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Marketing Magazine Horizont reports on Inflation-Pricing-Study

Under the title “Companies set prices in inflation across the board – No desire for price differentiation”, Horizont, one of the leading marketing magazines, refers to the recently published inflation-pricing study by the PFH Private University of Göttingen. Pricing expert Prof. Hans-Christian Riekhof and Julius Reutel examined in this empirical study in 2022 how companies implement price increases.

“Rising production costs, supply chain delays, ongoing chip shortages and not least the energy crisis are causing companies to drastically increase prices. According to a current study by the Private University of Göttingen on the subject of inflation, 60 percent of the companies surveyed plan to increase prices by at least 10 percent this year, and 30 percent of the companies even want to increase prices by 15 percent or more”, Horizont reproduces some results. “There is obviously a considerable need for action, among other things due to the raw material price situation”, Horizont quotes from the study.

Further links

Full article (paywall):
Companies set prices in inflation across the board

Göttingen Daily Newspaper Reports on Inflation-Pricing Study

The Corona pandemic with the lockdowns and the war against Ukraine with the consequences of supply shortages, rising raw material and energy prices as well as inflation: customers, end consumers and companies are currently feeling this. For the Göttingen daily newspaper, this was a reason to pick up on the current empirical study on “Inflation Pricing” by the PFH Private University of Göttingen, in which Prof. Hans-Christian Riekhof and Julius Reutel have examined price policy in the economy.

In their article titled “Companies want to increase prices in the double-digit range”, the newspaper goes into detail on the results of the investigation. In the current situation, significant price increases are inevitable for many companies, the Göttingen daily newspaper quotes the announcement of the PFH. A third of the companies surveyed will implement price increases of 15 percent in 2022, 72 percent can therefore imagine a second increase, more than 60 percent want to raise prices in the double-digit range, 15 percent to 20 percent and more.

“In contrast to the pricing studies of the past years, which the PFH has been conducting since 2009, for the first time such a clear and more than obvious signal towards price increase has shown”, the paper quotes one of the conclusions of the study makers. The perhaps most important finding of the study, it says, is according to Prof. Riekhof, that many companies do not differentiate when implementing the price increases, but proceed very generally.

 

Further Links

Full article of the Göttingen daily newspaper as pdf:
https://www.unicconsult.com/wp-content/uploads/2022/09/Goettinger-Tageblatt-09.09.20228-Inflation-Pricing.pdf

Pricing study on Inflation-Pricing – Riekhof/Reutel, PFH 2022:
https://www.unicconsult.com/referenz/riekhof-reutel-inflation-pricing-empirische-studie-der-pfh-goettingen-2022/

Brand Article Magazine Picks Up Inflation Pricing Study

Brand Article, a magazine for brand leadership, reports on the results of the recently published Inflation Pricing Study by PFH Private University of Göttingen in a current article. Prof. Hans-Christian Riekhof and Julius Reutel examined in this empirical study in 2022 how companies implement price increases. Responses from 163 companies were evaluated.

According to the study, an inflation rate of ten percent for 2022 is considered possible by many experts. 30 percent of respondents therefore plan price increases of 15 percent and more in 2022, 61 percent of companies will raise prices in the double-digit range. 72 percent of companies can even imagine a second price increase. Only 16 percent of companies clearly say no to this question.

The magazine summarizes the conclusion: “As an overall conclusion, the study’s authors judge that the differentiation of price increases by product categories and by customer groups can be expanded. At some points it becomes visible that a blanket approach is still predominant and that sales is the essential force both in planning and in implementing price increases.”

Further links

Full article in the Brand Article magazine:
https://www.markenartikel-magazin.de/_rubric/detail.php?rubric=marke-marketing&nr=53919&PHPSESSID=aq1br7ckguhrb3pqtrst9irqp3

Inflation Pricing Study – Riekhof/Reutel, PFH 2022:
https://www.unicconsult.com/referenz/riekhof-reutel-inflation-pricing-empirische-studie-der-pfh-goettingen-2022/

VDI Nachrichten refer to Inflation-Pricing Study

The VDI Nachrichten report on the intention of many companies to want to raise their prices due to increased costs. In an article from 06.09.2022, the magazine refers to the results of the current empirical study by Prof. Hans-Christian Riekhof and Julius Reutel, who have examined for the Private University of Göttingen (PFH) how companies control and shape price adjustment processes.

The initial situation: supply bottlenecks and problems in international supply chains lead to rising energy and raw material prices – significant price increases for many companies are inevitable.

82% of the companies state in the study that they want to pass on the price increases for raw materials and preliminary materials. A third of the companies surveyed plan price increases of 15% and more in 2022, 72% of the companies surveyed can even imagine a second price increase this year.

Further results of the study: The evaluations of the investigation indicate that new customers in particular will be affected by the price increases. And many companies forego a differentiated approach to price adjustments and implement price increases very generally.

Further links:

Full article in the VDI Nachrichten:
https://www.vdi-nachrichten.com/wirtschaft/es-wird-noch-deutlich-teurer-unternehmen-wollen-preise-erhoehen/

Pricing study on inflation pricing – Riekhof/Reutel, PFH 2022:
https://www.unicconsult.com/referenz/riekhof-reutel-inflation-pricing-empirische-studie-der-pfh-goettingen-2022/

 

Pricing-Newsletter No. 63 (2022): Inflation Pricing: How do companies implement price increases? Results of the Pricing Study of PFH Göttingen 2022

Inflationsbdingt sind Unternehmen beim Pricing derzeit stark unter Druck. Wie setzen Unternehmen in diesen Krisenzeiten Preiserhöhungen durch? Im aktuellen Newsletter stellen wir Ihnen dazu die wichtigsten Ergebnisse unserer gerade fertiggestellten Studie zu Preisanpassungs-Prozessen vor.

Jetzt kostenlosen Zugang erhalten zu allen unseren Pricing Studien, zu unseren Pricing News und zu unseren mehr als 70 Pricing-Newslettern, mit denen Sie zum Pricing Experten werden können.

Youtuber Hendrik Kleinwaechter on his success with bread baking videos

Youtuber Hendrik Kleinwächter
100,000 followers on YouTube – Hendrik Kleinwächter has made it with videos about bread baking and provides exciting insights.

Youtuber Hendrik Kleinwächter has found a niche that excites around 100,000 followers on the popular video platform. The former student of the PFH Private University of Göttingen dedicates himself to Germany’s favorite baked good, bread, more precisely to bread baking, in his successful channel “The Bread Code”. In a recently held lecture at the PFH, he already gave an exciting insight into a subject that is undergoing major changes due to increasingly efficient production methods. In the following interview, Hans-Christian Riekhof, Professor of International Marketing at the PFH, was able to discuss further interesting aspects with the YouTuber.

Prof. Riekhof: You reported to us at the PFH last semester about The Bread Code, which is about sourdough and the “engineering” of bread. What made you start reporting on sourdough on YouTube, and how did it all start? After all, bread baking is not your core competence.

Hendrik Kleinwächter: In the last 150 years, the art of bread baking has not evolved. On the contrary, today’s bread has become much worse in quality. Since Louis Pasteur first isolated pure yeast, bread production has become increasingly efficient. Suddenly there were yeasts available that could perfectly ferment a dough. However, this has led to the quality of bread deteriorating more and more.

It is not possible to produce a good quality bread in two hours. The germination process of the grain converts components such as starch or proteins (e.g. gluten) into other smaller components that can be used by the seedling. This process is activated in the flour by adding water. Enzymes are responsible for this. These enzymes need time. If you bake with yeast, use as little yeast as possible.

Sourdough, in comparison to pure yeast, is a complex structure of different microorganisms. The yeasts and bacteria metabolize the entire flour. The bread at the end has little to do with the original flour. For example, long-matured cheese is usually lactose-free. The same principle applies to sourdough bread.

Youtuber Hendrik Kleinwächter: “I approach the topic like a software developer”

However, sourdough is problematic in the industry, as each sourdough has a different microbiome. The fermentation at your home can therefore be different from mine at home. That’s exactly what my YouTube channel does. I provide the audience with the basic knowledge for natural fermentation.

With this knowledge, you can then bake your own individual sourdough bread at home. I approach the whole topic myself like a software developer. I do continuous A/B tests when baking to identify better combinations. For example, I test different temperatures during natural fermentation. Depending on the temperature, whether at 25°C or 20°C, the taste of the bread can change. As far as possible, I then try to change only one variable and show the differences. This approach seems to inspire the viewers.

Prof. Riekhof: If you were to give the three most important tips to your fellow PFH students on how to build a fan community of over 100,000 followers on YouTube, what would you say?

Hendrik Kleinwächter: 1. Find a topic that excites. This enthusiasm attracts other people. 2. Identify good images and titles for the videos. This is very important for the YouTube algorithm. 3. Evaluate the data of the respective videos and learn what needs to be done better for the next videos.

Interaction is an important metric, says Youtuber Hendrik Kleinwächter

Prof. Riekhof: How much time do you spend on data analysis to analyze and improve the impact of your videos? What are the most important KPIs you use, and what analysis tools do you use?

Hendrik Kleinwächter: That’s almost 50 percent of the time. The algorithm looks at how many people click on the video after it has been suggested. This metric is improved by good titles and preview images of the videos. After that, it is important to keep the viewers entertained. The longer the videos are watched, the more advertising YouTube can make with it. Then I analyze, for example, what points are where particularly many viewers have watched for a long time, or why they dropped out at certain points.

Prof. Riekhof: What do you do to increase interaction with your followers?

Hendrik Kleinwächter: Interaction is also an important metric for YouTube. For this, it is important, for example, to have many comments under the videos. So it helps to call on viewers to comment. Open questions work very well. The questions can also be a bit provocative.

Youtuber Hendrik Kleinwächter: “I now always make a script for the videos”

Prof. Riekhof: What are your experiences in creating the videos, do you have something like a script or screenplay? Are accessories important, how long can individual topics and settings be?

Hendrik Kleinwächter: I now always make a script for the videos. This helps me to keep a clear focus. In addition, the videos then appear more structured. I wouldn’t buy any accessories, but would record everything with the smartphone from the start.

Prof. Riekhof: Do you test the videos for their effect before they are published? You may remember my lecture where I presented the example of the comprehensive tests of the individual episodes of Sesame Street.

Hendrik Kleinwächter: That’s a very good point. No unfortunately not. If there was such a service, many people would pay a lot of money for it. Would there be someone at PFH who would like to implement this?

Prof. Riekhof: Can you make money with YouTube activities? What categories of influencers can generally be distinguished, and which category would you count yourself in?

Hendrik Kleinwächter: You can expect about 7 euros per 1000 video views as income. This also depends on the industry. Computer games, for example, may have 0.5 – 1 euro per 1000 views. My channel is focused on a specific niche. This allows you to place products very well, such as flour or other kitchen accessories. However, such channels also have disadvantages. At some point, a viewer may lose interest in bread baking. Generic cooking channels continuously attract more viewers.

Prof. Riekhof: Which companies are potential advertising partners for you? The topic of “bread baking” is a very exciting topic in terms of content, but for large international (branded goods) corporations it is rather a marginal topic, isn’t it?

Hendrik Kleinwächter: Yes, that’s right. The suitable advertising partners are rather specific for the baking industry. However, you can of course show very specific advertising in the niche.

Prof. Riekhof: Thank you very much for the interview and continued success!

Link:

YouTube channel “The Bread Code”
https://www.youtube.com/c/TheBreadCode

Rising production costs force SMEs to optimize their pricing

The ongoing exorbitant rise in purchasing prices for energy and raw materials hits German SMEs hard. Companies should quickly get their pricing in order in the face of rapidly rising or fluctuating production costs – but how? This question is addressed by the Creditreform magazine in a current article. The business magazine for SMEs (Handelsblatt publishing group) publishes assessments by experts, including Hans-Christian Riekhof as a specialist for strategic pricing issues. One of his key statements: “Companies often approach pricing naively.”

Massive price increases threatening the existence of many companies

The situation is serious, the magazine quotes Stefan Ortolf from DZ Bank. Russia’s war against Ukraine is affecting a large number of medium-sized companies. With regard to the current situation, about 72 percent of the companies surveyed for a current Creditreform study consider the massive price increases to be the biggest challenge for SMEs this year. The situation does not tolerate any delay – companies must act quickly.

Pricing expert Riekhof: Some companies treat the topic of pricing completely naively – this is now taking its toll

Many managers have never seen such price increases. Today’s entrepreneurs often lack experience. As Hans-Christian Riekhof, Professor of International Marketing at PFH Private University of Göttingen and sought-after pricing expert, finds in his empirical studies, some companies approach the topic of pricing very professionally, but some also completely naively. “The latter is now taking its toll. Because those who have not defined a process to put their prices to the test once or several times a year and possibly adjust them, now lack speed, says Riekhof. ”

In addition, the wrong people often decide on price increases in many companies. There should be consensus across the department boundaries of product development, marketing, product management, sales, service, controlling about where to go in terms of price strategy, explains the pricing specialist”, who imparts strategic pricing knowledge and practical action options to managers in regularly held pricing seminars.

Link:
Screenshot: Creditreform magazine

The Digitization of Stationary Retail – Prof. Riekhof on the PFH Podcast

In the current episode of the podcast “Beyond the Knowledge”, Prof. Dr. Hans-Christian Riekhof, CEO of the company locandis and Professor of General Business Administration at PFH Göttingen, talks about the opportunities of digitization in retail and presents the results of a current expert survey on the theme of Instore Navigation. According to Dr. Hans-Christian Riekhof, the three major challenges for trade in the coming years are:

  • to realize an experience-oriented and high-quality design of the store areas
  • to improve delivery capability and logistical processes.
  • to drive digitization also in stationary retail and to communicate with customers not only face-to-face, but also via smartphone.

In an expert survey, Prof. Riekhof examined the digitization of retail. What are the major challenges for retail and how will the marketing concepts of retail develop in the future? These and other topics are discussed in the third episode of the PFH Podcast “Beyond the Knowledge”.

You can access the entire podcast episode here and then listen to it on all common podcast channels.

More about the company locandis:
www.locandis.de

25.10.2021│Göttingen – 23 Years of Corporate Brand Bugatti – A Company Changing with Time

On October 25, 2021, visitors to the PFH Private University of Göttingen can expect an exciting lecture. At the invitation of Prof. Hans-Christian Riekhof, Dipl.Ing Frank Götzke, Head of Special Projects and New Technologies at Bugatti, will provide an insight into “23 Years of Corporate Brand Bugatti – A Company Changing with Time”. He may also present a vehicle for viewing. Questions from the audience will of course also be answered in English.

Alumni of the PFH and guests are warmly welcome. Registration by email to Breustedt@nullpfh.de is required.

Address:
PFH Private University of Göttingen
Weender Landstraße 3-7
37073 Göttingen