Winning Pricing Analytics Framework | Case Study
Tech Stack — Microsoft| Azure| Power BI| SQL
The client is a well-known Alcoholic Beverage global giant headquartered in France. They faced a significant bottleneck in optimizing their strategies concerned with revenue management. They faced a critical bottleneck in optimizing their strategies concerned with revenue management.
Robust pricing analytics could have helped their ability to make informed decisions, thereby jeopardizing revenue potential and limiting competitiveness in a rapidly evolving market environment.
Existing Bottlenecks
- Limited insights into market dynamics hampered the formulation of effective pricing strategies.
- Revenue loss and loss of market share due to suboptimal pricing decisions.
- The lack of data-driven insights hampered strategic planning and profitability.
- Unstructured pricing analytics framework, leading to competitive pressures.
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Solution Areas
To address these bottlenecks, we devised a detailed pricing analytics framework as per the client’s requirements. We helped with:
1. Revenue Forecast Analysis: We offered precise revenue forecasts by analyzing market trends and historical data. This allowed the client to predict demand fluctuations and align pricing strategies as per the needs.
2. Competitive Landscape Analysis: We run through deep analyses of competitors’ pricing strategies and market positioning. This comparative analysis helped identify gaps and opportunities for the client to enhance its competitive edge.
3. Behavioral Analytics in Market Dynamics: Leveraging behavioural analytics, Polestar Solutions gained insights into consumer preferences, purchasing patterns, and price sensitivity. This data-driven approach enabled the client to tailor pricing strategies that resonated with target consumer segments.
4. Strategic Long-Term Pricing Optimization: Through strategic inputs gleaned from data analytics, we facilitated pricing optimization. This included identifying discounting structures and promotional strategies while maintaining competitive pricing.
5. Scenario Management & Price Simulator: We developed scenario management tools and price simulators. These tools allowed the client to simulate various pricing scenarios in real-time, assess their impact on revenue and profitability, and make informed decisions swiftly.
Impacts Delivered
- Up to 10% Improved accuracy in Demand Forecasting
- Up to 25% contributed growth to actual revenue
- 5–7% increase in market share
- Up to 65% increased efficiency due to automation
Conclusion
Through a tailored approach focused on data analytics and strategic insights, Polestar Solutions successfully empowered the alcoholic beverage giant to overcome pricing challenges, optimize revenue management, and enhance its competitive advantage in the global market landscape.
Also Read: Demand Planning Decoded | CPG and Retail Industry
