Bellwether uses data analytics to deliver actionable insights that inform your unique situation. We help clients improve product profitability, enter competitive new markets, price products for different markets and determine the profitability of operating manufacturing plants.
Profitability improvement goes beyond strict cost-cutting measures; it looks at executing more effectively and efficiently to drive both top-line and bottom-line improvements.
Our client’s challenge:
- Our client had been losing money for several years.
- The client had a profitability gross margin and was unsure what the problem was or how to improve.
- Simple attempts to cut costs seemed to have diminished its competitiveness.
- Bellwether performed an in-depth analysis of the client’s global financials and determined that it was significantly under-priced compared to its competition.
- We identified several options to improve its margin profile.
The result: Ultimately, the company raised its price on low-margin products, renegotiated royalty rates and made its supply chain logistics more efficient. In short, the company became profitable again.