Dynamic pricing is essentially a full-scale digital transformation that impacts a business’ most sensitive data point – its prices
Companies that use dynamic pricing methodologies have added a new wrinkle into the marketing team’s calculation
As our customers get more comfortable with dynamic pricing, and start seeing increases in revenues and profits, they typically start to increase their trust in the system. User rules are used to define pricing strategy rather than to limit the AI component of the system
Procurement teams have spent decades negotiating and making purchases based on the merchandise’s final selling price. However, the adoption of dynamic pricing means they are missing the sale price, a key component in their calculation
While consumers always want the latest and greatest, retailers find themselves in a bind, wanting to clear their inventory of previous year’s models while capitalizing on the excitement of the newest models.
Dynamic pricing, when done using a pricing engine like Quicklizards, relies on an 80%-20% method for price calculation. The 80% in this equation is the work handled by the AI algorithms and machine learning techniques.
As dynamic pricing has proven itself over time, we are starting to see the concept push its way into new industries
With just about a week to go until the end of the holiday shopping season, many retailers are finding themselves stuck with overstocked products that didn’t sell.
Using data collected allows retailers to take advantage of opportunities, and turn real-time data into profitable business opportunities.
It’s clear that the medium should have a large impact on the price presented to the customer.
