Reaction to 2022 Market Guide for B2B Price Optimization and Management (PO&M) Software

At Vendavo we look forward to Gartner's 2022 Market Guide for B2B Price Optimization and Management (PO&M) Software. So much of this Guide aligns with exactly what we provide our customers and others looking for solutions to their most complex pricing, selling, and profitability challenges. It also allows us to better understand where we can innovate and where this market is heading.

Gartner estimates “that the market for B2B PO&M software plus related services grew by 9% in 2020 to $524 Million.” This combined with the estimate that 1,800 companies currently deploy PO&M solutions but that more than 10,000 B2B companies globally might benefit from a PO&M deployment means there are a lot of room for improvement in the B2B space. Is your company one of the 10,000? Or maybe you’re with a company that has made some strategic moves, but not enough?

We want to highlight a few areas where we’ve seen our customers create success for their organizations:

• Centralizing, and automating accurate and real-time updates for thousands to hundreds of thousands of price points to eliminate complex spreadsheets and error-prone manual processes
• Broadening pricing strategy to include intelligent sales capabilities, such as white-space analysis, churn prediction, and upsell/cross-sell recommendations driven by machine learning and AI
• Payback on PO&M investments is often less than six months
• Enterprise-level scalability is key to hitting and exceeding long-term margin goals

It is a good reminder that no vendor can “do it all” or “be everything to everyone” so finding a solution and vendor that fit your organization’s capabilities and expertise and match your objectives and goals is imperative. Cost is important, but not the only factor necessary for strategic success.

The most successful cases we’ve worked on included alignment across the organization. From executive leadership to the revenue management organization, to global business units to individuals sales team members, and everything in between: pricing teams that worked with high visibility and clear goals and direction were more likely a to successfully implement their pricing strategy and manage it for maximum profitability in the long run.

Vendavo was founded in 1999 and serves companies in a wide range of industries but has a particular focus on discrete manufacturing, process manufacturing, distribution, and high tech. We offer a wide range of pricing and selling capabilities, predictive analytics, intelligent cross-sell and guidance for greater margin, revenue, and sales opportunities.