Situation:
Benchmade Knife Co., a mid-market manufacturer, questioned its approach to making profitable make-or-buy decisions. The issue centered on understanding the real cost of manufacturing one unit and the finished product’s true contribution margin to the bottom line.
Solution:
Nicole helped leadership and key staff see through their product costs and how product contribution margins drive profitability through pricing and volume.
Results:
Contribution Margin drives our sales and profit growth
- Significant growth in sales
- Increased the bottom line
- Improved mindset focused on how much each product’s incremental contribution margin drives profit.
- Confidence to make profitable make-or-buy and pricing decisions
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