Hi Andrzej,
At Valueships, we provide valuable insights and content for our audience, including our clients and a vast followership. If you read this newsletter, you're among almost 5,000 people who read it regularly. Newsletter subscription metrics don't tell the whole story, but they are a useful proxy.
We do this, obviously, to attract clients, but also to always be relevant to the world. In this group are our existing clients and those who haven't worked with us yet.
Obviously, we wouldn't be anywhere without people who pay our bills.
Having said that, in my honest opinion, it's important to shed some light on what is actually happening behind closed doors. To be precise, in the boardrooms, closed video calls, workshops, and hundreds of meetings, our 30+ consultants do every month.
So what are the topics we're currently pushing to the market:
A complete subscription-pricing revamp for one of Europe's largest media conglomerates. The challenge here is very specific: this one particular product has a broad readership, but it was not monetized properly.
We have already launched it to the market, and our initial A/B pricing tests have shown (you can do it properly if you know how, even though I have claimed otherwise for years, need to write something about this).
As for now, smart repackaging, managed to achieve a 40% conversion increase, while simultaneously achieving a 10% average order value uplift. That's an outstanding impact, especially since the product is B2C.
An AI defensibility project for a private equity-owned software company delivering a broad range of business software.
The company is a massive +$100M ARR conglomerate of various products, from traditional on-premises installations to super-modern cloud installations. Honestly, we are currently using the AI opportunity to change the pricing.
But here is the thing: AI is just a trigger, not a means to an end. In other words, it allows us to use this zeitgeist and momentum to make changes that couldn't be achieved in the past. Here is the lesson: you don't necessarily need to
A pricing agent was implemented to close the discount gap in B2B finance software. We have observed that the client lost about 17% (on average!) of the deal value when a discount was applied. However, some sales reps (about one-third of them) were good enough to close deals without giving any discounts. In fact, the median discount was 11%.
It means that overall variability there shows a potential for streamlining - a more codified approach to sales, deal desks, and a set of RfP go-no-go rules.
Our agent, whom we labeled Hermain (naming is obvious), does exactly that: reads your quote and proposal to the client, compares to existing pricing logic, and guardrails, is doing exactly that: reads your quote, gets context from pricing policy documents, and gives you a green light to send the deal. Interesting thing: it saves the data for reporting, so the sales leader sees "who is giving discounts and why". Sounds like Big Brother, but that's the whole point: you need to have data clarity to coach, and work with sales reps who are over-relying on discounts too much to close the deals.
In this particular case, closing a 6% discount gap would generate an additional $3.3M in potential revenue, delivering a staggering bang for the buck. Keep fingers crossed for the implementation as we finish the POC.
This is it for now. Let me know what you think of these stories. While I am under hardcore NDAs and don't plan to go to jail, I am more than happy to discuss some details without jeopardizing confidentiality. As you see in the aforementioned examples, we treat it super carefully, and all examples were clarified with the client themselves, and our lead consultants.
No, you won't find them on our website. Yet. |
