Dynamic or predictive pricing allows retailers to adjust prices fast to shift with changing consumer demands.Dynamic pricing, where businesses set flexible prices for products or services based on current market demands, is becoming more popular for retailers as they adjust to changing consumer habits amid the pandemic.
That means the right price is pivotal, and retailers must ramp up their strategies to accurately predict consumer demand and entice shoppers to open their pocketbooks with attractive prices that still allow them to remain profitable. Pricing, of course, has long been critical for retail merchandising to drive demand and inventory sell-through and boost profits. Getting pricing right has become even more essential as digital transformation increases competition and complexity, drives new business models, and offers consumers massive choices with a simple mouse click.