Deliver consistent experience with a channel-specific pricing model
Modern customers expect a seamless experience no matter what channels they use to engage with retailers. In fact, the shopping journey can start online but continue in-store or vice versa. With an omnichannel pricing engine, you can ensure a frictionless customer experience with high performance and reliability, all enhanced by AI-powered personalization.
Calculate the total order value in milliseconds
High performance is crucial at all stages of the digital customer experience. It is especially important for shopping cart and checkout functionality to ensure high conversion rates. Complex pricing scenarios and complicated business rules for offers and promotions, augmented by personalization and AI, can slow down the calculation of the total order value. Our unique caching and data architecture ensures millisecond latency even for catalogs of millions of products and billions of prices.
Configure omnichannel pricing, offers, and promotions in one portal
When it comes to offers, promotions, and pricing strategy, omnichannel functionality doesn’t imply providing the same pricing across channels. While a product may be selling for a regular price online, merchandisers may decide to offer a discount in a particular region or store or provide personalized offers to specific customers. The benefits of a unified pricing engine include a single portal where the business team can manage offers and promotions across channels based on inventory availability, customer segmentation, historical sales data, competitor pricing analysis, real-time market trends, and other factors.
Don’t leave money on the table
While a typical promotion’s goal is to increase conversion, retailers can often leave money on the table by offering deeper than necessary discounts. With millions of products in the catalog and billions of price points across all channels, there are plenty of reasons why over-discounting can occur: from promotions that are too coarse-grained to overlapping promotions that are difficult to track. Our AI-powered solutions for price optimization and promotion planning address the issues inherent in traditional setups by augmenting merchandisers’ decision-making processes and providing recommendations to maximize both conversion and profit.
Boost conversion and raise profits
In the dynamic environment of modern shopping, pre-planned promotions and offers don’t always achieve the best results. With our AI solution, customers receive personalized offers at the point they are about to make a buying decision, maximizing conversion and business impact. At the same time, merchandisers can set up boundaries and optimization goals, ensuring that the AI’s offers stay within budget and prioritize conversions of profits depending on what’s important for the retailer at that point in time.
HYBRID CLOUD DEPLOYMENT
Deploy in the cloud and at the edge
Not all retailers can afford centralized cloud deployment of the real-time pricing engine. Stores in remote locations or stores with unreliable access to the internet may require a local deployment copy of the pricing engine to ensure high performance and reliability. Our unified commerce architecture, hybrid cloud technology stack, and efficient data synchronization ensure truly omnichannel deployment in the cloud or brick-and-mortar store locations.
How does our pricing engine work?
For the last 10 years, we have been helping Fortune-1000 retailers, brands, and CPG companies modernize their pricing engines and achieve a unified commerce experience. The real-time pricing offers and promotions engine architecture includes the core operational engine that can do complex calculations of the total order value in milliseconds. It provides a merchandising portal to manage promotions and offers with flexible business rules by category or attribute of a product or SKU, and includes a predictive analytics algorithmic platform to augment merchandising decisions and provide real-time offers functionality.
The platform follows a microservices architecture to enable high speed of innovation and composable commerce best practices to integrate with any modern digital customer experience platform. It can be deployed in the cloud and in stores to ensure a high-performance calculation of the total order value even if the store’s internet connection is slow or unavailable. To ensure millisecond latency and data quality, we designed an innovative data architecture, caching strategy, and self-correcting data synchronization algorithms.
The pricing engine includes AI-powered promotion planning and real-time offers functionality to maximize conversion and profit while avoiding over-discounting and helping to ensure retailers don’t leave money on the table. It ultimately reduces the manual work merchandisers have to do, increases the quality of decisions, and lets teams focus on business goals instead of fine-grained pricing and promotions, while still leaving room for overriding any decision if necessary.
How to build a pricing engine for unified commerce offers and promotions
In this article, we describe the features of a modern omnichannel pricing, offers, and promotions engine. We present a reference architecture to build the engine that satisfies unified commerce best practices and can be deployed in the cloud or at the edge in stores. We then delve into more advanced functionalities and how pricing can be optimized using AI.
Unified commerce: making the most of a true omnichannel experience
This article focuses on the big picture and presents a comprehensive omnichannel commerce architecture and approach. It outlines the importance of the unified commerce platform for both customers and business users, challenges with separate point-of-sale and online platforms, and discusses the technology strategy needed to build a unified, but composable commerce platform.
Predictive analytics for promotion and price optimization
This article describes a reference implementation of a price and revenue management tool that showcases the main capabilities of AI-based price optimization software and features several advanced techniques. We start with a strategic vision of a price analytics solution, then build a demand model, and finally develop a fully automated optimization application.
Accelerate your pricing engine implementation
We provide flexible engagement options to design and build omnichannel pricing, offers, and promotions engines augmented with innovative AI capabilities. Clients can take advantage of our starter kits to increase their speed to insights and reduce risks. Contact us today to start with a workshop, discovery, or PoC.
We offer free half-day workshops with our top experts in pricing, offers, and promotions to discuss your stream processing strategy, challenges, optimization opportunities, and industry best practices.
Proof of concept
If you’ve already identified a specific use case for pricing, offers, and promotions capabilities, we can start with a 4–8 week proof-of-concept project to deliver tangible results for your company.
If you’re in the early stages of modernizing pricing engines or implementing AI capabilities, we can start with a 2–3 week discovery phase to perform gap analysis, design your solution, and build an implementation roadmap.
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