Restore Pricing Power and Competitive Differentiation
The Cambridge Group's V-Score™ is based on the equation: Value = Benefits/Price (V=B/P). It asserts that one can increase value by either increasing benefits or by lowering prices. To grow a product’s market share, V-Score must increase relative to the competitive set. V-Score provides precise direction to continuously grow market share at the expense of competitors.
Our strategy consultants use V-Score to calculate the increase or decrease in value that is caused by specific combinations of benefits and price. Once we establish a V-Score for our clients' product or service, we generate V-Scores for all relevant competitive products. By analyzing competitive V-Scores, we can optimize the combination of benefits and price points to maximize value and enhance pricing power.
Ultimately, the V-Score enhances pricing power by optimizing the value equation for our clients' brands.
Selected Case Studies
- Case Study 1 - A Major Sweet Goods Company combats declining sales by identifying $700 million in revenue growth opportunities.