Value-based pricing for rail supply chain optimization

Abstract

Ovinto is a software company that helps in optimizing the supply chain by enriching, processing and integrating data from companies that do transportation with (amongst others) unpowered assets. Ovinto wants to increase the price because the software is underpriced and wants to shift the mind-set of the customers as they currently perceive the Ovinto system as a cost instead of looking at the added value it brings. The purpose of this project was to develop a pricing model making use of the value-based pricing principle. The paid price had to depend on drivers that grow along with the value that the client earns. The bigger the driver, the higher the value for the client and the higher the price paid to Ovinto, part of the value is thus captured by Ovinto.