Collections

Pricing, contracts and the cost of commitment

What it costs to lock a price, raise one, or walk away from a counterparty you depend on.

PricingPayments

A 40% price rise with no grandfathering for existing customers

Grandfathering was the obvious kindness and the obvious mistake. We chose against it, lost more customers than the model predicted, and would make the same call.

M. OkonjoVP ProductHigh stakesWorked as intended10 min
ProcurementLogistics

Renewing a fleet contract three months early to lock a price

Fuel and lease rates were moving in opposite directions. Renewing early cost a negotiating position and bought eighteen months of certainty. The spreadsheet said yes; the counterparty relationship said be careful.

R. CastellanosOperations DirectorModerate stakesMixed8 min
Client strategyProfessional services

We ended the contract with the client that was 41% of our revenue

No board, no runway, no second opinion. The decision took eight months to execute and the replacement revenue arrived four months later than the plan assumed.

J. WhitfieldOwnerExistential stakesWorked as intended10 min