Optimizing pricing and sales performance in portfolio companies
Sales and pricing optimization is a key driver of value creation. Even a 2 percent average price increase can have a substantial effect: at an EBITDA margin of 5 percent, it can translate into a 40 percent increase in enterprise value. Our clients include international and regional private equity firms such as KKR, Triton, Armira, IK Investment Partners, and BWK.
What can private equity firms do?
To capture the full potential of pricing optimization, pricing management needs to be approached holistically. The outcome of a successful pricing project is therefore not a collection of isolated actions, but an integrated value creation approach. This can be structured in three steps:
1. "Find the money" – Commercial due diligence: Evaluate the market position and digital potential of your target
Using a proven methodological toolkit and benchmarks, we assess your target companies and their business models within the context of their market and competitive environment. A core part of commercial due diligence is the evaluation of value creation potential and digital maturity, combined with a comparison against the existing business plan.
2. "Get the money" – 360° Sales & Pricing Audits: Identify the revenue and profit potential in your portfolio
A 360° Sales & Pricing Audit is often the most effective starting point for identifying the revenue and profit potential across your portfolio. At the end of these three- to four-week projects, we provide a fact-based prioritization of the relevant optimization levers along with a quantitative assessment of their expected earnings impact. In many cases, the audit phase already reveals short-term actions that can be initiated immediately and deliver rapid profit improvements.
3. "Make it sustainable" – Implement key measures for sustainable value creation
The value-creation measures we develop and implement together with our clients are as distinctive as the businesses themselves. We do not believe in one-size-fits-all solutions.
Project experience
Across hundreds of projects, Prof. Roll & Pastuch has implemented, among others, the following revenue and profit levers for private equity companies:
- Monetizing product value: introduction of value pricing
- Revenue growth in digital sales channels: development and implementation of a multi-channel & Amazon strategy
- Commercialization and pricing of software and digital services: transition from perpetual licensing to SaaS models
- Improving sales efficiency and performance: introduction of performance-based compensation models for field sales
- Redesign of discount and conditions systems: value-based customer segmentation and selective reduction of discounts
What does this look like in practice? Here’s what our clients have to say:
Dr. Joachim Dettmar
Partner – IK Partners
As part of a project, the consultants at Prof. Roll & Pastuch optimized the licensing model and pricing architecture of one of our portfolio companies. We were particularly impressed by their methodological expertise in software pricing and SaaS models. The collaboration was excellent on both a professional and personal level. I look forward to further projects with Roll & Pastuch.
Ulf Weber
Investment Manager – Blue Cap AG
R&P conducted an audit of the price management of one of our portfolio companies and defined corresponding measures. Thanks to the long-standing experience and expertise of Roll & Pastuch, the key leverage points were quickly identified and the profit potentials quantified.
Petra Heesch
Director of Portfolio Management – ADCURAM Group GmbH
We engaged Prof. Roll & Pastuch to analyze and implement selected pricing and sales measures. We were very satisfied with the project results and the focused, pragmatic execution. The projects were characterized above all by close collaboration between management and consultants. I expect that we will continue to work with Prof. Roll & Pastuch in the future.
Florian Preuss
Director – INVISION Beteiligungsberatung GmbH
The consultants from Prof. Roll & Pastuch supported us in analyzing and optimizing the sales management of one of our portfolio companies. In addition to their excellent methodological expertise, strong commitment, and ‘mid-sized company compatibility,’ we would like to emphasize that, with the support of Prof. Roll & Pastuch, we were able to identify the right sales levers, implement them promptly, and achieve measurable improvements. We will gladly continue to rely on the expertise of Prof. Roll & Pastuch in the future.
Benjamin von Schulz
Investment Director – Avedon Capital Partners
Prof. Roll & Pastuch supported a portfolio company in its pricing. Thanks to Prof. Roll & Pastuch’s many years of experience and expertise, the most important levers were quickly uncovered and quantified. The projects were particularly characterized by close cooperation between management and consultants. I expect that we will continue to work with R&P.
Dr. Alexander Jonas
Director – Aurelius Investment Limited
We enjoy working with Prof. Roll & Pastuch as a competent and reliable partner in the areas of pricing and sales management. They combine excellent expertise with a practical, hands-on approach. Our collaboration has always been efficient, solution-oriented, and tailored to our individual needs.