Welcome back to Power to the Pricing People. From margaritas to margins, manufacturing to McDonald's, we have all your pricing news covered.
That takes us to our first story. Anyone craving a burger from Mcdonald’s in India may be disappointed to find one key ingredient missing across the menu – tomatoes. Skyrocketing prices, up by nearly 400% in one month, led the fast-food chain to announce it would drop tomatoes from all food items until further notice. Some Subway outlets have also followed suit, suspending tomato usage in their salads and sandwiches. The Indian government has attributed the price surge to a lean production season, with monsoon rains causing disruptions in transport and distribution.
With tomatoes being a staple ingredient in many Indian meals, many people are traveling to neighboring countries to buy them at a more affordable price. Read more about the residents traveling to Nepal to buy produce at half the price.
In more pricing news, Nike made two big announcements last month. Firstly, it had surpassed $50 billion in revenue, and secondly, it would be re-establishing wholesale relationships with retailers it had previously severed ties with. The brand recognized that even though its D2C channel was performing strongly, there was still potential to reach consumer segments who weren’t shopping directly in order to protect volumes. Nike has once again delivered a successful omnichannel pricing strategy that all brands, manufacturers, wholesalers, and retailers can learn from.
Read more about why Nike’s CEO sees multi-brand retailers as a key part of their marketplace strategy. If you would like a slice of the omnichannel pricing pie – Just do it! We would be thrilled to show you how.
That’s exactly what we did for one of our B2B retail and wholesale customers that struggled to expand their channel strategy because they had no means of carrying over special pricing from bricks and mortar stores to their e-commerce platform.
With a touch of Flintfox magic, they were able to achieve remarkable growth in their e-commerce sales. In just six months, sales went from zero to $1 million, and they are now approaching $40 million in sales through their e-commerce channel.
Reach out today if you’d like to see how we can make pricing magic together. Be the first to receive the latest episodes of Power to the Pricing People by following us on LinkedIn and signing up to our mailing list.
Until next time, power to you pricing people!