Strategies for Increasing Pricing Power - Modern Distribution Management

Log In

Strategies for Increasing Pricing Power

Power over pricing isnt just for the biggest players.

It’s no secret that the biggest players in a given market wield a lot of power when it comes to pricing. They can lower prices and leave other players scrambling. But at the same time, they have the power to raise prices without much fear of losing business. As Warren Buffett has often said: “The single most important decision in evaluating a business is pricing power.”

A new column from Seeking Alpha highlights this power for gases manufacturer and distributor Praxair (NYSE: PX). The Danbury, CT-based business has realized 3 percent pricing gains on average each year for the past 12 years. While that may not sound like much to some people, the author notes that with compounding, that’s a one-third increase from pricing alone in that timeframe.

It might be easy to dismiss these types of results as a benefit of being big like Praxair, but smaller distributors can benefit just as readily if they approach pricing strategically – just as Praxair has been doing.

Here are some resources from the MDM archives that can help distributors gain their own pricing power:

Share this article

About the Author
Recommended Reading
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

Get the MDM Update Newsletter

Wholesale distribution news and trends delivered right to your inbox.

Sign-up for our free newsletter and get:

  • Up-to-date news in a quick-to-read format
  • Free access to webcasts, podcasts and live events
  • Exclusive whitepapers, research and reports
  • And more!


articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events



You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.

Register for full access

By providing your email, you agree to receive announcements from us and our partners for our newsletter, events, surveys, and partner resources per MDM Terms & Conditions. You can withdraw consent at any time.

Learn More about Custom Reports

Request a Market Prospector Demo

  • This field is for validation purposes and should be left unchanged.