To develop a profit maximizing revenue strategy for the client that included customer acquisition offers and ongoing support services. This firm had two client groups: the firms that generated wastewater residuals from their food processing operations and the farmers whose fields received the processed residuals and benefitted from their nutrient value.
Mather Economics developed cost metrics, customer segments, and competitor relevant to the pricing strategy. We completed quantitative analysis of existing customer price elasticity and proposed adjustments to the pricing strategy, including a fuel price surcharge.
The client implemented several of the proposed pricing changes and saw a significant increase in revenue. These pricing changes were retained for several years following the engagement, resulting in sustained revenue growth and a higher valuation of the firm.