Project Success Stories
Simple solution silences debate
over EMEA public course pricing.
When the country managers examined our rationale, they concluded that it made total sense, and they unanimously agreed to the new education pricing formula.
This intrepid IT education services geography manager was attempting to implement a rational course pricing strategy across Europe and the Middle East.
However, his efforts were enthusiastically thwarted by local country managers who manifested a fierce desire to maintain their individuality and business unit independence. None could agree on a consistent pricing methodology, so they persisted in pricing their offerings every which way.
The EMEA manager was concerned that many countries were leaving money on the table. So he engaged FUSION to come up with a consistent pricing formula that accurately reflected the market realities in each component geography.
FUSION assessed a variety of economic variables in each country ranging from prevailing wage rates to a wide market basket of commodities, even including the cost of a Big Mac. We also examined the prices of the firm’s high end proprietary customer education competitors – but concluded that they, also, appeared to have been haphazardly determined.
Finally, we examined the country-by-country pricing practices of the international franchises selling industry-standard courses. Since they were aggressively competing with each other in each geography, and offering the same exact content, it stood to reason that their prices would best reflect the local competitive landscape, delivery costs and market conditions.
From this study, we arrived at a pricing algorithm for each country and recommended a standard mark-up to reflect that our client was selling high end content with limited head-to-head competition. When the country managers examined our rationale, they concluded that it made total sense, and they unanimously agreed to the new education pricing formula.
Follow on to this assignment; we developed a solutions pricing approach that made it viable for international clients to purchase training across EMEA with a single purchase order.
FUSION 
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