retail product pricing solutions - gps hand outs for nrf 2015

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PROVIDING DIRECTION For a consultation MORE INFORMATION (617) 957-9423 [email protected] Andover MA,01810 www.GlobalPricingSolutions.com PRICE TRAX SCAN – Statistical Competitive Analysis PriceTrax & SCAN The Statistical Competitive Analysis tool provides both product and process for a detailed Comp Shop analysis. Using Text Analytics, price, inventory, image and product attributes, PriceTrax gives you improved pricing decisions and an advantage over your competitors. Benefits of Implementing a Competitive Analysis Process Reduced manual efforts Determine competitive threat Systemic, consistent process Determine the optimal price Evaluate price sensitivity Select the right products for future pricing & promotions Price Trax SCAN Full Lifecycle Pricing Subscription Based Pricing Markdown Optimization We Offer LOW COST SMALL-IT FOOTPRINT Solutions Preliminary steps Global Pricing Solutions takes to establishing your competitive strategy: 1. Determine the KVI and image items for analysis. 2. Build, modify customize process to collect “scrape” competitor prices 3. Calculate the current competitive price indices for each combination of item role group / category / competitor 4. Determine the target competitive price indices for each combination based on category role and desired market position 5. Implement rules based solvers to determine optimal prices for products based on defined competitive strategy 6. Establish process to monitor and react to competitive price changes GPS Global Pricing Solutions

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Page 1: Retail Product Pricing Solutions - GPS Hand Outs for NRF 2015

PROVIDING DIRECTION

For a consultationMORE INFORMATION

(617) 957-9423

[email protected] MA,01810

www.GlobalPricingSolutions.com

PRICE TRAXSCAN – Statistical Competitive Analysis

PriceTrax & SCAN – The Statistical Competitive Analysis toolprovides both product and process for a detailed Comp Shopanalysis. Using Text Analytics, price, inventory, image and productattributes, PriceTrax gives you improved pricing decisions and anadvantage over your competitors.

Benefits of Implementing a

Competitive Analysis Process

Reduced manual efforts

Determine competitive threat

Systemic, consistent process

Determine the optimal price

Evaluate price sensitivity

Select the right products for

future pricing & promotions

Price TraxSCAN

Full Lifecycle Pricing

Subscription Based Pricing

MarkdownOptimization

We Offer

LOW COSTSMALL-IT

FOOTPRINTSolutions

Preliminary steps Global Pricing Solutions takes to establishing your competitive strategy:

1. Determine the KVI and image items for analysis.

2. Build, modify customize process to collect “scrape” competitor prices

3. Calculate the current competitive price indices for each combination of item

role group / category / competitor

4. Determine the target competitive price indices for each combination based

on category role and desired market position

5. Implement rules based solvers to determine optimal prices for products

based on defined competitive strategy

6. Establish process to monitor and react to competitive price changes

GPSGlobalPricing

Solutions

Page 2: Retail Product Pricing Solutions - GPS Hand Outs for NRF 2015

PROVIDING DIRECTION

www.GlobalPricingSolutions.com

PRICE TRAXSCAN – Statistical Competitive Analysis

We offer a Low-Cost /

Small IT Footprint

analytical solution that

helps companies

maximize profitability

with the help of

mathematics, statistical

analysis, competitive

data, market level data

and experienced industry

strategy consultants.

GPS will design and deliver a CustomAnalytix Dashboard that isspecifically created for your business needs.

Custom level attributing allows for pinpoint accuracy in determiningcompetitive landscape and price elasticity.

SCAN – Statistical Competitive Analysis allows insight to yourcompetitive position and improved pricing decisions.

CustomAnalytixDashboard

Specific to yourbusiness needs

Key Features:

Web Scraping

Statistical Analysis

Comp Shop Data

Custom Dashboard

GPSGlobalPricing

Solutions

Global Pricing Solutions (GPS) designs, develops, and deploys world-

class enterprise pricing and analytic insight solutions for the retail, grocery

and specialty market. Using scientific methodologies and advanced

analytics. We enable Retailers, Grocers and Specialty Shops around the

world to stay competitive in an ever changing market.

Our customers achieve reliable results, profitable growth, and a

sustainable competitive advantage. We build lasting relationships through

exceptional personal service and continuously invest in our team and

partners to improve our applications and value proposition.

For a consultationMORE INFORMATION

(617) 957-9423

[email protected] MA,01810

Page 3: Retail Product Pricing Solutions - GPS Hand Outs for NRF 2015

RIGHT PRICEfor your

SUBSCRIPTIONPRICING

PROVIDING DIRECTION

www.GlobalPricingSolutions.com

DOOR TO DOOR PRICINGSubscription Based Pricing Solution

Your customers’ needs are changing, they are looking for simplesolutions to their consistent staple needs. Your customers are lookingfor or turning to direct delivery by subscription for their staple goods.

Global Pricing Solutions has developed a D2D – Door to Doorsubscription based pricing model to help your company navigate thenew center store. Subscription based pricing calculated on the itemlevel, and identify optimal candidates for subscription offering.

Price TraxSCAN

Full Lifecycle Pricing

Subscription Based Pricing

MarkdownOptimization

We Offer

LOW COSTSMALL-IT

FOOTPRINTSolutions

GPSGlobalPricing

Solutions

Center Store

Direct to the Customer

Customized algorithm to

determine optimal price

for specific offering

depending on customer purchasing behavior

Subscription Based Pricing Model for Optimal Customer Experience

1. Determine most favorable product mix or subscription based offering

2. Build, modify customize process to collect “scrape” competitor prices

3. Calculate the current competitive price indices for each combination of

item role group / category / competitor

4. Determine the target competitive price indices for each combination

based on category role and desired market position

5. Implement rules based solvers to determine optimal prices for

products based on defined competitive strategy

6. Establish process to monitor and react to competitive price changes

Benefits of Implementing a

Subscription Based Model

Customer Loyalty

Significantly Improve Planning

Improve Vendor Trade Relations

Determine the optimal price

Reduce Inventory Overhead

Select the right products for

customer subscription models

For a consultationMORE INFORMATION

(617) 957-9423

[email protected] MA,01810

Page 4: Retail Product Pricing Solutions - GPS Hand Outs for NRF 2015

Global Pricing Solutions (GPS) designs, develops, and deploys world-

class enterprise pricing and analytic insight solutions for the retail, grocery

and specialty market. Using scientific methodologies and advanced

analytics. We enable Retailers, Grocers and Specialty Shops around the

world to stay competitive in an ever changing consumer centric market.

Our customers achieve reliable results, profitable growth, and a

sustainable competitive advantage. We build lasting relationships through

exceptional personal service and continuously invest in our team and

partners to improve our applications and value proposition.

PROVIDING DIRECTION

www.GlobalPricingSolutions.com

DOOR TO DOOR PRICINGSubscription Based Pricing Solution

We offer a Low-Cost /

Small IT Footprint

analytical solution that

helps companies

maximize profitability

with the help of

mathematics, statistical

analysis, competitive

data, market level data

and experienced industry

strategy consultants.

Key Features:

Improve Customer Loyalty

Significantly Improve Planning

Improve Vendor Trade Relations

Reduce Inventory Overhead

GPSGlobalPricing

Solutions

For a consultationMORE INFORMATION

(617) 957-9423

[email protected] MA,01810

Subscription Based Shopping is changing the way we shop. Rather than

purchasing regularly consumed products on every trips, Shoppers are

now looking to adopt a subscription based model for ease and value.

Global Pricing Solutions D2D (Door to Door) Pricing Model identifies the

products and customer that have the highest propensity for adoption.

Retailers can now take advantage of this innovative way of shopping to

offer their customers a reliable and affordable way of shopping.

By identifying what products and what customers will have the highest

propensity for adoption Retailers and Consumers will significantly

benefit from this type of model is several ways:

Retailers: Improved Planning Reduce Inventory OverheadImprove Customer LoyaltyImprove Vendor Trade

Consumer: Convenience Lock in Best PriceReliability Satisfaction

Page 5: Retail Product Pricing Solutions - GPS Hand Outs for NRF 2015

PROVIDING DIRECTION

www.GlobalPricingSolutions.com

FULL LIFE CYCLE PRICINGMerchandise Planning, Pricing & Optimization

Merchandise planning, pricing and optimization.Price TraxSCAN

Full Lifecycle Pricing

Subscription Based Pricing

MarkdownOptimization

We Offer

LOW COSTSMALL-IT

FOOTPRINTSolutions

GPSGlobalPricing

Solutions

PromotionalPrice & Effectiveness

Analyze. Optimize. Realize.

For a consultationMORE INFORMATION

(617) 957-9423

[email protected] MA,01810

Improved pricing decisions to

increase revenue, profits, margin and customer loyalty

Leverages point of sale data to determine price elasticity

Visibility of how a change in price impacts unit sales

Accounts for causal factors such as promotion, seasonality, holidays,

cannibalization, affinity

Integrates retailer’s business rules, constraints and pricing strategy

with product elasticity

Enhances retailer’s business processes

By Combining the ‘Art’ of Merchandising

with the ‘Science’ of Analytics. GPS uses

Advanced Analytics and Consumer

Demand Modeling for Optimal Benefits.

Determines Optimal Prices at any level of

the Merchandise/Location Hierarchy.

Adheres to Company Goals and Objectives

Price Sensitivity and Consumer behavior

‘What If’ functionality provides insight to key financial metrics

Customer Segmentation

Zone and Cluster Pricing

Page 6: Retail Product Pricing Solutions - GPS Hand Outs for NRF 2015

Global Pricing Solutions (GPS) designs, develops, and deploys world-

class enterprise pricing and analytic insight solutions for the retail, grocery

and specialty market. Using scientific methodologies and advanced

analytics. We enable Retailers, Grocers and Specialty Shops around the

world to stay competitive in an ever changing market.

Our customers achieve reliable results, profitable growth, and a

sustainable competitive advantage. We build lasting relationships through

exceptional personal service and continuously invest in our team and

partners to improve our applications and value proposition.

PROVIDING DIRECTION

www.GlobalPricingSolutions.com

FULL LIFE CYCLE PRICINGMerchandise Planning, Pricing & Optimization

We offer a Low-Cost /

Small IT Footprint

analytical solution that

helps companies

maximize profitability

with the help of

mathematics, statistical

analysis, competitive

data, market level data

and experienced industry

strategy consultants.

Key Features:

Everyday Price

Promotional Price

Markdown Price

Dynamic Pricing

GPSGlobalPricing

Solutions

Our Full Life-Cycle Pricing

solution takes the guessing out

of the equation. By using our

Advanced Analytics and

Consumer Demand Modeling our

Price Optimization Solutions will

ensure you have..

The Right Price!

For a consultationMORE INFORMATION

(617) 957-9423

[email protected] MA,01810

Page 7: Retail Product Pricing Solutions - GPS Hand Outs for NRF 2015

PROVIDING DIRECTIONGPSGlobal

PricingSolutions

www.GlobalPricingSolutions.com

MARKDOWN OPTIMIZATIONClearance and Markdown Pricing

- Price Elasticity of the product being marked down

- Stage of the Product’s Life Cycle

- Existing Inventory, Salvage Price, Sell by Date

- End of Life Forecasting; Diminishing Demand

Price TraxSCAN

Full Lifecycle Pricing

Subscription Based Pricing

MarkdownOptimization

We Offer

LOW COSTSMALL-IT

FOOTPRINTSolutions

Benefits of Implementing Markdown Optimization

Maximize profits through Optimal Markdown Plan

Select a Sell by Date based on other factors and price accordingly

Follow Product Life Cycle Pricing to maximize overall profit

Minimize stock left over by controlling the sell through quantity

Maximize shelf space by liquidating inventory when appropriate

Avoid steep discounts on items that can sell through at a higher price

Global Pricing Solutions offers a Markdown optimization solutionwhich will maximize sell-through on products marked for clearancefor maximum profits. The markdown schedule will be generatedreflecting a variety of key product factors including;

Additionally, the scope of the tool enables you to modify thesuggested Markdown Schedule as well as to select candidates forMarkdown manually.

Clearance and Markdown Pricing

For a consultationMORE INFORMATION

(617) 957-9423

[email protected] MA,01810

Page 8: Retail Product Pricing Solutions - GPS Hand Outs for NRF 2015

PROVIDING DIRECTION

www.GlobalPricingSolutions.com

MARKDOWN OPTIMIZATIONClearance and Markdown Pricing

We offer a Low-Cost /

Small IT Footprint

analytical solution that

helps companies

maximize profitability

with the help of

mathematics, statistical

analysis, competitive

data, market level data

and experienced industry

strategy consultants.

Key Features:

Improve Sell-Thru

Maximize GM $

Optimal Profits

GPSGlobalPricing

Solutions

Metrics Benefits

Sales Dollars Strong Increase

Conversation Rate Strong Increase

Profit Dollars Strong Increase

Gross Margin % 5-15% Improvement

Sell Through 10-15% Improvement

Inventory Turns 10-15% Improvement

Competitive Price Index Very Competitive

Sales Volume Very Strong

Customer Satisfaction Very Strong

TCO Very Low

ROI Very High (2-10x)

Global Pricing Solutions (GPS) designs, develops, and deploys world-

class enterprise pricing and analytic insight solutions for the retail, grocery

and specialty market. Using scientific methodologies and advanced

analytics. We enable Retailers, Grocers and Specialty Shops around the

world to stay competitive in an ever changing market.

Our customers achieve reliable results, profitable growth, and a

sustainable competitive advantage. We build lasting relationships through

exceptional personal service and continuously invest in our team and

partners to improve our applications and value proposition.

Global Pricing Solutions’ provides markdown optimization solutions for

calculating and executing Markdown schedules for optimal profitability,

markdown recommendations at the Item/Zone/Channel level, and

rules based guidelines maximize the markdown schedule.

For a consultationMORE INFORMATION

(617) 957-9423

[email protected] MA,01810