Utilizing Dynamic Pricing to Improve Price Management

Price management boils down to one word: control. It’s on the minds of a lot of pricing leaders who struggle with data scattered throughout the company with no single source of pricing truth. Or don’t have the tools and processes to answer things like where the biggest product and customer pricing opportunities are hiding. Further, if businesses don’t have a way to maintain competitive, realistic pricing online, then they’ll miss buyers who are shifting to digital channels in record numbers. Without control, pricing isn’t working as a competitive advantage and businesses risk falling behind.

Consider one business whose lagging prices contributed to significant market share loss. Static price lists and manual updates made it virtually impossible for pricing teams to keep up with spontaneous sales published by competitors. However, once this business applied a technology-driven approach to pricing, things changed.

The result? By replacing static price lists with our dynamic pricing engine, company leaders who took control of their pricing and are now calculating 26 million prices a day for their eCommerce channel—all in real time, on demand, and based on current market trends.

Similar price management transformations are happening in every industry, every day. From manufacturing to automotive to food and beverage, companies are adding capabilities to identify pricing leaks and uncovering profit opportunities in new ways that simply aren’t possible working from spreadsheets. And they’re maintaining competitive dynamic pricing even through digital channels by incorporating up-to-date market information.

If it takes manufacturers and distributors three weeks to update prices, and commodity prices shift rapidly, then prices aren’t reflecting what’s going on in the supply chain. And businesses could end up leaking serious profits as a result. But with the right analytical tools and intelligence, businesses can make better decisions across the entire ecommerce pricing process despite ever-changing factors than threaten their business.

Do you struggle with coordinating dynamic pricing across your various customer channels? Is price management complex due to multiple price lists and siloed channel managers? You can’t control the weather or other factors that might affect your business, but the technology exists to dynamically calculate every price to reflect real-time conditions.

Today’s dynamic pricing technology is delivering new levels of control, enabling leaders to coordinate pricing across customer channels with ease and precision. In fact, these capabilities are becoming the new norm. And businesses that don’t keep up will fall behind.

 

Check out this video to learn more.

About the Author

Valerie Howard

Valerie Howard, Solution Strategy Director at PROS, manages the go-to-market strategy for the PROS pricing solution portfolio. As a former pricing leader and PROS user, she has firsthand experience in the transformative benefits and competitive advantages that can be realized through leveraging AI for pricing. Valerie earned an MBA from the McCombs School of Business at The University of Texas and a B.S. in Electrical Engineering through a scholarship at the Cooper Union for the Advancement of Science and Art.

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