The first step for becoming a pricing analyst, is to determine if becoming a pricing analyst will suit your personality, as well as your professional and lifestyle ambitions.
• 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?
• Are you interested in a "9-5", computer-based career?
Working in this field can be a great choice if you're looking to work with numbers, in a fast-paced job that offers plenty of room for growth, and demands accuracy and accountability. If you also have an analytical mind, business acumen, excellent communication skills, and a passion for working with numbers, then the likelihood that you'll be well suited for this opportunity is even greater.
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.
Below we've outlined what you'll need to begin a career as a pricing analyst. We've also included helpful information for this career, such as job description, job duties, salary expectations, a list of possible employers and much more!
Education Needed
Although educational requirements may vary by employer, you typically need a bachelor’s degree in one of the following fields:
• Mathematics
• Statistics
• Economics
• Marketing
• Finance
• Specialized programs in Pricing Analysis
There is some flexibility with regard to choosing a major, although those listed above will be the most relevant for the skills and knowledge base you will need for this occupation. 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.
Pricing Analyst Job Description
Pricing analysts provide the management of a business with the analytics that measure product profitability and support the development of pricing strategies and plans.
They 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 also 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.
Pricing Analyst Job Duties
• Provide pricing analysis for management
• Perform margin and pricing analysis in order to support business initiatives
• Monitor and update commercial price lists
• Validate sales quotations for accuracy and profitability
• Develop a system of communication, documentation and review of internal and external comparative pricing data
• Identify opportunities to optimize sales and profitability through pricing strategies
• Confer with sales and marketing teams to develop proposals
• Prepare multi-year cost and pricing models that may include labour, materials, subcontracts, travel and other relevant costs
Who Creates Jobs?
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
Skills and Traits You'll Need
In order to tolerate, or better yet, enjoy the work in this field, you'll 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.
Personality Traits
• 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
Soft Skills
• 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
Hard 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)
Experience You'll Need
It may be difficult to get a job as a mid or senior-level pricing analyst right out of school, even with a master’s degree; many employers prefer to hire candidates with experience in the particular industry the job is focused on.
Students and new graduates can usually gain the necessary experience through a junior pricing analysis or finance position. Companies that hire junior-level pricing analysts typically only require a year or two or experience in a related setting in addition to a bachelor's degree.
Typical Salary Level
The salary level you could earn in this occupation can vary, depending on factors such as your level of education, your level of experience, the size and type of your employer, the specific responsibilities of your job, and many other factors.
There is no reliable salary data available specifically for Pricing Analysts, although we can get a good idea of what they earn by looking at the average salary levels of workers in closely related occupations, as these occupations involve similar levels of responsibility, as well as demand similar skill sets.
Alberta: According to the 2011 Alberta Wage and Salary Survey, Albertans working as part of the Financial and Investment Analysts occupational group earn an average of $39.56 per hour. The Survey also states that workers in the Construction Estimators occupational group earn an average of $34.97 per hour. At the time of writing, there was no reliable salary information available for the rest of Canada.
United States: According to the United States Bureau of Labor Statistics, American workers in the Cost Estimators occupational group earn a median salary of $58,860, and workers in the Budget Analysts occupational group earn a median salary of $69,280 per year.
Job Postings
Check our job board below to find Pricing Analyst postings in your area.
Similar Careers in Our Database
Listed below are careers in our database that are similar in nature to Pricing Analyst, as they may involve many of the same skills, competencies and responsibilities.
References
Please consult the references below to find more information on the various aspects of a career as a Pricing Analyst.
Occupations in Alberta: “Financial Analyst.” (March 30, 2017). ALIS website - Alberta Learning Information Service. Retrieved January 8, 2020.
Business & Financial: “Budget Analysts.” (December 3, 2017). ALIS website - Alberta Learning Information Service. Retrieved January 8, 2020.
Strategy: “Is there a career in pricing?.” Larry Montan (n.d.). Deloitte website. Retrieved January 8, 2020.
Relevant Scholarships
Scholarships listed for university majors that are relevant for this career can be found on our All Scholarships by Major page.
Relevant University Majors
Studying one of the university majors listed below is an excellent starting point to becoming a Pricing Analyst. Click on the links to find out what else you can do with these majors!
