Profit Optimization Solution
Drive Growth and Profitability by analyzing and optimizing your Pricing, Promotions, and Incentives with IMA360’s Profit Optimization software.
What is Profit Optimization
When products are set to a price point that delivers the best possible financial outcome using available resources and constraints, it leads to Profit Optimization. These price points can be a combination of product prices, on-invoice discounts and off-invoice incentives (Rebates, Commissions, Promotions).
IMA360 Profit Optimization Solution Benefits
Gross to Net
Analyze Profitability at any level and obtain a deep understanding down to the customer and product levels. Observe the relationship between profitability and promotions/incentives.
AI driven Forecasting
Forecast sales based on historical data using different AI models that are specially optimized for different industries. Model pricing, promotions, and incentives to increase sales and boost margins.
Dashboards and Analytics
Identify and create alerts for any anomaly in pricing, incentives or promotions budgeting or execution with Anomaly Detection. Utilize executive dashboards to see all important KPIs at a glance.
Optimize Pricing and Discounts
Optimize product prices by customers, groups of customers, affiliations, and all customers. Optimize discounts that are given on-invoice to specific customers.
Optimize Incentives
Optimize incentives (Rebates, Chargeback, Sales Commissions) to get the best value for your business. Accurately predict income from incentives (Supplier Rebate, Chargeback) and model them into your business’ profitability. Accurately predict expenses from incentives (Customer Rebate, Chargeback) and model them into your business’ profitability
Optimize Promotions
Plan incentives based on demand and competition to maximize sales. Optimize promotions without sacrificing margins by promoting what truly leads to sales lift, i.e., no need for the same promotions across all states and/or all products within a product line.
How AI Helps Leaders Make Better Decisions
One of the most remarkable features of AI is its speed in analyzing big data and at a higher level of the accuracy than humans could ever achieve. AI technology provides business leaders with the ability to use business forecasting, including predictive analytics, to achieve better results or predict the success of specific business strategies. Artificial Intelligence is used for better decision-making by providing insights that inform managers’ decisions so they can use reliable information to take action.
Moreover, AI has been proved to be a powerful tool in minimizing the probability of human errors giving background of bias or wrong data interpretation. AI models are designed to analyze facts unbiasedly and provide the decision maker with objective conclusions based on numbers and patterns. Therefore, the decisions determined with the support of AI are prone to appear more precise and appropriate.
Key Features of IMA360's Profit Optimization Solution
The complexity and volume of feedback continues to increase, and vendors need to evaluate their existing systems to ensure they can store and process end-to-end.
Easy to setup and easy to use
Set up the fastest paybacks with mostly upfront payback methods including flat rate (% or $), flat rate, rate protection, fulfillment targets, volume tiers, development levels, multiple levels, and more. Flexibility to include/exclude attributes and choice of multiple rebate basis.
Integrated Solution
An integrated and integrated solution provides fast and efficient results. Out-of-the-box integration with most ERP systems and easy configuration for integration with on-premises systems.
Rebate Programs Setup and retroactive adjustments
Automatically manage your GPO/Buying Group member lists and their activations to keep track of rebate programs attached.
Retrospective contract changes include adjustments to prior periods and are reflected in performance reviews.
Reduce errors and inaccuracies
Automatically post accruals and payments to the relevant General Ledger accounts, and clear the payments’ accruals, reducing reconciliation needs.
Workflow
Configurable approval workflows for contracts, accruals, and payments. Easily set multiple approval levels and provide users with custom events and notifications.
Validation and Audit Trail
Controls are established at every step of the process to ensure returns are processed correctly.IMA360 provides an audit trail for auditors to perform monthly or quarterly audits.Ability to modify contract changes during the approval process to comply with the contract.
Benefits of strong profit optimization solution
IMA360 profitability optimization solution provides transparency into bottom-line performance, as well as insights into the business levers that can be adjusted to impact future profitability results. Analytic outputs from the profitability solution support diverse end-user needs across pricing, margin analysis, customer segmentation, and more. The solution also delivers information to meet both enterprise reporting use cases and the needs of the business lines, including performance drill-downs into business segments, regions, products and customers.
- Better understand product pricing and offset current margin pressures
- Balance the trade-off between acquiring market share and defending profitability
- Drive product optimization by understanding cost dynamics, cost behaviors and other factors to capture the true cost of a product
- Create additional transparency for costs incurred at a corporate level and, based upon an agreed taxonomy, generate a cost narrative to foster better engagement and dialogue within the enterprise
IMA360: A Cutting-Edge Cloud-Agnostic Solution for Profit Optimization
IMA360 is in part written with the help of Golang, an efficient and fast programming language. It is designed to create scalable backend services. This means our app is able to manage large volumes of data and transaction while maintaining operational efficiency and can be scaled up or down depending on our business needs. Golang is famous for its capacity to deal with concurrent processing, which translates to the app of ours being highly performing and efficient as it is able to serve multiple requests at one time.
To provide a highly available and fault-tolerant application we have chosen to deploy it on Kubernetes a highly available platform for containers orchestration. Kubernetes provides us with the ability to distribute the application across multiple nodes and even helps with management of these nodes, thus, ensuring high availability of the application and resilience against node failures. It also enables us to dynamically scale our application to match the on-demand requirements that will ensure we can handle peak traffic with no downtime.
Get in touch with us today and let us transform your business from the ground up!
OUR RECENT NEWS
Read Our Latest News
Promotions
– November 21, 2022
Maximizing Sales and Profits with IMA360’s Promotion Optimization Solutions
Royalty
– November 21, 2022
The Age-Old Problem: Navigating the Complexities of Royalty Management
FAQ
Profit optimization is the process of increasing a business's profitability by optimizing pricing of goods and services, cost control, and resource allocation. This ensures that resources are used as efficiently as possible to meet financial objectives.
Profit optimization solution assists companies in the process of setting prices to a point that it delivers the best financial outcome. This solution includes comprehensive, extensive and intelligent data analysis so companies can make well-informed decisions.
Using pricing optimization software to make sure prices are adjusted to optimize revenue under various circumstances, dynamic pricing optimization entails making real-time price modifications based on market demand, competition, trends, historical sales and outside factors.
The process of optimizing profit is no magic, it requires comprehensive and extensive data analysis of different factors and components that affect pricing such as historical sales, on- and off-invoice deductions, etc. A Profit optimization solution will prepare, examine sales data, market trends, and consumer behavior; perform calculations, present data analysis and ultimately recommend optimal prices.
A profit optimization strategy uses data-driven techniques and instruments to identify opportunities, to boost profitability through effective resource management, price
adjustments, and promotional activity optimization.
Performance profit optimization is centered on enhancing the efficacy and efficiency of business operations. It uses instruments such as promotion optimization software to boost profitability by optimizing processes and making strategic modifications.
