- Posted by Tim Manning
- On April 30, 2015
Retail price optimization has evolved and is more relevant today because it achieves retail pricing strategies for profit and revenue while complying with a retailers’ business rules. Architected on big data, price optimization 2.0, can meet the demands for transparency, speed and rigor required by retailers to compete effectively in omnichannel retail. Watch our recent video Price Optimization 2.0.
Also, register for our Volume #6 whitepaper Exercising Price Leadership which discusses Price Optimization 2.0 and other evolved technologies for competing more effectively.
2.0. Merchant-Friendly. Merchant-Ready
Retail price optimization in its first generation, introduced over 10 years ago – and still promoted today by a handful of first-generation optimization providers – was somewhat ineffective at achieving merchant acceptance. Specifically, the science was effective at solving for profit, revenue or a combination of both but often at the expense of price consistency and price image – putting merchant acceptance at risk.
Much like any disruptive technology in its first generation, price optimization needed time ‘outside the lab’ to mature. That time has arrived. Price optimization 2.0 now constrains prices with retailers’ rules for competition, margin, product line relationships and other rules and minimizes or eliminates pricing rules violations. See our Volume #1 whitepaper Play by the Rules.
Register for our webinar May 28, 2015 entitled “Pricing in an OmniChannel World: A Retailer’s Survival Kit.”
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