Bill Gallagher argues that high-performing companies often neglect pricing optimization while obsessing over operations and delivery, leaving hundreds of thousands to millions of dollars in unexercised pricing power untapped.
People aren't very focused on it sometimes because a 1 or 2 or 5% doesn't feel worth it. But I think the other reality is that best in class and better in class companies are so focused on exceptional operational delivery that that gets all their attention and all their time. And they're busy selling and serving and selling and serving and selling and serving. And we get on this hamster wheel of generating demand and then fulfilling that demand with excellence, that we don't slow down and ask ourselves, are we being paid excellently for this excellence we're delivering? And it gets the least amount of focus and att. You combine those two things together and there is a there are hundreds of thousands, if not millions of dollars on the table for most companies in unexercised pricing power.
