Report: Global Pricing Study 2012 | Simon-Kucher & Partners

Profits jump when CEOs take an active role in pricing

Nov 27 2012

Global Pricing Study 2012: Pricing power drives higher profits when top management takes an active leadership role in pricing and puts a pricing organization in place, a worldwide study by Simon-Kucher & Partners reveals.Pricing pressure in the Asia-Pacific region is increasing while economic growth rates are slowing down. A strong commitment from top management to pricing – combined with a dedicated pricing organization – is essential to protect and boost profits in today’s slow-growth economic climate. This is the key insight from Simon-Kucher & Partners Global Pricing Study 2012*, an in-depth survey of over 2,700 executives and managers from China, Singapore, Malaysia and almost 50 other countries in Asia, the US and Europe.

“Staying in a pricing ‘comfort zone’ is no longer an option for C-level executives in the current economic climate,” says Georg Tacke, CEO of Simon-Kucher & Partners, the world’s leading pricing consulting firm with offices in Beijing and Singapore.

“Over 65 percent of companies in the Asia-Pacific region face intense pricing pressure from competitors and customers, which is further aggravated by the risk of inflation from volatile commodity prices,” says Fan Oswald-Chen, Managing Director of the company’s Beijing office. “This underscores the urgency for C-level executives in China, just as in the rest of the APAC region, to get involved now.”

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About the Global Pricing Study 2012*
The Global Pricing Study 2012 included 2,700 high-level decision makers from companies in all major service and manufacturing industries across Asia (China, Singapore/Malaysia, Southeast Asia, and Japan), the Americas, and Europe. The survey covered pricing organization, pricing power, inflation management, profit orientation, and profit outlook. Simon-Kucher & Partners conducted the study in collaboration with the Professional Pricing Society (USA) and the IE Business School (Spain).

Study authors
Dr. Georg Tacke is the Co-CEO of Simon-Kucher & Partners.
Fan Oswald-Chen is the Managing Director of Simon-Kucher & Partners’ Beijing office.
Dr. Jochen Krauss is the Managing Director of Simon-Kucher & Partners’ Singapore office.

Get the report here:

Simon-Kucher & Partners’ Global Pricing Study 2012