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By Nsim Team
If you want to become a pricing analyst, you first need to determine if this career path is a good fit for you. If the following description sounds like you, then you’re probably well suited for a career as a pricing analyst:
• Do you enjoy working with numbers and statistics?
• Do you have an analytical mind and business acumen?
• Do you have experience with database management and Microsoft Office programs?
Becoming a pricing analyst is a great career choice for those that are looking to work with numbers in a fast-paced job that offers plenty of room for growth and demands accuracy and accountability. It is a great career choice for those with an analytical mind, business acumen, excellent communication skills, and a passion for working with numbers.
You will also most likely need a bachelor’s degree if you hope to work as a pricing analyst, and an MBA degree if you wish to work as a mid or senior-level pricing analyst.
WHO IS PRICE ANALYST?
Pricing analysts provide the management of a business with the analytics that measure product profitability and support the development of pricing strategies and plans.
Pricing analysts are responsible for tracking marketplace metrics and trends, as well as establishing, maintaining and analyzing price reference documentation in order to uncover key market and pricing insights, such as how pricing strategy will affect the consumer, and how it relates to the company’s competitors.
Pricing analysts must prepare pricing recommendations based on their analysis, and present them to other business units such as finance, supply chain, sales and marketing, in order to help those teams make pricing decisions.
WHAT IS THE ELIGIBILITY OF PRICE ANALYST?
Although educational requirements for becoming a pricing analyst may vary by employer, you typically need a bachelor’s degree in one of the following fields:
• Specialized programs in Pricing Analysis
There is some flexibility when choosing a major for a career as a pricing analyst, although choosing one of the above majors will be the most relevant for the skills and knowledge base you will need as a pricing analyst. Some colleges and universities may also offer specialized coursework geared towards preparing students for careers as pricing analysts.
If you want to earn a mid or senior-level position as a pricing analyst, you will likely be required to successfully complete a Masters of Business Administration program.
SKILLS NEEDED TO BECOME PRICE ANALYST
In order to become a successful pricing analyst, you need to posses a certain set of skills and personality traits. These skills and traits will help you perform your job duties with competence, and will help you effectively negotiate the challenges of this career.
Those who become pricing analysts have a natural aptitude in mathematics and are able to think analytically. They must be able to solve complex problems that involve competing priorities. Pricing analysts must have skills with specialized software in order to effectively track market trends, as well as maintain and analyze price reference information.
Pricing analysts also need communication skills and business acumen in order to effectively and convincingly present their recommendations to decision makers within their organization, so that their recommendations become pricing strategy.
These are skills that are crucial, as pricing analysts must be able to prepare pricing recommendations that effectively balance business needs, such as pricing products or services attractively for customers, ensuring price maintains profitability, and not pricing themselves out of the market and allowing the competition to control the market.
If you browse job postings for Pricing Analyst positions, you may find that employers are trying to attract candidates with many of the skills and traits listed below.
• Display commercial acumen and have a customer centric attitude
• An interest in data analysis
• Enjoy working with numbers and statistics
• An interest in lifelong learning and career development
• Excellent written and verbal communication skills
• Detail oriented, diplomatic team player with a proactive results orientation
• Able to work with minimal supervision
• Previous work experience in same industry
• Demonstrable high end analytical and numeric skills
• Experience with back-office and billing systems, database management and Microsoft Office programs
• Knowledge of databases as well as data reporting and mining applications
• Systems experience in SAP (Systems Applications Products)
WHO HIRES PRICE ANALYST?
Pricing analysts may be hired on a part-time or full-time basis, as contracted workers or permanent employees of an organization. Types of organizations that hire pricing analysts include:
• Companies that manufacture residential, commercial and industrial goods
• Companies that distribute residential, commercial and industrial goods
• Construction companies
• Agricultural companies
• Food and beverage
• Private health care facilities
• Colleges and universities
• Banks and other financial institutions
• Pharmaceutical companies
• Transportation and logistics companies
• Professional service firms and offices, such as legal, engineering, architectural and others