Collaborative for CUBES helps executives at all levels deepen their understanding of strategic areas critical to the customer experience

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To remain profitable, companies must have pricing power. They must have the ability to raise prices while maintaining relatively stable unit sales. And at the 100,000-foot level, where CEOs are looking to examine the financial outcomes of their actions, B2B companies struggle to increase pricing power.

 

The concept of pricing power is associated with price elasticity, or price sensitivity. The more price-sensitive a consumer, the more negatively the consumer will react to an increase. Companies with higher relative pricing power find customers react less negatively to a price increase. Thus, they are able to maintain stable unit sales when they enact an increase.

Data Suggests Customer Satisfaction the Only Road Back for Staples

Even as Staples announced the closure of 70 stores on March 9 – those on the heels of 48 store closures in 2016 and 242 in previous years – CEO Shira Goodman said she had reason for optimism.

 

“I am particularly proud of our ability to grow our delivery business by continuing to enhance our offering and satisfy our business customers,” she said in a meeting with investors. 

Collaborative for CUBES™

Recognizing customers are the ultimate source of cash flow and financial value, firms continuously invest in strategic priorities and execution activities designed to satisfy them. It doesn’t always go well. Many times, businesses are confused about the specific strategic areas in which they should invest. Other times, they debate the execution levers that should be the focus of their investment. 

 

Ultimately, every activity, decision, and strategy can be justified as an attempt to satisfy customers. As a consequence, companies often find themselves embroiled in a variety of misaligned strategic initiatives and execution activities they believe are helping customers. Customers see it differently—they see a company that is unfocused, inconsistent, and not satisfying their needs.

 

The Collaborative for Customer-Based Execution and Strategy (Collaborative for CUBES™) framework helps align a company’s strategy and execution at all levels in a way that not only satisfies customers, but also achieves the desired financial results. Collaborative for CUBES™ provides guidance, based on rigorous, proprietary statistical analysis, to define strategy outcomes, develop strategic priorities, identify execution levers, and translate the execution levers into concrete, actionable, ground-level reality.