An industrial equipment company recorded an 8.7% increase in total margins

Case Study

An industrial equipment company recorded an *8.7% increase* in total margins

A PE-backed manufacturer and distributor of surface preparation equipment, parts, and supplies struggled to capture value due to inconsistent pricing behaviors in the field. List price was rarely used, and sellers defaulted to “last price paid,” limiting profitability and creating distrust after prior pricing initiatives.

• Pricing

*Company’s Challenge* The company needed a pricing system that sales could execute consistently, customers could understand, and leadership could scale without sacrificing volume.

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• List price adherence was only 20% to 30%, with heavy discounting as the norm.
• Sellers relied on “last price paid” or “lowest acceptable,” not value-based price bands.
• Prior pricing attempts eroded trust, increasing resistance to change.
• Supply chain volatility created uncertainty in availability, cost, and quoting decisions.
• The organization lacked governance, tools, and enablement to sustain pricing discipline.

Cortado Group *Results*

• Net margin on covered products increased 14.7% after model rollout and field adoption.
• Overall margin improved 8.7%, strengthening profitability across the business.
• Pricing change management restored commercial confidence after prior failed efforts.
• Performance exceeded EBITDA targets, validating the strategy and execution system.

Cortado Group *Solution* *Strategies*

• Diagnose & Segment
• Design the Pricing Model
• Set Guardrails & Governance
• Build the Execution Engine
• Plan the Campaigns
• Enable the Field
• Measure Financial Impact

• Analyzed customer behavior, value drivers, and price sensitivity to define actionable segments and price corridors.
• Built a clear, defensible model aligned to customer dynamics, prioritizing high-value accounts and products.
• Established discount rules, escalation paths, and approval workflows to protect margin while managing volume risk.
• Converted strategy into seller-ready tools (rate cards, deal guidance, exception logic, talking points).
• Implemented pricing campaign planning from annual direction down to weekly execution, with accountability by region and team. ​
• Delivered role-based training, scripts, and objection handling so reps could communicate the “why” and hold price.
• Tracked margin lift, price realization, and mix impacts to guide iterative refinements and protect volume.

• list

• Solutions Provided

• Pricing Strategy & Model

• Pricing Execution

• Pricing Enablement

• Training

Key *Insight*

A disciplined pricing model, governance, and front-line enablement increased net margin 14.7% on covered products while lifting overall margin 8.7%, without triggering volume compression.