PPA
Pricing | 
Food | 
>3billion | 
Global
This confectionery and snack foods company earns more than $3 billion in revenue and sells via traditional retailers across the globe.
They are one of the largest biscuit manufacturers in the world. While coping with inflation, their executives sought a holistic solution to create value for their retailers and shoppers.
The company aimed to gain a holistic understanding of how changes to their Price Pack Architecture (PPA) and Pricing would impact the market.
Their goal was to achieve a Triple Win strategy that benefits the manufacturer, retailer, and shopper.
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Manufacturers took numerous pricing actions to mitigate the impact of an inflationary increase in the cost of goods sold (COGS).
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Margin Pressure Increased costs led to margin pressure for their customers—the retailers—potentially fracturing their relationships in the process.
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To tackle their challenges, the manufacturer implemented Buynomics’ software across their Revenue Growth Management (RGM) teams in the U.S. market within a span of just 12 weeks.
Increasing the price per ounce of a product by reducing its size by 7% while keeping the in-market price the same.
Optimal scenarioThrough testing various scenarios in Buynomics platform, it was found that a more profitable solution was to increase both volume (+7%) and price (+5%) while staying below a key price threshold.
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Declined scenario
With Buynomics, it became clear that the initial strategy they tested would result to the business losing unit sales to the competition.
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By leveraging the Buynomics tool, the team was able to quickly find a “Triple Win” strategy that benefits the manufacturer, retailer, and. shopper.
+5%profit uplift identified by combining PPA and Price changes.
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60%time saved by replacing outdated methodologies with Buynomics software.
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12 weeksto data-driven decision making by onboarding onto Buynomics platform and integrating data sources (sell-out, product data and other).
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Buynomics is the leading Revenue Growth Management (RGM) platform for holistic optimization across all revenue levers.
By integrating multiple data sources with cutting-edge AI, it empowers RGM teams in enterprise organizations to make faster, more profitable, data-driven, and customer-focused decisions.
Holistic Approach
Portfolio optimization considering the effects of all product portfolio changes.
Predictive accuracy
Best in class predictive accuracy of up to 95% of expected market behavior.
Speed to insight
Large number of scenarios compared in minutes, reducing the time spent on forecasting by 70-90%.
Profitability
Up to 2-4% higher gross profits through a better offering.
