Per Sjöfors’ Journey in Mastering the Art of Pricing

Meet Per Sjöfors, a seasoned professional with over 35 years of expertise in executive management. As the Founder and CEO of Sjöfors & Partners Inc., Per has empowered 750+ clients to significantly increase sales and create value for their customers and stakeholders. He is a renowned author, speaker, and authority on pricing strategies. Per’s journey is marked by innovation, creativity, and a relentless drive to make pricing practical and actionable.

The Key Inspiration Behind Sjofors and Partners

As the CEO of several European and US companies, Per conducted various pricing experiments. Some of these experiments led to rapid revenue growth, resulting in a 25% to 30% increase in the following quarter, while others were complete failures. What Per learned in business school about pricing succeeded while others did not. When he started his own company, he made it his mission to develop a process to ensure the success of every pricing experiment. The process has since been applied to around 800 companies and between 5000 and 6,000 distinct products or services. Fortunately, this has led to a doubling of sales growth and profit margins, increasingly 25% – 40%, and in some cases, even more.

The Significance of Collaboration between AI and Experienced Professionals

Per developed AI software approximately 14 years ago to support the creation of profitable growth and pricing strategies for clients. This software is called the Predicted Demand Engine(TM). It streamlines the process, making it quicker and more accurate.

The Rewarding Aspect of Leading Sjöfors & Partners Inc

“Seeing the incredible difference our process makes for our clients is truly rewarding. We transform struggling companies into a rapidly growing profitable business that can hire more employees, deliver value to more customers, and increase returns for founders and investors,” emphasizes Per.

A Cohesive Pricing Strategy: Aligned with Marketing, Sales and Product Development

Every department in a company has its intuition about what motivates its customers to make a purchase and what price they are willing to pay. This “gut feel” can be captured through an internal survey and compared with actual marketing data regarding customer motivations and willingness to pay. By highlighting the discrepancies between the internal perceptions and the realities of the markets, companies can foster collaboration among various groups. This approach helps align marketing, sales, and product development strategies, creating a cohesive direction for the organization.

Keeping the Proprietary Approaches to Pricing and Growth Relevant

All the work at Sjofors & Partners is based on value research within a company’s marketplace. As buyer’s purchasing behavior changes, these insights are captured in the research and reflected in their recommendations.

An Edge Over Peers

Sjöfors & Partners is entirely data-driven, utilizing insights from value research. The team does not rely on opinions or the clients’ corporate “gut feeling” in its work, which distinguishes it from other consulting firms specializing in growth and profitability.

Nurturing a Culture of Data-driven Pricing Decisions

To foster a culture of data-driven pricing decisions, companies should measure the outcome of a limited-scope implementation of Sjofors & Partners’ pricing recommendations. This implementation could focus on a specific product or service or be limited to a defined geographic area. By comparing the predicted sales volume and revenue for the new price with the actual result, companies can assess the effectiveness of the recommendations.

Customer-Centric Approach with Advanced Data and AI

The primary goal of a company is to create and serve customers. Without customers, a company cannot exist. With this understanding instilled in everyone within the organization, it becomes simple to maintain a customer-focused mindset. While AI has not yet made significant strides in direct customer interaction, it is essential to improve its capabilities further to serve customers better.

Primary Hurdles Along the Way

At Sjofors & Partners, the processes are so streamlined that scaling has not been a concern. The AI developed by the team for their internal use significantly enhances their efficiency.

Tailored Solutions: Startups versus Established Corporations

Startups often have limited funds to spend on services, so the projects Sjofors & Partners undertake for these startups are small and specifically targeted toward a particular product or service. However, these projects hold immense value. “We all know that about 80%–90% of startups fail, depending on how failure is defined. Our services for startups virtually eliminate startup failures,” explains Per. In contrast, established companies have more resources, and their needs differ from those of startups. As a result, the project is more detailed and comprehensive.

Regarding implementation, the most significant difference is that larger companies usually require more assistance to implement the recommendations provided. This includes training staff and establishing processes to mitigate the inertia that often occurs in larger organizations, ensuring that his recommendations are effectively followed.

The Future Outlook of Sjöfors & Partners Inc

Regarding implementation, the most significant difference is that larger companies usually require more assistance to implement the recommendations provided. This includes training staff and establishing processes to mitigate the inertia that often occurs in larger organizations, ensuring that his recommendations are effectively followed.