Revenue Growth Management (RGM)
RGM is not only the analysis of data, but also and above all the 'translation' of it to the business.
Efficient, flexible and effective.
Building 'Revenue Growth Management' is a process.
Good information provision (internal/external, correct systems/processes), the philosophy supported by all managers and having/obtaining talented (RGM) personnel.
Is your organization capable of it?
Even before the Corona pandemic, consumers were erratic and competition between companies fierce, but today the market is even more 'in motion' than before.
The Corona pandemic has added even more complications . The prices of raw materials and transport have risen unseen . The war in Ukraine has reinforced that. Consumer behavior has changed dramatically . We are not expected to return to the world of 2019. A 'new normal' has also emerged for the business community.
Extremely high inflation figures such as in 2021-2022 can no longer be compensated by companies in the coming years by increasing their sales prices.
During the pandemic, the brand loyalty of many consumers has disappeared. Promotions might have to (re)win over consumers even more than before.
The product range will also have to be critically examined more than a few years ago.
Just like the channels in which consumers want to be served. In addition, there is great uncertainty about how the (global) markets will recover. This is expected to be different in the US, Europe, the 'Emerging Countries' and the rest of the world.
Companies will (partly) have to focus their strategy more on a multi-year approach via a mix of options from 'Revenue Growth Management' (RGM).
As usual, a crisis creates not only problems, but also opportunities . The battle for consumers and margins is becoming even more important for everyone to be able to continue to exist for a long time. Understanding the consumer/customer even better is crucial. Better insight into their needs is necessary. Many retailers have been investing in it for some time and expect the same from their suppliers. RGM is no longer a 'nice-to-have', but for many companies now a 'must' .