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New visibility into customer performance and
contract compliance has helped this $14B
manufacturer steadily plug the profitability
leaks of negative margin customers.
CUSTOMER SUCCESS STUDY:
LEADING ELECTRONIC
COMPONENT MANUFACTURER
Lack of visibility led to revenue leakage as customers became aware that they would not be held accountable for compliance
to committed volumes
Like many large corporations, this manufacturer lacked coordination of data management across business units and
functional areas. Because a single transaction could not be tracked back to its original contract without weeks of review,
customers figured out a way to take advantage of paying high-volume prices for low-volume purchases.
CHALLENGES
Integrating data models in PROS centralized solution platform has made contract compliance possible.
With PROS solutions, this multi-billion dollar manufacturer can now track a transaction back to its original agreement
within minutes instead of weeks, regardless of its sales channel. This transparency enables analysts to track volume
compliance throughout the contract lifecycle and proactively address concerns that customer consumption is not meeting
contracted volumes.
SOLUTIONS
Sales and contract teams are empowered to close better business and avoid revenue leakage.
Prior to deployment of the PROS solution, analysts spent weeks tracking down data to support a contract negotiation and
many cycles were wasted establishing data validity. Now, analysts have the data at their fingertips and can spend their
time providing proactive and strategic guidance on renewals and negotiations. Further, this manufacturer can now engage
a customer in renegotiation prior to renewal when volume commitments are not attained. With PROS, putting a stop to
revenue and profitability leakage became a reality for this electronic component manufacturer.
RESULTS
Centralization of agreement analytics has been an eye-opener for sales, giving teams insight
into a harsh reality: less than 20% of contracted sales were in compliance with their volume
requirements. Acknowledging that large sums of money were being left on the table, teams are
now empowered to hold customers accountable and negotiate more profitable contracts.
PROS.com
Copyright © 2015, PROS Inc. All rights reserved. This document is provided for information purposes only and the contents hereof are subject to change without notice. This
document is not warranted to be error -free, nor subject to any other warranties or conditions, whether expressed orally or implied in law, including implied warranties and
conditions of merchantability or fitness for a particular purpose. We specifically disclaim any liability with respect to this document and no contractual obligations are formed
either directly or indirectly by this document. This document may not be reproduced or transmitted in any form or by any means, electronic or mechanical, for any purpose,
without our prior written permission.
About PROS
PROS Holdings, Inc. (NYSE: PRO) is a revenue and profit realization
company that helps B2B and B2C customers realize their potential
through the blend of simplicity and data science. PROS offers cloud
solutions to help accelerate sales, formulate winning pricing strategies
and align product, demand and availability. PROS revenue and profit
realization solutions are designed to allow customers to experience
meaningful revenue growth, sustained profitability and modernized
business processes.
To learn more, visit pros.com.
10-21-2015

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Customer success study - Leading electronic component manufacturer

  • 1. New visibility into customer performance and contract compliance has helped this $14B manufacturer steadily plug the profitability leaks of negative margin customers. CUSTOMER SUCCESS STUDY: LEADING ELECTRONIC COMPONENT MANUFACTURER Lack of visibility led to revenue leakage as customers became aware that they would not be held accountable for compliance to committed volumes Like many large corporations, this manufacturer lacked coordination of data management across business units and functional areas. Because a single transaction could not be tracked back to its original contract without weeks of review, customers figured out a way to take advantage of paying high-volume prices for low-volume purchases. CHALLENGES Integrating data models in PROS centralized solution platform has made contract compliance possible. With PROS solutions, this multi-billion dollar manufacturer can now track a transaction back to its original agreement within minutes instead of weeks, regardless of its sales channel. This transparency enables analysts to track volume compliance throughout the contract lifecycle and proactively address concerns that customer consumption is not meeting contracted volumes. SOLUTIONS Sales and contract teams are empowered to close better business and avoid revenue leakage. Prior to deployment of the PROS solution, analysts spent weeks tracking down data to support a contract negotiation and many cycles were wasted establishing data validity. Now, analysts have the data at their fingertips and can spend their time providing proactive and strategic guidance on renewals and negotiations. Further, this manufacturer can now engage a customer in renegotiation prior to renewal when volume commitments are not attained. With PROS, putting a stop to revenue and profitability leakage became a reality for this electronic component manufacturer. RESULTS Centralization of agreement analytics has been an eye-opener for sales, giving teams insight into a harsh reality: less than 20% of contracted sales were in compliance with their volume requirements. Acknowledging that large sums of money were being left on the table, teams are now empowered to hold customers accountable and negotiate more profitable contracts.
  • 2. PROS.com Copyright © 2015, PROS Inc. All rights reserved. This document is provided for information purposes only and the contents hereof are subject to change without notice. This document is not warranted to be error -free, nor subject to any other warranties or conditions, whether expressed orally or implied in law, including implied warranties and conditions of merchantability or fitness for a particular purpose. We specifically disclaim any liability with respect to this document and no contractual obligations are formed either directly or indirectly by this document. This document may not be reproduced or transmitted in any form or by any means, electronic or mechanical, for any purpose, without our prior written permission. About PROS PROS Holdings, Inc. (NYSE: PRO) is a revenue and profit realization company that helps B2B and B2C customers realize their potential through the blend of simplicity and data science. PROS offers cloud solutions to help accelerate sales, formulate winning pricing strategies and align product, demand and availability. PROS revenue and profit realization solutions are designed to allow customers to experience meaningful revenue growth, sustained profitability and modernized business processes. To learn more, visit pros.com. 10-21-2015