement strategies.

Register to attend this important webinar to learn how distributors just like you have ADDED TO their gross profit dollars by 2% or more!

About our Speaker:

Dan Barlow, VP of Customer Success at epaCUBE, Inc.

Mr. Barlow has extensive experience through a variety of senior sales and operations management in the supply chain with both manufacturing and distribution. Prior to joining epaCUBE, Dan spent eight (8) years with Rockwell Automation as a field sales representative, six (6) years with Warren Electric and eleven (11) years with The Reynolds, Company.

Title:	Myths, Truths & Practical Advice for Your “Gross Profit Optimization Game Plan"
Date:	Tuesday, September 27, 2011
Time:	10:30 AM - 11:30 AM EDT

After registering you will receive a confirmation email containing information about joining the Webinar.

System Requirements
PC-based attendees
Required: Windows® 7, Vista, XP or 2003 Server

Macintosh®-based attendees
Required: Mac OS® X 10.5 or newer

Space is limited.
Reserve your Webinar seat now at:
https://www1.gotomeeting.com/register/622849953

Great Article in Industrial Distribution!

2011-09-12T13:32:00.000-07:00

SPAs and Rebates: If They Shouldn't Exist Anyway, They're Not Your Problem, Right?

by Neil Gillespie and Allen Ray, Growth Wizards

http://www.industrialsupplymagazine.com/pages/Management---SPAs-and-rebates.php

There's allot of gross profit to be gained for a distributor by taking advantage of what Neil and Allen talk about in this Industrial Supply Article!!

Dan Barlow joins epaCUBE as VP of Customer Success

2011-07-10T19:07:00.000-07:00

Dallas, TX July 1, 2011: epaCUBE, an innovative provider of gross profit & pricing optimization announced the appointment of Dan Barlow as Vice President. Mr. Barlow brings over 20 years of experience in distribution sales, operations and specifically in the development of programs, process and application software for gross profit improvement.

Gross profit improvement for today’s distributors requires a blend of technology, processes and people to provide for maximum effect. Mr. Barlow has a successful track record of increasing gross profit while maintaining and increasing sales volumes.

“As VP of Customer Success, Dan will be focused on helping our customers achieve the maximum value of their investment in epaCUBE”, stated George Dunham, CEO of epaCUBE, “Our software solutions can generate gross profit increases of 2% or more for the average distributor. Dan will be designing and implementing expert services and strategies for our customers utilizing epaCUBE to achieve significant profit improvement through product data, price, cost and rebate optimization and management. Additionally, Dan will be instrumental in continually advancing the functionality of epaCUBE for the benefit of our distribution customers.”

Mr. Barlow has extensive experience through a variety of senior sales and operations management in the supply chain with both manufacturing and distribution. Prior to joining epaCUBE, Dan spent (8) years with Rockwell Automation as a field sales representative, (6) years with Warren Electric and (11) years with The Reynolds, Company. Dan is a graduate from the Texas A&M Industrial Distribution program and continues to support the undergraduate program as a guest speaker.

About epaCUBE, Inc.

epaCUBE was founded on the premise that “real dollars” could be reclaimed in the supply chain by solving the problems and overcoming the challenges associated with optimizing “gross profit” over “continuously” cleansed and up-to-date product data. The Product Data Management and Gross Profit Optimization tools give distribution companies the powerful ability to manage every aspect of its product mix, specifically and accurately target its customers and their consumers, and negotiate with suppliers from a position of strength based upon complete knowledge of its products.

epaCUBE enables companies to easily manage product information across existing business processes and systems. It is a powerful solution that improves data quality, dramatically increases profitability and productivity, and streamlines integration with internal systems and outside trading partners.

High performance distribution companies thrive from this type of product knowledge, and epaCUBE’s goal is to make this level of product information available to the distribution market in a packaged, affordable solution.

For additional information, visit www.epaCUBE.com

Or contact…

Randy Hughes, Vice President of Sales and Marketing

Phone: (719) 930-4074; email: rhughes@epaCUBE.com

epaCUBE presenting at Infor Canadian Roadshow

2011-06-07T19:18:00.000-07:00

epaCUBE will be presenting at the Infor Canadian Roadshow. Infor and Channel Partner, Laurier Group are bringing together Infor Distribution solution users from across Canada for a series of free 1 day sessions that will help take your business to the next level. These informative and educational sessions will include a brief demo as well as a question and answer session. Food and beverages will be provided.

Connect and collaborate with other Infor Distribution customers at a free, one day session closest to you:

Montreal on Mon, June 13 from 8:00AM–5:30PM
Toronto on Tues, June 14 from 8:00AM–5:30PM
Edmonton on Thurs, June 16 from 8:00AM–5:30PM

For more information go to:

Click here to view the agenda and register for the event.

epaCUBE Attending Infor TUG U2U Conference

2011-03-13T18:42:00.000-07:00

epaCUBE will once again be attending and presenting at the annual Infor TUG U2U Conference.

TUG • U2U is the annual conference for licensed users of Infor Distribution Software products. Over 150 sessions of technical, managerial and executive content over three days along with a marketplace of third party solution providers make this THE distribution event to attend this year.

epaCUBE has several sessions including users presenting (see dates and times below) how they are using our products to increase gross margin and improve the accuracy of product data.

Also, noted author, speaker and consultant Brent Grover of Evergreen Consulting will be making a keynote speech and offering a workshop on Strategic Pricing for Distributors and Customer Profitability.

TUG – The Users Group Conference – Mar 27 thru 30

Orlando, FL - www.tugu2u.com

epaCUBE Users Case Study Session

Monday, Mar 28, 8:30AM

epaCUBE Sessions

Monday. Mar 28: 1:30-2:30PM epaCUBE A to Z

Tuesday. Mar 29: 1:30-2:30PM epaCUBE A to Z

Brent Grover/Evergreen Consulting Keynote

Strategic Pricing for Distributors - Tuesday. Mar 28: 3:00-4:15PM

Brent Grover/Evergreen Consulting Workshops

Customer Profitability Analysis - Wednesday, March 30: 8:30AM-9:45AM

epaCUBE joins eclipse UFO Users Group

2011-03-13T18:33:00.001-07:00

epaCUBE names new CEO: George Dunham

2011-03-13T18:32:00.000-07:00

Bolt Supply House Ltd chooses epaCUBE for Product Data Management!!

2011-03-13T18:30:00.001-07:00

The Bolt Supply House has been supplying fasteners and industrial MRO supplies in Western Canada since 1948. Currently we operate in 10 Canadian cities with locations in Calgary, Edmonton, Red Deer, Fort McMurray, Lethbridge, Medicine Hat, Regina, Saskatoon, Prince Albert and Winnipeg.

Our fasteners include:

Bolts	Nuts	Washers	Rivets
Masonry Anchors	B7 Studs	Metric	Stainless
Cutting Tools	Structural Bolts	Socket Products

Our MRO industrial supplies include:

Power Tools	Chemicals	Hand Tools
Abrasives	Janitorial Supplies	Safety Supplies

For over 60 years our focus has remained the same, providing our customers with unsurpassed service with enthusiasm, dedication, knowledge, attention to detail, superior inventories, and world class technology.

TED Magazine: What's all the Buzz about Price Optimization?

2011-03-13T18:27:00.000-07:00

Great article in TED Magazine On-Line about Pricing and Gross Margin Optimization

Read more...

3E - Electrical Engineering & Equipment rolls out initial analysis of epaCUBE Margin Manager in 60 Days

2011-03-13T18:23:00.000-07:00

Established in 1920, Electrical Engineering & Equipment Company, better known as 3E, is one of the nation’s leading independent electrical distributors. Headquartered in Des Moines, Iowa, 3E currently has fifteen branch locations throughout Iowa and Nebraska, servicing customers in Iowa, Nebraska, South Dakota, Western Illinois and Northern Missouri. 3E is a full service independent electrical distributor, an electrical repair shop, a custom steel fabricator and a generator sales, service and rental center.

For more information....http://www.epacube.com/Portals/0/docs/3E%20Press%20Release%20PDF.pdf

North Coast Electric Company selects epaCUBE!!

2010-02-14T12:06:00.000-08:00

epaCUBE is very pleased to announce the addition of NORTH COAST ELECTRIC COMPANY to our family of customers!!!

(2) Building Materials Companies Select epaCUBE!

2010-01-29T14:31:00.000-08:00

epaCUBE is Proud to welcome (2) new companies to the Family of epaCUBE Customers. Wausau Supply and GMS, both are in the building supplies industry!

Read More...

Proud to Announce (2) New epaCUBE Electrical Distribution Customers...

2010-01-13T14:50:00.000-08:00

Check out Press Releases on new epaCUBE Customers.
McNaughton-McKay Electric Company and Shealy Wholesale Electric at http://www.epacube.com/

McNaughton-McKay Electric Company and epaCUBE Press Release

Shealy Electric and epaCUBE Press Release

Art of Executing Strategic Pricing | Modern Distribution Management

2010-01-09T16:00:00.000-08:00

Art of Executing Strategic Pricing Modern Distribution Management

Interesting article from Brent Grover on "The Art of Executing Stratgic Pricing" on MDM - Modern Distribution Magazine website.

Strategic Pricing for Distributors

2010-01-09T15:00:00.000-08:00

Check out Brent Grover's book: Strategic Pricing for Distributors,

http://www.naw.org/publications/pubs_item_view.php?pubs_itemid=127

I thought the book was a very novel and interesting approach to what can sometimes be a very dry analytical discussion. It is especially good for C level executives in Distribution who need to understand the big picture benefits of strategic pricing initiatives.

Any comments from others who have read it?

MDM Article on Pricing for Profitability from Texas A&M

2010-01-09T12:08:00.000-08:00

You will need need to subscibe to MDM, but interesting article on the reseach done at Texas A&M on pricing optimization. http://www.mdm.com/Pricing-for-Profitability/PARAMS/article/5567

Texas A&M Thomas & Joan Read Center Pricing Optimization Workshops

2010-01-09T11:52:00.000-08:00

Upcoming Texas A&M/Thomas & Joan Read Center for Distribution Reseach and Education Price Optimization Workshops

Click on this link to see workshops dates:

http://readcenter.tamu.edu/pages/pricingOpt.php

Any comments from people who have attended these workshops?

What are the Top (3) Organizational or Operational Issues when implementing a Price Optimization Strategy?

2010-01-08T10:33:00.000-08:00

#1: Data: The Achilles Heel of Price Optimization Projects…

One of the critical ingredients and perhaps the “Achilles Heel” of a price optimization project is the accuracy and completeness (in that order) of the underlying data supporting the effort. I put accuracy before completeness as companies often start with a sub-set of data and focus on specific aspects of improving their gross margin optimization as they simply don’t yet have or more likely are not ready to tackle some aspects of the process. Regardless of how a company decides to “eat the elephant” of price optimization (read one bite at a time) it is critical that the data supporting each step is accurate…or…one will get false readings, people will lose faith in the process and the project comes to a halt and never gets out of the starting blocks.

Along with death and taxes, we can also count on the fact the huge amount of data in ERP systems supporting price optimization is always in a constant state of change. We have seen the traditional "let's buy some pizza and get this data cleaned up" kind of project fail every time as it is too short sighted. Tomorrow everything changes. So…the turtle wins the race by making data clean up part of the daily process to support the real goal of using the data to support a pricing optimization project.

#2: The Right People on the Bus…

This next point may sound so obvious that it borders on ridiculous, but after spending over 25 years offering technology solutions to increase efficiency, gross margin or fix problems in the supply chain…this issue seems to raise its ugly head more often then many others.

The challenge with Pricing Optimization initiatives seems to start with having the “Right Person Driving the Pricing Bus”. Assume for illustration purposes that every company has multiple buses (Accounting Bus, Operations Bus, etc) all working together in perfect harmony and precision being directed by the central dispatch office (Executive Management). A bit corny but I will blame (give credit to) Jim Collins of Good to Great fame for the basis of the analogy.

Here are the challenges I have seen on this topic:

1) Company thinks this is an IT or Product Data Management project. The person they put in charge knows how to push buttons, create reports, etc. but does not have the “sales and pricing experience” to know WHY and sometimes WHAT to do with the data or analysis specifically in regard to improving gross margin.

The project ends up being a lesson in data analysis with no real action.

In other words, this person knows HOW and hopefully WHAT to do it but not WHY...

2) The person put in charge understands the sales and pricing aspects (the why part of the equation) but does not have analytical skills or does not understand how to apply technology to the challenge of increasing gross margin. They may even buy a sophisticated tool to give them answers, but then disregard the results because they don’t understand how the optimization suggestions were calculated.

Again, the end result is no real action toward the end result

In other words, this person knows WHY and hopefully WHAT to do but not HOW to do it...

Finding one person with all the of the above qualities (WHY, WHAT HOW) to champion the project OR (2) people (tag team Pricing Bus Drivers) that bring these types of skills to the table (and at the risk of stating the obvious - have a good working relationship) are critical to the success of a pricing optimization project.

#3: Smaller Meals - and I am not talking about how to lose those extra pounds from the holidays...

At the risk of over-using a simple cliché, metaphor or simile (I can never remember which one to use) like “It is a journey not a destination”...pricing improvement (which really means gross profit improvement) should be taken on in small meals, take some time for digestion and then move on to the next meal. I often find companies won't event start a project (with executive management backing) as it seems so big and daunting. They risk not taking advantage of a project that could yield the highest return of any initiative they might implement. They continue on with management, operations and sales having the same data free conversations about improving gross margin with no real processes developed that create specific actions to make it happen.

In respect for my friends who have are on the front lines of pricing management, Gross Profit improvement is complex. Managing and optimizing the multiple dimensions of costing, rebates, pricing and the art & science of sales can be intimidating. Find the folks who have been there, have been successful (I have seen guys pick up 3 to 5% increases in gross margin using professional pricing management techniques) and use this knowledge to improve your company's bottom line.

Thoughts/Comments?

When responding to this group discussion, please make sure your comments don't refer to specific vendor/supplier or customers. Our goal in this discussion is to offer practical general advice to the pricing and operations professional and not deal with specific issues that may violate specific vendor/customer relationships. Posts referring to specific vendors or customer companies will be deleted