NEW YORK and LONDON, January 20 (Korea Bizwire) — McKinsey & Company today announced that it has been named a leader in the IDC MarketScape: Global Retail Price Optimization Solution Provider Rating 2021-2022 (Doc # US48393721, December 2021). IDC MarketScape is the IT industry’s premier vendor assessment tool, providing in-depth quantitative and qualitative assessments of the technology market. McKinsey’s solution evaluated in the report was McKinsey Periscope, a suite of marketing and sales analytics solutions, including pricing and promotion, that helps businesses achieve sustainable revenue growth.
Offering the right price to the right customer is an integral part of the retail experience. They are the main drivers of customer consideration, purchase decision and overall brand perception. Therefore, the advantage increasingly goes to retailers who are customer-focused and analytically robust. These retailers are modernizing their approach to pricing, promotion and markdown decisions to optimize bottom line results and customer satisfaction.
The report clearly indicates that customer-centric pricing for large product portfolios in a rapidly changing competitive environment can be challenging. Businesses need a dynamic pricing solution for all products and channels to set optimal pricing throughout the product lifecycle. McKinsey’s Periscope gives companies the information they need to implement an effective pricing strategy that ensures healthy finances over the lifetime of their products.
The IDC MarketScape report identifies the following strengths of Periscope by McKinsey:
- End-to-end capability. Periscope provides clients with a comprehensive solution that combines support from experienced McKinsey strategy consultants with solution capabilities to deliver strategy, analytics and tools for clients’ long-term success.
- Responsiveness to the customer. Periscope customers are confident that the company understands their current and future needs and is willing to invest appropriately in its solution to meet future retailer needs.
- Client satisfaction. Customers are highly satisfied with Periscope’s sales/customer service processes and are highly likely to recommend the company to other industry colleagues.
In addition to McKinsey’s professional services, Periscope clients benefit from a comprehensive pricing solution that includes strategy, processes, technology, change management and training, all of which are highly tailored to the business and to its goals while remaining on a continuous upgrade roadmap, as assessed by IDC MarketScape.
Jon Duke, research vice president, Retail Insights at IDC and author of the report, said, “In today’s retail environment, where consumers are faced with a wide array of choices, mispricing carries a significant risk of eroding margins, customer satisfaction and brand loyalty. Additionally, the past year has seen dramatic growth in e-commerce and omnichannel retailing, which makes pricing more transparent and allows consumers to shop at multiple retailers simultaneously. Combined with a pandemic-induced slowdown in consumer spending and growing concerns about rising inflation, getting pricing right is even more important. »
Zachary John, Head of Periscope at McKinsey & Company, said, “With an unprecedented acceleration in digital adoption and the growth of omnichannel retail, brand loyalty remains more elusive than ever. Now more than ever, today’s consumers have more choices and instant access to information to shop for prices from multiple retailers. That’s why the impact of pricing and promotions is just as important to overall strategy as it is to growth, and it requires rethinking pricing strategies to protect margins and drive rapid revenue growth.
“That’s why we’re adamant when it comes to providing pricing information,” John added. “By merging big data with advanced analytics and merchant banking design, value can be created. It’s the power to accurately identify buying signals, realize margin gains and synchronize with breakthrough opportunities that drive sustainable growth. We are delighted to be recognized by IDC MarketScape for our strong B2B and B2C pricing solutions.
Access an excerpt from the IDC MarketScape assessment: Worldwide Retail Price Optimization Solutions 2021-2022 Vendor Assessment handregarding.
Additionally, you can access an excerpt from IDC MarketScape: Worldwide B2B Price Optimization and Management Applications 2021 Vendor Assessment (IDC #US46742021September 2021).
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About IDC MarketScape
The IDC MarketScape Vendor Assessment Model is designed to provide insight into the competitive fitness of information and communications technology (ICT) vendors in a given market. The research methodology uses a rigorous scoring methodology based on qualitative and quantitative criteria that results in a unique graphical illustration of each vendor’s position in a given market. IDC MarketScape provides a clear framework within which the product and service offerings, capabilities and strategies, and current and future success factors of IT and telecommunications vendors can be meaningfully compared. The framework also provides technology buyers with a 360-degree assessment of the strengths and weaknesses of current and potential vendors.
About Periscope® from McKinsey
Founded in 2007 and now part of McKinsey Marketing & Sales Practice, the Periscope® by McKinsey platform combines industry-leading intellectual property, prescriptive analytics and cloud-based tools with expert support and training. It’s a unique combination that drives revenue growth now and in the future. The platform offers a suite of marketing and sales solutions that accelerate and support businesses’ business transformation. Periscope leverages its industry-leading intellectual property (largely from McKinsey, but also from other partners) and cutting-edge technology to enable transparency in big data, create actionable insights and new ways of working that lead to a lasting improvement in performance, and typically maintain a 2 to 7% increase in sales return. With a truly global reach, the solutions portfolio includes Insight Solutions, Marketing Solutions, Customer Experience Solutions, Category Solutions, Pricing Solutions, Performance Solutions and Sales Solutions. These are complemented by ongoing customer service and tailored capacity building programs.
To learn more about how Periscope’s solutions and experts help businesses continually improve performance, visit www.mckinsey.com/periscope.
On Marketing and Sales, McKinsey & Company
The mission of McKinsey Marketing and Sales The practice is about helping leaders of consumer and business-to-business clients create growth that matters through meaningful transformations and marketing-driven benefits. The practice helps clients set their strategic direction, develop their marketing and sales capabilities, and connect their organization to realize the full potential of today’s omnichannel opportunities. Clients benefit from McKinsey’s experience in key areas of marketing such as branding, customer insights, marketing ROI, digital marketing, CLM pricing, and sales and channel management .
Source: McKinsey & Company via GLOBE NEWSWIRE