It’s a well-known fact: the economic environment for German banks has deteriorated dramatically over the past decade. Low interest rates are squeezing the profit margin, and despite the expansion of lending business, higher net commission income and reduced material and personnel costs, the institutions are earning significantly less money today than they did twenty years ago. 

One solution to this problem lies in systematic price management, because price is still a greater lever for improving profitability than many other measures. 

Our current analyses, projects and publications show that considerable increases in earnings can be achieved through systematic price optimization. Our project for a medium-sized regional bank, only one of many successful examples, proved that a potential of over two million euros per two billion euros of balance sheet total per year became real. 
 

Many decision-makers see price management as walking a fine line. They’re afraid to scare off customers. Customer advisors too are often afraid to tackle the subject head-on. However, banks that have positioned themselves excellently in the market should not only know their own strength, but also consciously use their brand value in customer meetings. 

In our experience, for a bank to be able to use its own brand to earn money, it is necessary for employees to develop an awareness of their own added value over competitors. We train staff accordingly and provide them with methods for confidently dealing with customers. This ability is a key prerequisite for success, especially with new pricing models.