Offer 02Margin and pricing

Margin and pricing intelligence

See what each product, customer and channel earns, and approve new prices for the lines that fell behind cost.

Start a conversation See what you get
Shrink-wrapped packs of bottled water moving along a curved conveyor in a bright bottling plant

Who it’s for

This offer is for the owner of a $5M to $50M manufacturer, food and beverage producer or wholesale distributor in Ontario or Quebec. It is also for whoever sets prices, and for the controller. It suits a new owner, a next-generation successor or a private equity team that needs to know where the business makes its money.

Material, freight and labour costs moved, and many prices did not. List prices sit in the ERP, customer deals in a spreadsheet and rebates in another. Some customers still pay what they paid before the last supplier increase. Gross margin on the income statement can look fine while some products and customers lose money.

The offer fits when:

  • Prices have not been reviewed since the last round of supplier increases.
  • Some customers buy on old quotes or special prices that nobody has checked in years.
  • You cannot say which customers make money once rebates, freight and credit notes are counted.

What you get

01Margin by product, customer and channelBuilt from invoice lines with their cost, including credit notes, rebates and freight, and tied to your income statement before anyone acts on it.
02A margin bridgeIt splits a change in margin between price, volume and mix, so you can see why it moved.
03Prices behind costEvery active price that no longer covers current material and labour cost, or current landed cost for a distributor. Each one shows the customer, the item and today’s margin.
04Drafted new pricesOne for each flagged line, from the target margin and rules you set, with the cost behind it shown. You approve, change or reject each one.
05A product review listItems to cut, keep or reprice, ranked on margin, demand and the customers who depend on them.
06Approved prices, ready to loadIn a file your ERP can import, or ready for your team to enter.

How it runs

Four weeks from the first call to daily use.

Week 1Your sales and costs in one database, and a written cost basisWe connect read-only to your ERP and accounting system and gather the price lists, rebate agreements and freight records. With you, we write down the cost to compare against: standard cost, last purchase cost or landed cost.
Week 2Margin reports that match your booksWe build margin by product, customer and channel and tie it to the income statement. A line with a missing cost goes on a list for your team instead of being guessed.
Week 3A list of prices behind cost, each with a drafted new priceWe compare every active price with current cost and draft a new price wherever the margin falls below your floor.
Week 4Approved prices ready for your ERP, and a decision on what comes nextYou review the drafts with us and approve, change or reject each one. We export the approved prices, hand over and decide with you whether stage two is worth doing.

The first stage takes four weeks, at a fixed price agreed before work starts. It runs on your own workspace, and if you stop there, everything built in it is yours to keep.

What we need from you

AccessA read-only login to your ERP and accounting system, or exports where a direct read is not possible.
DataInvoice lines with cost, credit notes, price lists, rebate and freight records, and current supplier costs.
Your pricing rulesTarget margins, minimum prices and any customer agreement that fixes a price or the notice a change needs.
TimeWhoever sets prices and your controller, about two hours each in week one and a review of about two hours in week four. Your controller also checks the totals in week two.

What changes

You see which products, customers and channels make money once rebates, freight and credit notes are counted. Prices that fell behind cost are found and fixed with your approval.

Each new price comes with the cost behind it, so your sales team can explain it to a customer. The next price review starts from a working list instead of a blank spreadsheet.

After week 4

The margin views and price checks keep running on your workspace after week 4.

Modules
ReportingMargin and pricingQuotingOrder deskClaude on your data
Your workspace
One database with your data and your definitionsDesigned to run on its own server in Canada. A chat answers from it and shows the query.
Your systems
ERPAccountingEmailSpreadsheetsFiles and drawings

Each offer adds one module. The modules share one database and one set of definitions, so each new one starts from data that is already clean. If you stop, what was built is yours.

What can come next

Your costs, prices and margins now sit in your workspace with written definitions. Quoting can price new requests from the same costs, and reporting answers margin questions from the same numbers.

  • Prices checked again whenever a supplier cost changes, with new drafts queued for approval.
  • Quotes checked against current cost and your margin floor before they go out.
  • Approved prices written into your ERP after a person signs off.
  • Market and competitor prices beside your own, as pricing intelligence describes.
  • Prices set from your quote history and win and loss records, as price optimization describes.

Questions people ask

What does it cost?
The first stage is a fixed price agreed before work starts, based on the job. ThriveAI does not publish rates.
Will it change our prices on its own?
No. It drafts new prices, and a person approves, changes or rejects each one. Each customer’s agreement decides how much notice a change needs.
Do our costs need to be clean first?
No. The work starts from the costs your systems hold. Lines with a missing or outdated cost go on a list, and your team decides how to fill each gap.
Which cost are prices compared against?
The one you choose in week one: standard cost, last purchase cost, or landed cost with freight and duty. It is written down, so every report uses the same cost.
Does it work for a distributor?
Yes. A distributor’s cost is mostly what it pays suppliers, plus freight. The work starts from purchase costs, price lists and rebates instead of routings and labour.
Where does our data go?
The platform is designed to keep each client’s data on its own server in Canada. You choose a model on that server or a hosted model under a written zero data retention agreement. A hosted model may process requests outside Canada. For the options, see private AI for business.

Contact

Find the prices that slipped behind your costs

Tell Derik what you make or distribute, which ERP you run and where your price lists live. He will tell you what a four-week margin and pricing review would cover.

Prefer to talk? Book a meeting.

Your message goes to Derik Lawlis, the founder.