Case Study: Xylem achieves profitable pricing for more than 1 million configurations with Vendavo

Xylem prices spare parts and +1 million configurations profitably with Vendavo

Xylem Inc., a global water-technology provider operating in 150+ countries with over 17,000 employees, needed a better way to price spare parts and configurable products. The company had to capture customer perceived value across three part categories (key, general, and standard) without creating unique part numbers for every variation—an approach that would have generated millions of unused records and strained resource-planning systems.

Xylem partnered with Vendavo to implement value‑based, market-driven pricing and a CPQ solution. Using customer surveys in eight countries and AI/ML models that factor product attributes and repair thresholds, they built a pricing framework for new parts and quick quote generation across 300 base products and millions of configurations. The result: profitable pricing for more than 1 million configurations, unified pricing across ERP/CPQ, fewer manual errors, easier price explanations, and an ROI “better than expected.”

Xylem

Niklas Lindstrom

Pricing Manager