Economic Profitability

Today more than ever, businesses are operating with unprecedented levels of complexity in their product and customer portfolios. Whilst technology can assist businesses devise and implement complex sales strategies that supports top-line revenue growth, what can often get missed is a detailed understanding of where bottom-line profit is being made and lost.

Interpath’s data-driven profit improvement offering helps businesses to pinpoint the areas in which they should invest and grow, or perhaps divest or end, by analysing transactional level sales, cost and working capital data.

What we do

At the risk of stating the obvious, our approach starts with the premise that overall profitability is the accumulation of profit from individual transactions. This involves the sale of thousands of different products to countless customers through various routes to market (B2B, B2C, online, store-based etc) and with multiple supply chain permutations.
As a result, each transaction rarely makes the same level of profitability. By analysing profit on a transaction-by-transaction basis, we can provide management teams with new insight into where profit is really being generated. In doing so, our approach can pinpoint which customer groups, delivery methods or product ranges are generating the majority of profits – and, perhaps more importantly, which are performing relatively poorly.

From this basis, we can then identify specific actions businesses can take that can both increase profit and reduce operational complexity.