Econsultancy notice how dynamic pricing is a pricing strategy, in which prices change in response to real-time supply and demand. Dynamic pricing allows retailers to remain competitive with 24/7 price monitoring and changes, boosting profits by 25% on average.
Pricing intelligence software has already caught on, as 22% of retailers have chosen to implement it. An additional 7% plan to start using it within the next six months and 36% in the next year. Amazon, one of the largest retailers that uses dynamic pricing, changes its prices every 10 minutes on average. The company saw a 27.2% increase in sales from 2012 to 2013 and generated over $44 billion in sales, just last year.
The question remains - how does one start to weave dynamic pricing into existing pricing strategies? Here are the top dynamic pricing tactics: