We all know the feeling when you want those sneakers so bad you keep checking different websites for the best price. But it seems that they all decide to change the price at the same time. How do they do it? Do e-commerce companies have a secret agreement and email each other as soon as someone decides to raise the price?
Well, not really. But they all have rotating proxies, and they all monitor each other’s businesses. How? Why? What are proxies? How do they rotate? …
Consumers who have ever purchased plane tickets, booked hotel rooms or used taxi services have experienced dynamic pricing. Adjusting prices based on market demands is not a new concept, but it is more relevant than ever.
Not that long ago, dynamic pricing was based on past sales data. Market demands were forecasted by analyzing seasonal and cyclical trends. Today, dynamic pricing involves more sophisticated procedures, such as large-scale data gathering and analysis.
In a broader sense, dynamic pricing is part of pricing intelligence: a process where businesses gather and process data to adjust pricing strategies and grow profit.
In this article, you will find out what dynamic pricing is and its main strategies. You will also learn more about the process of acquiring data to optimize pricing strategies and drive growth in profits. …