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Using Value-based Pricing to Enhance the Customer Experience

Service is an increasingly important aspect of all manufacturers’ financial success, and service parts pricing is a key way to achieve these margin and revenue improvement goals. The complexity of service parts, and the many locations, channels and distribution levels at which they are priced, requires unique service parts pricing approaches. The good news? Many have been implemented successfully across different manufacturing industry verticals, and value-based pricing is ranking supreme.

Price is a key success factor in service, particularly in after-sales, but the best pricing approach uses a value-based pricing methodology that considers the unique aspects of service parts. Syncron understands this approach, which is why Twin Disc has selected Syncron PriceTM to optimize and streamline its global service parts pricing.

Twin Disc, Inc. designs, manufactures and sells marine and heavy-duty off-highway power transmission equipment and is implementing new processes and technologies within its Aftersales & Service division to improve efficiencies – and ultimately enhance the customer experience. And, as part of this initiative, Twin Disc identified service parts pricing as a key area of optimization.

“We have distributors and dealers around the world and required a solution that would allow us to both think globally and act locally.” – Jorge Colorado, Director, Aftersales & Service at Twin Disc

Historically, Twin Disc’s pricing has been a very manual process. So, in their search for a pricing optimization solution, they were looking specifically to improve and streamline after-sales service operations at the distributor level to ensure their customers always have an excellent experience. And that’s exactly why they chose Syncron Price – the solution allows manufacturers to do this in a more automated and consistent way, helping them to react quickly to changing market dynamics.

Like many other manufacturers whose service parts pricing needs and capabilities are maturing, Twin Disc’s aim is to use Syncron to implement more value-based pricing approaches to further enhance the customer experience. Other key benefits of working with Syncron that Twin Disc identified include:

  • A seamless implementation and on-boarding experience
  • An advanced UI and UX that does not require customization prior to implementation
  • Easy connection to any ERP system

Over the next few months, Syncron Price will be implemented across Twin Disc’s global network, which includes 250 distributor sales and service locations in 53 countries. “Twin Disc is a one-hundred-year-old company, and we are thrilled to partner with them as they evolve and transform their aftersales service organization,” said David Reiling, Chief Customer Officer at Syncron.

A value-based pricing approach is exactly what companies like Twin Disc need to take their service parts pricing optimization to the next level, ensuring a consistent experience across all product lines and geographies. And Syncron is the perfect partner to help them get there.

To learn more about optimizing service parts pricing, join Syncron (booth #116) at the Professional Pricing Society’s Spring Conference 7 – 10 May in Atlanta. Syncron’s Director of Pricing Solutions, Cliff Isaacson, will be presenting at the event on The Art of Pricing in an AI-Driven World on Thursday, 9 May at 1 p.m. EDT.