Flexibility in Pricing Strategies: Aligning Online and Offline Prices
MediaMarktSaturn was facing the need to align prices online and offline, but syncing its online and offline prices was impossible to execute with the company’s legacy system. Prices had to be set manually by category managers, which was incredibly labor-intensive and error-prone, and the Group had resigned itself to offering different prices through each channel. In this increasingly omnichannel world, however, where physical purchases are researched online, and online purchases are triggered in-store, any disparity between the two erodes customer loyalty and trust. Customers demand homogenized pricing and a seamless shopping experience whenever and wherever they get out their wallets. Pricefx was committed to delivering this level of continuity for MediaMarktSaturn’s customers.
Match Making: Bringing MediaMarktSaturn’s Prices in Line with its Rivals
Operating on such a large scale means thousands of competitors for MediaMarktSaturn, each with their own set of prices and pricing strategies. To remain competitive, MediaMarktSaturn needed a way to monitor the prices of its rivals. The Group could then decide to match the prices, undercut them, or initiate any number of strategies that would give them the best chance of achieving a sale with the highest margin. With one million SKUs, however, price monitoring was impossible for any more than the most limited number of products, and certainly not enough to stay ahead of the market.
MediaMarktSaturn well understands the importance of experimentation in the formulation of optimal pricing models. Still, its legacy software could not handle the degree of trial-and-error required to produce meaningful results at scale. The company wanted the capacity to run experiments that could continuously inform strategy and bolster its bottom line with every single transaction.