PricingObservation 0062 min read
+75%
The discount that needs 75% more units.
Break-even volume on a promotion is almost always higher than the discount itself. At 30% off and a 70% margin, it is 75%.
Revenue & Pricing
Capture more of the value you already create.
Revenue quality depends on what customers pay, what they buy together, and what promotions teach them to expect. TCB connects price, mix, promotion and margin, so growth in revenue becomes growth in contribution.
Where it works in the value chain
Transaction · Contribution
What we help solve
The problems that bring leadership to this work.
- 01Promotions lift orders, and nobody can show whether they lift contribution.
- 02Discounts get deeper every season to deliver the same volume.
- 03Realized prices sit well below list, and no one owns the gap.
- 04Order value is rising while margin per order falls.
- 05Revenue growth management is spread across teams with no single view.
Our capabilities
Revenue & Pricing, in 6 parts.
03.1
Pricing Strategy
03.2
Revenue Growth Management
03.3
Promotion Economics
03.4
Basket & AOV Strategy
03.5
Margin & Contribution
03.6
Revenue Quality
How we approach the problem
Diagnose, benchmark, identify, prioritize, act.
01
Diagnose
Frame the decision and reconcile the data. Separate what is observed from what is assumed.
02
Benchmark
Compare against your own history, your cohorts and the category, where evidence exists.
03
Identify
Locate where value is created and where it leaks, and the mechanism behind each.
04
Prioritize
Size each opportunity in contribution and rank by value, confidence and effort.
05
Act
Leave with decisions, owners and measures, and the date each will be judged.
Commercial questions
The questions we answer.
- What does each promotion need to deliver to break even, and does it?
- Where is the price ladder leaving value on the table?
- Which product mixes raise contribution per order?
- How dependent is volume on discounting, and is that dependence growing?
What changes
Potential outcomes.
- Promotion rules with a break-even test built in.
- A price architecture that protects premium positions.
- Basket and mix strategies measured on contribution, not order value.
- Revenue quality tracked alongside revenue growth.
Outcomes describe what the work is designed to change. They are not guarantees.
Related capabilities
Commercial problems rarely stay in one function.
Featured intelligence
Related thinking.
GrowthObservation 0012 min read
4
Revenue is evidence, not an explanation.
A rising line proves something happened. It says nothing about why, whether it was worth it, or whether it will happen again.
Marketing & SalesObservation 0032 min read
−8.2%
The cheapest acquisition is not automatically the best acquisition.
Optimizing for cost per acquisition finds the customers who are cheapest to reach, not the ones worth reaching.
A TCB engagement
10–15
Business days
Customer Economics Sprint
One commercial diagnosis and a clear 90-day path forward: the constraint identified, the economics diagnosed, the opportunity benchmarked and the intervention prioritized.
Bring the constraint.We'll give it direction.
Start with the commercial problem you're trying to solve. We'll identify the constraint, diagnose the economics, and determine whether there is a useful next step.
- 01Identify the constraint
- 02Diagnose the economics
- 03Recommend the right intervention
- 04Define the next move