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Turbo-charge marketing & sales

Dynamic E-commerce Pricing

We help companies find automated, algorithm-driven approaches to tackle challenges such as increasingly complex assortments, short product life cycles, and limited comparability of their own products to competitors.

Dynamic pricing in e-commerce

Our three-step approach to dynamic pricing helps e-commerce companies not only overcome these pain points, but also embark on a journey to drive revenue and margin growth. The journey starts with an outside-in dynamic-pricing assessment and benchmarking. The assessment uses best-of-breed tools and methodologies to build a 360-degree perspective. The second step is a proof of concept. Based on the client’s internal and external data, real improvement opportunities are identified and captured.

The last step is a full pricing transformation, which entails prototyping, piloting, and implementing a dynamic pricing engine, along with thoughtful capability building. Dynamic pricing helps companies achieve sustainable, consistent, and ongoing pricing improvements, rather than one-time price adjustments. It also delivers higher levels of customer satisfaction through improved price perception on the most competitive items.

We have used this approach to help a diverse set of global retail and consumer clients see sales growth of 2 to 5 percent and margin increases of 5 to 10 percent.

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Related insights

Article

How retailers can drive profitable growth through dynamic pricing

– The secret is in customization: dynamic-pricing solutions must be tailored to a retailer’s business context, objectives, and ways of working.

Featured expert

Senior Partner, San Francisco

Stephan Zimmermann

Helps companies with substantial online operations find Internet-based consumer insights, manage the customer life cycle, and stay ahead of digital advertising trends
Solution Leader and Associate Partner, Brussels

Filip Linmans

Works with clients in B2C and B2B to implement strategies that help them achieve and sustain impact in pricing and promotions