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GROWING MARKET SHARE WITHOUT CUTTING PRICE
A leading women’s health care company approached Accordence when it had trouble growing its share of the market without cutting the price at which it sold its products. As another company entered this marketplace, many buyers chose a supplier based on price. The firm, which had a strong belief in the additional value of its product, now was surrounded by a few competitors selling solely on price. Buyers began moving their business away from the firm, oftentimes moving to the new competitor for price reasons and sometimes because they did not want to work with a company that was “dictating the market”. The company needed to find a way to combat gross margin erosion at a time when they were looking to continue to grow market share.
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