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Pricing Strategies Archives | Quantzig

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pricing strategies

3 Fail-proof Retail Pricing Strategies That Work | Quantzig

The technologically inclined and well-informed customers of today demand robust solutions and timely service that cater to their needs. The use of digital platforms has significantly influenced customer buying behavior, due to which businesses are now digitizing their business processes including – merchandising, sales, customer interactions, and retail promotions. The digital journey of customers encompasses the entire purchase lifecycle of a prospect right from discovery to loyalty and is increasingly becoming complex with the proliferation of new and advanced technologies that possess the capability to transform business landscapes. To succeed in such a complex scenario, businesses are now looking at leveraging advanced retail pricing strategies to differentiate themselves from their peers.

A customized retailer pricing strategy can help you gain a leading edge in the market. Contact us to learn more about our solutions.

Three Proven Retail Pricing Strategies that Help Drive Growth and Profitability (more…)

Price Optimization

3 Ways to Improve Retail Price Optimization Strategy

In today’s competitive business landscape, retailers are looking for new methods to improve their operational efficiency. Retailers struggle to find the right balance between optimizing profits and maintaining traffic. This is where an effective price optimization strategy can help retailers to develop healthy margins and good traffic. However, retail companies tend to struggle when it comes to optimizing their pricing strategies. Challenges such as trying to quickly adapt to new technologies and reprice against behemoths act as an obstruction in devising retail price optimization strategies. In this article, our analytics experts have listed out some of the effective ways to improve price optimization strategy that can help retail companies in better and quick decisions and retain profitable customers.

Quantzig’s pricing analytics solutions help businesses to drive conversions and realize sales opportunities. Request a FREE proposal to gain in-depth insights into our portfolio of pricing analytics solutions.

How to Improve Retail Price Optimization StrategyHow to Improve Retail Price Optimization Strategy?

Evaluate Strengths and Weaknesses

To devise effective price optimization strategy, companies in the retail industry must first take into consideration what effect SKU prices will have on operations and evaluate their organization’s strengths and weaknesses. This strategic approach of initially looking into own strengths and weaknesses is important to get a clear picture of which strategies are to be executed. To evaluate one’s strengths and weaknesses, retailers need to collect historical data, including product volumes, prices and promotions, competitors’ prices, economic conditions, product availability, seasonal conditions, and fixed and variable cost details. Such details can help retailers to clearly outline their company’s strengths and weaknesses. Furthermore, this can help companies to drive both value and self-interest. Also, it initiates the wisdom and clarity of how pricing affects all aspects of operations and has a direct correlation to profits and revenues.

Our pricing analytics experts help companies create optimized pricing, promotion and discounting strategies. Get in touch with them right away!

Don’t Just Size Up the Competition

To improve price optimization strategy, retailers still focus more on the competitors’ pricing strategy. But to truly achieve competitive pricing, retailers must assess the bigger picture, not just their competitors’ prices. Using price optimization metrics, retailers don’t just size up the competition, they size up the competition against their strengths and weaknesses. This helps in creating a list of opportunities and threats in the overall market. Also, it offers detailed insight into competitive data and helps to understand how competitive data is going to affect profits and revenue.

To help businesses sustain themselves in a highly competitive marketplace, we track and monitor competitor pricing in real-time through analytics dashboards. Request a FREE demo to know more.

Define Your Pricing Strategy

After evaluating own strengths and weaknesses, businesses can outline the threats and opportunities based on the competition and market. This can help in defining a clear pricing strategy and can assist in understanding how well the perceived value is suited to the needs and wants of each customer. Furthermore, defining pricing strategy can help businesses to achieve revenue goals, marketing objectives, win target audience, improve brand positioning, and product attributes.

Want to learn more tips on improving your price optimization techniques? Request for more information.

clickstream analytics

Pricing Analytics Solutions: Boosting Profitability with Data in the Retail Industry

Despite recent advancements in technology and decision-support tools, companies in the retail industry are finding that the traditional approaches to devising pricing strategies are not keeping pace. Indeed, the new digital era stemming from pricing analytics and the explosion of omnichannel retailing has meaningfully changed the retail landscape and needs an overhaul of retailers’ pricing strategies and capabilities.

Are you finding it difficult to devise strategic pricing strategies? Our analytics solutions can help. Request a FREE proposal to gain detailed insights into our portfolio of pricing analytics solutions.

Pricing is a crucial driver of growth and neglecting it can affect the profitability of retail businesses remarkably. So, retail companies need to understand and analyze the price point for maximizing profits. This is where pricing analytics can come to the rescue. Companies can get as close to their target as possible, provided they utilize pricing analytics solutions and devise best-suited pricing strategies for their business. In this article, our pricing analytics experts have highlighted a few ways to help retail companies boost profitability, optimize price and discounts, minimize price gaps and benchmark prices against competitor products with the help of pricing analytics solutions.

In a highly competitive retail market driven by digitally empowered customers with paper-thin brand loyalty, and agile online competitors, pricing analytics is the key to stay ahead of the curve.

analyticsTips to Boost Profitability by Leveraging Pricing Analytics Solutions 

Analyze and track your competitor’s pricing strategies

Pricing analytics solutions can help companies in the retail industry to monitor and track competitor pricing in real-time. By leveraging pricing analytics solutions, retail players can also make changes to their pricing strategies by comparing it with that of the competitor’s strategy. This can, further, help them to improve customer retention rate and customer responsiveness. With the help of pricing analytics models, retail companies can proactively respond and immediate responses to the competitors’ marketing strategies.

Our analytics experts employ effective price analysis models to identify price triggers and factors affecting the price of your offerings. Get in touch with an analytics expert to know more.

Track price triggering points

With the increasing competition in the retail environment, today it has become crucial for businesses to track the price triggering points and factors affecting the demand of their products and services. Pricing analytics helps retail companies in developing capabilities to understand the factors triggering the price of a product or service and then tweak their pricing strategies accordingly. The analytics experts at Quantzig believe that the best way to track price triggers is by tracking the purchasing paths of the customers which provide clues to what changes in price need to be made.

To help businesses sustain themselves in a highly competitive marketplace, we track and monitor competitor pricing in real-time through our customized pricing analytics dashboards. Request a FREE demo below to gain better insights.

Understand price elasticity

Pricing analytics solutions can help companies in the retail industry to analyze past transactions and perform price segmentation to identify factors that influence price elasticity. Doing so can help retail companies to calculate the price elasticity for all price segments and select the one that maximizes profit and revenue. Consequently, companies can establish discounting strategies to remain competitive and improve their regional go-to-market strategies as well.

Develop robust pricing modeling capabilities

Disparate data sources, as well as market and category contexts, challenge a company’s analytical maturity. A one-size-fits-all cannot produce analytical rigor. Therefore, retail companies should leverage statistically validated pricing models to gain the desired business outcome. Pricing models  can help retail companies to determine price elasticity, cross-price elasticity, and pricing corridors that can influence sales, direct marketing promotions, and other deals.

Wonder how insights derived from pricing analytics solutions can help you make informed decisions? Request for more information now!

Price Optimization

Price Optimization Case Study: Empowering Businesses to Boost Revenue by Enhancing Pricing Strategies

A leading logistics and transportation services provider based out of Germany approached Quantzig to leverage its expertise in price optimization to address the mounting inaccuracies in their spot market pricing methods and estimations. The implications of their inaccurate pricing strategies resulted in a sharp dip in the revenue generated from the truckload shipment segment in the corresponding spot markets and also led to a rise in the cost of securing capacity.

The Business Challenge

Like any other industrial segment, the logistics and transportation industry is currently witnessing a plethora of changes that have bought in new opportunities. However, the introduction of new technology, business models, and pricing strategies have further complicated the market landscape, making it difficult to sustain a competitive advantage. The client a leading logistics and transportation services provider was looking at leveraging price optimization models to generate price benchmarks to achieve certain business objectives. They were looking at deploying price optimization models that would help them enhance their ability to forecast price fluctuations and devise robust pricing strategies.

The increasing complexity of global supply chains signifies that you should be well aware of your expenses and use price optimization models to better track and control spend. This is where you should be cautious, as adopting a wrong approach to price optimization can leave your organization far short of its savings goals. Contact our price optimization experts to know more.

Solutions Offered and Value Delivered

To help the client tackle their core challenges, the price optimization experts at Quantzig adopted a comprehensive approach that helped them implement better pricing strategies to improve their profits. A detailed analysis helped our experts to delve into the intricacies of the clients’ challenges and understand the perspective of the investors. The solutions offered by our experts enabled them to leverage pricing optimizations models to redesign their pricing strategy. The implementation of new pricing strategies further empowered them to enhance the accuracy of their prediction by 35% and generate predictions for a much broader range of shipments and equipment types.

In addition, the new price optimization strategy enabled the client to view data updates in real time, reducing the error rates and prediction variances. With price predictions consistently closer to the actual negotiated shipment price, the client was able to negotiate prices better aligned to the real market clearing equilibrium price. As a result, the company is now better positioned and well-equipped with robust optimization models to set proper margins, reduce error rates, and improve overall revenue. Moreover, the price optimization solutions and recommendation proved to be effective in bringing down price variances of their shipments by a whopping 46%, leading to the generation of additional revenue.

Want more information on the benefits of price optimization models? Get in Touch right away!

What is price optimization?

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Weekly Round-Up: A Storyboard on the Benefits of Pricing Strategies and Infrastructure

LONDON: Quantzig, a leading pricing analytics services provider, has announced the release of their new storyboard on pricing strategies and infrastructure. These stories explain how robust pricing strategies and rigid pricing infrastructure can help companies to manage profitability and brand image.

Today businesses are facing critical challenges like monitoring competitors pricing strategies in real-time, determining fluctuations in demand and identifying pricing triggers while trying to sustain their profitability. Solid pricing strategies and infrastructure can help companies to optimize pricing, promotion and discounting strategies. Also, it can guide companies in identifying new sales opportunities, increase profit margins and drive conversions.

Quantzig’s analytics solutions have helped leading companies to make data-driven decisions and boost profitability. Below, we have summarized some of Quantzig’s free resources for this week and have also highlighted ways in which robust pricing strategies and infrastructure has helped businesses to excel in the competitive marketplace.

Are you finding it difficult to understand how pricing analytics solutions can help your business to reduce price gaps, optimize prices and discounts, devise effective pricing strategies and benchmark prices against the products of your competitors?  Get in touch with us right now!

#1. Why is pricing analytics important for your business? Pricing is a crucial component when it comes to product positioning and branding. Don’t you agree? This is the reason why robust pricing strategies have become the need of the hour for businesses today to stay competitive and ahead of the curve. Pricing analytics solutions can help companies make careful decisions on the margins to be reserved on particular products in relation to the competition. Also, pricing analytics empowers the companies to avoid costly mistakes by running advanced scenario modeling and identifies the potential impact of the change in price on the overall profitability and demand.

Are you wondering how to devise effective pricing strategies for your business? Request a free proposal to check out our portfolio of pricing analytics solutions.

#2. How can pricing automation help you achieve pricing mastery? Is the science of pricing strategies underdeveloped for your business? If yes, then you must give a thought to optimize your pricing strategies and this is where pricing automation can come to rescue. Pricing automation acts as a silver bullet to push your organization from the initial level of the pricing maturity scale to the level where your organization will be able to achieve pricing mastery.

Analyzing the feasibility of pricing analytics for any business is a daunting task. Our analytics solutions provide best-in-class frameworks for multi-dimensional data aggregation and price points optimization. Request a free demo for more insights.

#3. What are the benefits of next-generation price optimization? Are you wondering what is new era price optimization? New era price optimization covers entire stages of a product’s lifecycle in an integrated way right from the base price, promotions, TPR to markdowns. This helps in avoiding conflicts in pricing and forecasting demand accurately to maximize ROI. Next generation price optimization has huge benefits like ease of use, reveals the reasoning behind price recommendation and much more which helps in improving overall pricing strategies of the business.

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IR30

Pricing Analytics: Reasons Why it’ll Help You Crush the Competition in 2019

In 2019 one of the key questions for business leaders is how can the pricing lever be used to boost their business growth ambitions? As we are aware even a 1% improvement in price can impact a company’s bottom and shoot profitability significantly. But, the most daunting task is to make sense of dynamic pricing data and unstructured products and services. Most businesses fail to utilize the benefits of pricing analytics and pricing data and tend to take a back seat when it comes to determining the right strategies to enhance their product pricing.

Pricing is the most important driver of growth and neglecting it can affect the profitability of business remarkably. But, companies need to understand what the perfect price point for profit maximization is. And this is where pricing analytics comes into the picture. Companies can get as close to their target as possible, provided they utilize pricing analytics solution to its best and devise best-suited pricing strategies for their business.

At Quantzig, we understand the impact that pricing analytics can have on your business. And to help companies excel in the competitive landscape, our team of experts has provided a detailed guide on the importance of pricing analytics. This can assist businesses to optimize prices and discounts, minimize price gaps, benchmark prices against competitor products and finally can boost their ROI.   (more…)

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Unleashing the Power of Pricing Analytics in Retail | A Customer Success Story

About the Client

A major brand in the home furnishings retail sector in Germany.

The Business Challenge

An uncertain economic environment, the rise in new product launches, technological disruptions, and a highly informed and demanding customer base are just a few among the many challenges faced by retailers today. To thrive and stay prepared for the future retailers should consider tapping into the vast datasets to answer crunchy questions that are essential to improve performance in these demanding times. Also, these challenges are directly linked to pricing analytics and the strategies adopted by businesses, which in the real world is a powerful lever that improves a company’s top-line and bottom-line performance. With the proliferation of shopping channels and a decline in customer spending, effective pricing strategies have become a target source for retailers looking to grow organically. While retail industry players realize the critical importance of pricing analytics to drive profitability, identifying the pricing strategies that drive growth still seem to be a daunting task.

The client, a leading player in the German retail industry found itself struggling to improve profitability and demand in a highly complex environment. Hence the retailer approached Quantzig to leverage its pricing analytics expertise to test their in-retail market price elasticity. They wanted to evaluate their pricing strategies to determine the extent to which it had been a drag on their performance. Like the client, many retail companies have reached a point where they realize the importance of data in making decisions, but many haven’t yet stepped up to the challenge of managing data needed to get the pricing right. However, until you do step up, your business may not be able to capitalize on the full potential of pricing analytics. (more…)

IR3

3 Mistakes to Avoid While Developing Pricing Strategies for Your Business

Implementing pricing strategies in marketing is one of the most important aspects of any business, no matter where you lie within your industry. But your product pricing strategies will inescapably be among the important questions you have to consider. Yet, despite the heap of information out there on the subject, many businesses still fall for the same old mistakes in pricing strategies in their quest for that mythical formula that will boost their profits. In this article, we have highlighted common mistakes while implementing pricing strategies in Contact USmarketing. Let’s delve into some of those pricing pitfalls that your business must avoid:

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IR29

4 Key Steps to Build Effective Pricing Strategies for Your Marketing Strategies

Devising various types of pricing strategies in marketing is one Contact USof the most significant challenges to face as a business owner. It requires analyzing several factors and putting together an accurate picture of what your product is worth, how much its production costs, and how much your customers will pay. Understanding how to plan a pricing strategy is one of the important parts of creating a successful business. It has a direct impact on your bottom line and revenues. Pricing strategy is the ultimate reflection of the value that you offer to your customers through your products and customer service. In this article, we have tried to help you out by formulating five steps towards developing value-based pricing strategies in marketing that will push your revenues in the desired direction. (more…)