Company
TechGoods* - an e-commerce retailer specializing in technical products
* (name changed)
Situation
TechGoods, an e-commerce retailer specializing in technical products, struggled with inaccurate and time-consuming pricing methods. Most pressing challenges included:
- Manual, error-prone and intransparent Excel-based process to calculate prices
- A set of very specific rules in the Excel spreadsheets made it hard to replace the existing process by an off-the-shelf pricing solution
- The update frequency of prices was limited by the manual Excel process, even though a higher frequency was clearly considered beneficial for the business
- Urgency of the situation rendered an inhouse development of a pricing solution difficult and risky, due to the longer timeline required for an inhouse development including their competitor price data extraction. They urgently needed a pricing solution to reduce setup time and establish effective pricing rules while enhancing data visualization and reporting. This was essential to address market volatility and boost pricing efficiency.
Duration
First go live of PoC within 5 business days. Project ongoing.
Quick implementation - from idea to value in record time
Traditionally, setting up pricing software involved months of implementation. Most pricing tasks are handled manually within large Excel sheets which collect data from many different sources. Untangling and rebuilding existing logic may take months before pricing managers can even start to benefit from their new solution.
Priceloop allows for a smooth transition by offering a Rest API, custom integrations as well as lightweight setups based on CSV export/import-functions. In order to set up a first Proof-of-Concept we built a layer of rule based prices and allowed for the export via CSV. By doing so, our customers were able to show first results internally within days instead of months.
Easy and accurate data extraction - a competitive edge
✅ URL-based Crawling
✅ GTIN/EAN Crawling of all major marketplaces
✅ Custom Crawlers
Our AI-powered solution removes the hassle of CSS identifiers. Simply paste the GTIN/EAN or the URL and let our tool do the rest. TechGoods, faced with the challenge of monitoring competitor prices and optimizing their pricing strategy in the highly competitive technical goods market, turned to Priceloop's pricing software.
Priceloop's tool excelled in easy and accurate data extraction, enabling TechGoods to effortlessly gather competitor prices and market data in real time. This allowed them to make data-driven pricing decisions that were both accurate and timely.
Effective rule-based guardrails - precision in pricing strategy
Priceloop's pricing software offered TechGoods a robust set of rule-based guardrails that ensured pricing strategies were executed precisely.
These guardrails allowed the company to maintain control over their pricing approach while accommodating the flexibility required in a dynamic market. The result was more effective pricing decisions that aligned with their business goals and market conditions.
‣ For TechGoods, factors that impacted their pricing rules were:
- Bundle/Set-Pricing
- COGS
- Competition
- Currencies
- Geo-Pricing
- Inventory-based Pricing
- Max Prices
- Min Margins
- Reference Pricing
- Seasonality
- Stock
- . . .
Additional Machine Learning Capabilities - Enhanced Decision-Making
To further refine their pricing strategy, TechGoods leveraged Priceloop's additional machine learning capabilities. These tools enabled the company to go beyond rule-based approaches, incorporating dynamic machine learning algorithms that adapted to evolving market dynamics. This allowed for even more precise and responsive pricing strategies.
TechGoods was facing increasing competition and market volatility. They needed a solution to optimize their pricing strategy to stay competitive while maintaining healthy profit margins. Together, we explored elasticities of their portfolio within the provided guardrails and were able to integrate a truly data driven approach.
Results: Implementing the new pricing strategy led to a remarkable 15% increase in overall profit and provided a competitive edge by adapting to market changes effectively.
Additional Visualization and Reporting Capabilities - Insights at a Glance
Priceloop's software not only streamlined pricing decisions but also offered TechGoods additional visualization and reporting capabilities. With intuitive dashboards and detailed reports, they gained valuable insights into market trends and pricing performance. This data-driven approach empowered them to make informed decisions and proactively adjust strategies.
Outcomes - Reducing Time to Value and Boosting Efficiency
By partnering with Priceloop's pricing software, TechGoods achieved remarkable results. Their time to value was slashed by a staggering 95%, enabling them to reap the benefits of optimized pricing strategies quickly. Additionally, they experienced a significant 13.9% increase in price efficiency.
95%
reduction in time to value
13.9%
boost in price efficiency
15%
increase in overall profit
This case study illustrates how Priceloop's comprehensive pricing solution empowered TechGoods to thrive in the competitive world of e-commerce for technical goods.
