The DataWeave Blog

Tag: pricing

Amazon Prime Day Pricing Trends 2024: Deals and Discounts Galore Across Categories

Amazon Prime Day 2024 has once again shattered records, with more items sold during the two-day event than any previous Prime Day. Prime members worldwide saved billions across all categories, while independent sellers moved an impressive 200 million items.

At DataWeave, we conducted an extensive analysis of the discounts offered by Amazon across major categories. By examining over 47,000 SKUs, we’ve uncovered compelling insights into pricing strategies, competitive positioning, and emerging trends in the eCommerce space.

Since products on Amazon and other eCommerce websites are often sold at discounts even on normal days not linked to a sale event, we delved into the real value that Prime Day offers to shoppers by focusing on price reductions or the Additional Discount during the sale compared to the week before. As a result, our approach highlights the genuine benefits of the event for shoppers who count on lower prices during the sale. At the same time, our report also includes the Absolute Discounts offered during Prime Day, which represents the total markdown relative to the MSRP.

Amazon’s Cross-Category Discount Strategy

Our analysis reveals that the Electronics category saw the highest discounts with an average absolute discount of 20.4% and additional discounts on Prime Day amounting to 10.4%. Meanwhile the Home & Furniture had the lowest discount at 13.1%.

The Health & Beauty category saw significant additional discounts during Prime Day, at 9.26%. The Apparel category offered attractive absolute (16.10%) and additional (8.90%) discounts.

Category Deep Dive

Consumer Electronics

Still the star of the show, the electronics category saw the highest markdowns this Prime Day with absolute discounts at 20.40% and across 14.61% of their inventory.

Across Electronics subcategories, Earbuds had the highest markdowns at 34.80%, followed closely by Wireless Headphones at 30.60% and Headphones at 29.00%, with steep additional discounts during Prime Day as well. Apple AirPods Pro, for example, retailed at $168 (down from $249) at a 32% discount.

Meanwhile, smartphones had the lowest markdowns at 9.30%, followed by Laptops at 10.50%. Laptops also had the lowest additional discount during Prime Day at just 1.28%, significantly lower than other subcategories. Speakers (20.80%), Drones (19.10%), and Smartwatches (25.00%) offered moderate to high markdowns.

Notably, all Amazon products including Kindle, Echo, Echo Earbuds, Alexa, Fire TV, Fire TV Stick, and Fire Tablets, were aggressively discounted upwards of 30% this Prime Day. These products also came with the label “Climate Pledge Friendly.”

These aspects indicate Amazon’s push to promote its own ecosystem of products to the top, as well as cater to changing consumer preferences.

Apparel

Discounts offered this Prime Day increased from 13.2% in 2023 to 16.1% in 2024.

Amid apparel subcategories, Amazon appears to be pushing Women’s apparel categories more aggressively, particularly in Tops, Shoes, and Athleisure.

Women’s Shoes lead with the highest discounts at 26.50%, followed by Women’s Tops at 22.50% and Men’s Shoes at 22.80%. Women’s Tops also maintained the highest additional discount at 15.27%, followed by Women’s Athleisure at 13.03% and Men’s Swimwear at 12.44%.

Similar to 2023, Men’s Innerwear offered significantly lower discounts, with only 1% absolute discount and 0.72% additional discount. Women’s Innerwear also shows low discounts at 3.20% absolute and 2.23% additional.

Health & Beauty

Amid health & beauty subcategories, Moisturizes witnessed the highest markdowns at 20.10%, followed by Make Up at 18.90%. The Moisturizer subcategory also offers highest additional discounts at 12.20%, followed closely by Sunscreen at 10.25% and Beard Care at 10.22%.

The Toothpaste subcategory has the lowest discounts, at 10.90%. The lower discounts on everyday essentials like this might indicate a steady demand or an attempt to maintain margins on frequently purchased items.

Most Health & Beauty subcategories fall in the 15-18% range for actual discounts and 8-10% range for additional discounts. Electric Toothbrush (16.90% actual, 9.91% additional) and Shampoo (16.50% actual, 8.78% additional) represent the middle of the pack. There were a few highly attractive deals though, such as the Philips Sonicare toothbrush retailing at $122.96 (down from $199.99), with a 39% discount.

Amazon also offered significant discounts on Open Box products (products that are returned, but unused, out of mint condition boxes) to Prime members.

Home & Furniture

This category saw the lowest discounts for this Prime Day event at 13.1%. Across subcategories, Rugs lead with the highest average discount at 21.50%, closely followed by Luggage at 20.90%. Amazon seems to be pushing decorative and organizational items (Rugs, Bookcases) more aggressively, possibly due to higher margins. Rugs also stood out as the subcategory with the highest additional discount of 11.54%.

Sofas have the lowest additional discount at 2.76%, followed by Dining Tables at 3.21%. Items like Cabinets (15.80% absolute, 6.66% additional) and Coffee Tables (14.40% absolute, 6.25% additional) represent the middle range of discounts.

Watch Out For More

As the holiday season approaches, it’s clear that the retail landscape continues to evolve. While Amazon remains a formidable force, there are opportunities for savvy competitors to carve out their niches and attract deal-hungry shoppers. By analyzing these trends and adjusting strategies accordingly, retailers can position themselves for success in the high-stakes world of summer sales events.

Stay tuned to our blog for more insights on how Amazon’s competitors reacted to Prime Day, and how leading brands across categories fared in terms of their pricing and their visibility during the sale event. Reach out to us today to learn more.

July 20, 2024
Cracking the Code: How Retailers Can Adapt to Plummeting Egg Prices in 2024
Virtually every cuisine in the world uses eggs. They’re in your breakfast, lunch, dinner, and dessert — which is perhaps why the global egg market is expected to generate $130.70 billion in revenue in 2024 and is projected to grow to approximately $193.56 billion by 2029.

More specifically, the United States is the fourth-largest egg producer worldwide. The country’s egg market is projected to generate $15.75 billion in 2024 and increase to $22.51 billion by 2029.

This growth is driven by several factors, most notably:
- Health-consciousness among consumers: Consumers value eggs for their essential nutrients and rich protein content.
- Demand for convenience foods: Consumers’ preferences are shifting toward quick and easy foods, which drives demand for shell eggs and pre-packaged boiled or scrambled eggs.
- Population Growth: A growing worldwide population increases the demand for eggs.
- Affordability and accessibility: Eggs are an affordable and accessible nutrient-dense food source for many.
Despite these factors contributing to the U.S. egg market’s growth, recent times have seen egg prices fall dramatically.

Based on a sample of 450 SKUs, DataWeave discovered that egg prices in the U.S. fell by 6.7% between April 2023 and April 2024, dipping to its lowest (-12.6%) in December 2023.

So, what’s causing the decrease in egg prices?

The Rise and Fall of Egg Prices: A Recent History

In 2022, avian influenza severely impacted the United States. The disease affected wild birds in nearly every state and devastated commercial flocks in approximately half of the country.

The 2022 incident was the first major outbreak since 2015 and led to the culling of more than 52.6 million birds, mainly poultry, to prevent the disease from spreading uncontrollably.

With almost 12 million fewer egg-laying hens, the United States produced around 109.5 billion eggs in 2022 — a drop of nearly two billion from the previous year.

Consequently, the cost of eggs soared, peaking at $4.82 a dozen — more than double the price of eggs in the previous year.

The avian flu continues to affect egg-laying hens and other poultry birds across the United States. As of April 2024, farms have killed a total of 85 million poultry birds in an attempt to contain the disease.

Despite the disease’s effects, production facilities have made significant efforts to repopulate flocks, leading to a steady increase in supply – and a much anticipated decrease in egg prices.

According to the U.S. Bureau of Labor Statistics, there was an increase in producer egg prices in 2022, reaching a peak in November 2022, at which point they began to fall.

Retailer’s egg prices followed suit. The egg price chart below depicts retailers’ declining egg prices over one year, from April 2023 to April 2024, with Giant Eagle showing the most significant price reductions and Walmart the least.

What Does the Future Hold for Egg Prices?

The USDA reported recent severe avian flu outbreaks in June 2024. These outbreaks are estimated to have affected 6.23 million birds.

With a reduction in egg-laying hens, egg prices are likely to increase — time will tell.

Nonetheless, the annual per capita consumption of eggs in the U.S. is projected to reach 284.4 per person in 2024 from 281.3 per person in 2023. So for now, producers and retailers can rest assured of the growing demand for eggs.

How Can Retailers Adapt to the Unpredictability of Egg Prices?

Egg prices were down to $2.69 for a dozen in May 2024. However, they are still significantly higher than consumers were used to just a few years ago—eggs were, on average, $1.46 a dozen in early 2020.

Additionally, while the avian flu puts pressure on producers, inflation and supply chain disruptions exert pressure on retailers.

With such challenging egg market conditions, what can retailers do to maintain customer loyalty amid reduced consumer spending while maintaining profitability?

1. Give the Customer What They Want: Increase Offerings of Organic, Cage-Free, and Free-Range Eggs

As mentioned, Data Bridge Market Research’s trends and forecast report highlighted a significant increase in consumer health consciousness. Additionally, animal welfare increasingly influences consumers’ purchasing decisions when buying meat and dairy products.

DataWeave data shows that the prices of organic, cage-free, and free-range eggs—such as those by brands like Happy Eggs and Marketside—have fallen less than those of non-organic, caged egg brands.

2. Increase Private-Label Offerings

Private labels typically offer retailers higher margins than national brands. These margins can shield consumers from sudden wholesale egg price swings, helping to preserve brand trust and consumer loyalty without sacrificing profitability.

Moreover, eggs are particularly suited to private labeling, given their uniform appearance and taste and the lack of product innovation opportunities.

Undoubtedly, this is why sales of private-label eggs dwarf sales of national egg brands in the United States. Statista reports that across three months in 2024, private label egg sales amounted to $1.55 billion U.S. dollars, while the combined sales of the top nine national egg brands totaled just $617.88 million U.S. dollars.

3. Price Intelligently

With the current and predicted fluctuations in egg prices over the foreseeable future, price competitiveness is paramount to margin management and customer loyalty.

This is especially true when lower prices are the primary factor influencing the average consumer’s choice of supermarket for daily essentials purchases.

AI-driven pricing intelligence tools like DataWeave give retailers valuable highly granular and reliable insights on competitor pricing and market dynamics. In today’s data-motivated environment, these insights are necessary for competitiveness and profitability.

Final Thoughts

Egg prices have fluctuated significantly due to the impact of avian flu. Despite recent price drops, future egg price increases are possible due to ongoing outbreaks. Retailers should adapt to unstable egg prices by increasing organic, free-range, cage-free, and private-label egg offerings while leveraging AI-driven pricing tools to maintain margins and customer loyalty.

Speak to us today to learn more!
July 18, 2024
5 Must-Have Capabilities of Your Ideal Competitive Pricing Intelligence Solution

In the cutthroat world of retail, where razor-thin margins and fierce competition reign supreme, pricing becomes your secret weapon to driving sales. The magic bullet unlocks sales, attracts customers, and ultimately fuels your bottom line. But with ever-changing market trends and competitor tactics shifting constantly, effective pricing strategies become even more crucial.

A recent Bain & Company study highlights this very point. 78% of respondents acknowledged that their pricing decisions could be improved, leaving significant revenue untapped. John Furner, President and CEO of Kroger, echoes this sentiment. In a press release announcing a new pricing strategy, he emphasized their commitment to “providing our customers with predictable, affordable prices on the products they need most.” This focus on transparent and consistent pricing reflects the growing importance of building trust with customers, where value goes beyond just the lowest price tag.

The right pricing strategy can unlock a treasure trove of benefits for retailers, including attracting new customers, boosting sales, and ultimately increasing their bottom line.

But here’s the challenge: keeping pace with market trends and competitor strategies requires constant vigilance. This is where an advanced, user-centric pricing intelligence tool comes into play. Retailers need a platform specifically designed to address their unique challenges. It should empower them to protect margins, create a seamless pricing process, and attract and retain price-sensitive customers. To help you navigate this landscape, we’ve identified the must-have capabilities of a pricing intelligence solution that will transform your pricing strategy and propel your business toward long-term success.

1. Reliable and Accurate Data Collection

Retailers need a competitive intelligence solution that goes beyond merely capturing information en masse from competitor sites. An ideal solution ensures that data is consistent, extensive, and highly accurate, with an added level of granularity. This is achieved through statistical process control methods for data quality assurance, enabling highly accurate data capture and processing.

Such a platform should be capable of scraping data from various sources, including desktop sites, mobile sites, and mobile applications, as well as a variety of online platforms: aggregators, omnichannel retailers, delivery intermediaries, quick commerce platforms, D2C sites, and more. This versatility ensures that data is captured across any global region and in dozens of languages, making the system geography and language agnostic.

DataWeave’s solution includes a fast and automated data source configuration system, enabling a swift setup of new web sources for data capture. This capability ensures that retailers can stay ahead of the curve as the market landscape and competitor strategies evolve.

An effective competitive pricing intelligence solution allows retailers to move away from working with incomplete or inaccurate data and instead leverage a comprehensive information stream to create strategic pricing decisions and optimize their overall business strategy. At the end of the day, the insights you base your decisions on are only as good as the data you aggregate. Even with the world’s best analytics engine, it’s always a case of “garbage in, garbage out.”

2. Hyperlocal Insights From Store-Level Data

Monitoring pricing and availability across specific stores is crucial for retailers to gain critical insights into a vast network of locations, enabling them to make strategic decisions that enhance pricing strategies and supply chain effectiveness, thereby minimizing stockouts or pricing inefficiencies in key markets. A platform like DataWeave provides retailers with a comprehensive view of store-level data across ZIP codes, maintaining a hyperlocal competitive strategy. It offers detailed visibility into product availability, highlighting out-of-stock scenarios across different competitors. This capability is invaluable, allowing quick identification of price improvement opportunities and providing retailers with a bird’s eye view of where products can be priced higher than usual to gain margins.

The system operates at configurable intervals—daily, weekly, or monthly—enabling retailers to keep a vigilant eye on pricing, product availability, and delivery timelines based on the selected fulfillment option. Unlike many other providers who offer limited insights from a sample of stores, this solution delivers exhaustive analytics from every storefront. This comprehensive approach grants retailers (and brands) a strategic edge, facilitating efficient inventory tracking, precise pricing adjustments, and rapid responses to fluctuating market dynamics.

3. Sophisticated, AI-Powered Product Matching

A solution that matches products accurately at scale is essential for a robust and reliable competitive pricing strategy. Advanced platforms use unified systems for both text and image recognition to accurately match similar SKUs across thousands of eCommerce stores and millions of products. Deep learning architecture is employed to develop unique AI that matches text and images, grouping similar products based on their features, ensuring accurate matches even for private label products.

This AI identifies critical elements of products in images, such as focusing on the top half of a model wearing a shirt, the sleeve length, the color of the product, etc.. Deep learning models, trained on extensive datasets of images, enhance these images by removing irrelevant background details and improving the quality of the core product image. Innovative AI then extracts unique signatures from the photos, allowing for quick and efficient identification and grouping of products across billions of indexed items.

No matter how powerful the AI, combining it with human expertise is key to achieving true data veracity—ensuring accuracy, freshness, and comprehensive coverage required for reliable product matching. A human-in-the-loop approach elevates the AI-powered product matching process by addressing key challenges. AI algorithms may initially identify product matches with 80-90% accuracy, but human validation corrects errors, pushing accuracy closer to 100%. Humans apply contextual judgment for subjective criteria like aesthetics and design, making nuanced decisions that quantitative rules might miss. Continuous learning through an iterative feedback loop allows AI models to quickly adapt to changing trends and preferences as human experts provide context and re-label incorrect predictions. By integrating AI’s automation and scale with human validation, judgment, and knowledge curation, pricing intelligence solutions can achieve the accuracy and coverage necessary for actionable competitive pricing insights.

This approach results in retailers being able to match products and compare prices between identical products, similar products, and private label brands.

4. Unit of Measure Normalization

Effective product matching and grouping are crucial for maintaining competitive pricing, but this requires a tech stack that can normalize units of measure across various sites. For example, a 10.75oz can of chicken noodle soup priced at $3 may seem cheaper than a 12.90oz can priced at $3.20, but this isn’t always the case. Initially, the larger package might appear more expensive, but when prices are compared based on the same unit amount, it often offers better value. Therefore, it is essential for retailers to standardize units to accurately compare prices. Advanced technology goes beyond simply matching products; it ensures accurate comparisons by normalizing unit measurements, including weight, quantity, and volume—crucial factors for establishing a clear pricing picture across competitors.

Imagine comparing soup prices regardless of whether they are advertised in ounces, milliliters, or liters. By normalizing unit measurements, retailers can develop tailored pricing strategies on a level playing field, eliminating the risk of being misled by seemingly lower prices that conceal smaller quantities. Unit normalization allows retailers to uncover hidden value propositions by accurately determining the cost per unit, enabling them to set competitive prices, highlight the true value of their products, and make data-driven decisions.

5. Ease of Actionability

The most valuable insights are ineffective if they cannot be easily accessed and acted upon. Imagine a solution that not only provides industry insights but also customizes alerts and dashboards to show exactly how your prices compare to competitors in your specific categories and product groupings. An ideal solution would offer all this in one centralized platform, giving retailers easy access to data through intuitive dashboards, seamless data export options, and flexible API integrations. This enables a smooth, effortless process for adopting and utilizing the platform.

Ease of use and actionable insights should be at the core of such a solution. A SaaS-based web portal can provide businesses with access to insights through user-friendly dashboards, detailed reports, and impactful visualizations. Customized insights tailored for each persona within the organization facilitate swift actions on relevant competitive intelligence. Whether it’s day-to-day tactical recommendations or inputs for long-term strategies, the platform should ensure that all insights are easily consumable and actionable.

Moreover, the data should be accessible using plug-and-play APIs, enabling businesses to integrate external data with their internal pricing or ERP systems and BI tools. This integration generates predictive intelligence, enhances decision-making, and drives more robust business outcomes.

Choosing the Right Pricing Intelligence Solution Will Determine Your Success

Retailers need to leave behind generic pricing intelligence tools. For true success, retailers need a solution built to tackle their specific challenges. With capabilities like comprehensive data collection capturing granular details across regions and languages, local insights into store-level data for informed decision-making, accurate price comparisons with unit normalization, and access to actionable insights, retailers gain a complete and holistic picture of the pricing landscape, setting them up for success. Additionally, AI-powered and human-aided product matching ensures accurate competitor analysis

These are just some of the essential capabilities DataWeave offers to retailers. By prioritizing these, retailers can transform their pricing strategy into a profit-generating machine, keeping them ahead of the curve and exceeding customer expectations in a competitive market to help them stay at the forefront of their categories.

To learn more, talk to us today!

June 11, 2024
Cinco de Mayo 2024 Pricing Insights: An Analysis of Discounts Amid Inflation
Cinco de Mayo is a vibrant celebration of Mexican-American and Hispanic heritage, marked by lively parades, festive tacos, and refreshing tequila across North America. For the service industry, brands, and retailers, this day offers a golden opportunity to roll out enticing promotions on beloved Mexican foods and beverages, drawing in large crowds and boosting sales.

Americans love to indulge in Mexican cuisine during Cinco de Mayo. Take avocados, for example: despite inflation, avocado sales soared to 52.3 million units this year, marking a 25% increase from last year, according to the Hass Avocado Board’s 2023 Holiday Report. Such festive events see a significant sales spike, largely driven by appealing discounts and special offers.

So, what discounts did retailers roll out this Cinco de Mayo?

At DataWeave, our cutting-edge data aggregation and analysis platform tracked and analyzed the prices and deals on Mexican food and alcohol products offered by leading retailers. Our in-depth analysis sheds light on their pricing competitiveness during Cinco de Mayo, revealing how pricing strategies differed across various subcategories and brands.

We conducted a similar analysis in 2022, allowing us to compare the prices of identical products this year versus last year. This comparison helps us understand the impact of inflation over the past two years on the prices offered today.

Our Methodology

For our analysis, we monitored the average discounts offered by major US retailers on over 2,000 food and beverage products during Cinco de Mayo, as well as in the days leading up to the event. Many retailers kick off their Cinco de Mayo promotions a week before, so we included the entire week leading up to May 5th in our analysis.

Key Details:
- Number of SKUs: 2000+
- Retailers Analyzed: Target, Amazon Fresh, Safeway, Walmart, Total Wines & More, Sam’s Club, Meijer, Kroger
- Categories: Food, Alcohol
- Analysis Period: April 28 – May 5
To truly demonstrate the value of Cinco de Mayo for shoppers, we concentrated on price reductions and additional discounts during the event. By comparing these with regular day discounts, we were able to highlight the genuine savings and benefits that Cinco de Mayo promotions offer to budget-conscious consumers.

Our Findings

Safeway led the pack with the highest average additional discount of 4.91%, covering 38.6% of their food inventory for Cinco de Mayo. Total Wine & More followed closely, offering an average discount of 3.46% across 70.8% of its tequila, whiskey, mezcal, and other spirit products during the Cinco de Mayo week.

In contrast, Target provided minimal additional discounts, averaging just 0.8% over a small fraction (11.6%) of its SKUs. Similarly, Kroger’s additional discounts were also 0.8%, but they were spread across over 60% of its tracked products. Walmart (1.4%) and Amazon Fresh (1.2%) offered relatively conservative discounts during the sale period.

During Cinco de Mayo, various brands rolled out attractive discounts to entice shoppers. Among beverage brands, The American Plains vodka led the way with the highest average discount of 20.80%. Coffee brands also joined the festivities with significant discounts: Death Wish Coffee at 14.30%, Dunkin’ at 11.10%, and Starbucks at 5.70%. Notably, Dunkin’ and Death Wish Coffee introduced complimentary beverages such as whiskey barrel-aged coffee and spiked coffee products to celebrate the event.

In the wine category, Erath stood out with a 10% additional discount. However, brands like Jose Cuervo and Franzia offered more modest discounts of 0.70% and 1.80%, respectively.

Food brands associated with traditional Mexican ingredients or products, such as tortillas, salsas, and spices, provided higher discounts compared to mainstream snack brands. For instance, McCormick (25%), El Monterey (13.3%), and La Tortilla Factory (16.7%)—known for ready-to-eat frozen foods, seasonings, and condiments—delivered the highest discounts. Other notable discounts included Jose Ole (12.5%), a frozen food brand, and Yucatan (8.3%), known for its guacamole.

Safeway’s private label brand, Signature Select, offered a 5.20% discount. Additionally, Safeway provided deep discounts on brands like Pace, Herdez, and Taco Bell, indicating an aggressive discounting strategy. In contrast, brands closely associated with Mexican or Tex-Mex cuisine, such as Old El Paso, Mission, Rosarita, and La Banderita, offered relatively modest discounts ranging from 0.5% to 3.3%.

The discount patterns varied between alcohol and food categories, with food brands generally offering higher discounts. This trend may be attributed to pricing being regulated in the alcohol industry. These differing discount levels highlight how brands navigated the balance between driving sales and maintaining profit margins during Cinco de Mayo, particularly in the context of inflation affecting costs.

Impact of Inflation on Cinco de Mayo Prices (2024 vs 2022)

To gauge the impact of inflation on popular Cinco de Mayo products, we analyzed the average prices at Walmart and Target between 2022 and 2024. These two retailers were chosen due to their prominence in the retail sector and the robustness of our sample data.

At Walmart, the Tex Mex category saw the highest average price increase, rising by 22.51%. Other notable subcategories with significant price hikes include Condiments (23.21%), Vegetables/Packaged Vegetables (21.22%), and Lasagne (14.10%). Categories like Dips & Spreads (13.77%), Pantry Staples (14.92%), and Salsa & Dips (8.23%) experienced relatively lower increases.

At Target, the Snacks subcategory had the steepest average price rise at 27.94%, followed by Meal Essentials (16.07%) and Deli Pre-Pack (8.82%). Categories such as Dairy (0.51%), Frozen Meals/Sides (7.11%), and Adult Beverages (7.41%) saw smaller price increases.

Brands associated with traditional Mexican or Tex-Mex cuisine faced higher price hikes. Examples include Old El Paso (24.59% at Walmart, 8.70% at Target), Tostitos (35.44% at Walmart, 11.41% at Target), Ortega (30.59% at Walmart, 19.69% at Target), and Rosarita (14.39% at Walmart).

In contrast, private label or store brands generally experienced lower price increases compared to national brands. For instance, Good & Gather (Target’s private label) saw a 9.55% increase, while Market Pantry (Walmart’s private label) had a 17.27% rise. This trend is understandable as retailers have more control over their costs with private label brands.

The data clearly indicates that both Walmart and Target have significantly raised prices across various categories and brands, reflecting the broader inflationary environment where the cost of goods and services has been steadily climbing.

Interestingly, we observed higher price increases at Walmart compared to Target. Although Walmart is renowned for its consumer-friendly pricing strategies, it too had to elevate grocery prices post-2022 to combat inflationary pressures. As consumers become more cost-conscious and reduce spending on discretionary items, Walmart and other retailers are now cutting prices across categories to align with shifting consumer behaviors.

Mastering Pricing Strategies During Sale Events

Our pricing analysis for Cinco de Mayo reveals compelling insights into the dynamics of retailer landscapes in the US. It highlights the enduring relevance of private label brands, even amidst fluctuating demand, showing the emergence of local, national, and small players vying for market share.

As retailers navigate inflationary pressures and evolving consumer behaviors, understanding these pricing dynamics becomes crucial for optimizing strategies and bolstering market competitiveness. This analysis offers actionable intelligence for retailers seeking to navigate the intricate terrain of sale event promotions while addressing shifting consumer preferences and economic challenges.

Access to reliable and timely pricing data equips retailers and brands with the tools needed to make informed decisions and drive profitable growth in an increasingly competitive environment. To learn more and gain guidance, reach out to us to speak to a DataWeave expert today!
May 22, 2024
How Monitoring and Analyzing End-User Prices can Help Retailers and Brands Gain a Competitive Edge
Retailers and brands are constantly engaged in a fierce battle over prices and discounts. Whether it’s major events like Amazon Prime Day, brand-led sales, or everyday price wars, they depend on pricing intelligence and digital shelf analytics to fine-tune their strategies. With a variety of offers such as sales, promotions, and bundles, determining the actual cost to the customer becomes a complex task. The price set by the brand, the retailer’s offer, and the final amount paid by the customer often vary significantly.

In their analysis, retailers and brands frequently focus on the listed price or the final sale price, overlooking a critical factor: the “end-user price.” This includes all discounts, taxes, and shipping costs, providing a more accurate picture of what customers are truly willing to pay at checkout.

Grasping this end-user price is vital for both retailers and brands. For retailers, it helps them stay competitive and refine their promotional strategies. For brands, it offers insights into competitive positioning, net revenue management, and shaping customer price perception.

However, emphasizing the end-user price is challenging, as it involves comprehending all the intricate elements of pricing.

How end-user pricing is calculated

The list price, also known as the manufacturer’s recommended retail price (MSRP), is the initial price set by the brand. This may not always be displayed on marketplaces, especially in categories like grocery. The selling price, on the other hand, is the amount at which a retailer offers the product, often reduced from the list price. The end-user price is the actual amount the customer pays at checkout, which includes taxes, promotions, and other factors that affect the final cost.

The process involves 3 key stages:

Step 1: Identifying and categorizing promotional offers

The first critical step in calculating end-user pricing is to identify and categorize the various promotional offers available for a given product that can reduce the final amount paid by the consumer. These promotions span a wide range of types:
- Bank Offers: Involving discounts or cash back incentives when paying with specific bank credit or debit cards. For instance, a customer may receive 10% cashback on their purchase by using a specific bank’s card.
- Bundled Deals: Combining multiple products or services at a discounted bundle price. A common example is a smartphone bundle including the phone itself, a protective case, and earphones at a reduced total cost.
- Promo Codes/Coupons: Customers can enter promo codes or coupons during checkout to unlock special discounted prices or percentage-off offers, like 20% off a hotel booking, or even a special brand discount personalized for their needs (think loyalty offers and in-app promotions).
- Shipping Offers: These include free shipping or reduced shipping fees for certain products or orders, such as free delivery on orders above a set amount.
- TPRs (Temporary Price Reductions): TPRs play a significant role in the strategies of most retailers. Brands and retailers use them to encourage shoppers to purchase more of a product or to try a new product they wouldn’t usually buy. A TPR involves reducing the price of a product by more than 5% from its regular shelf price.
By accurately identifying and classifying each type of promotion available, brands can then calculate the potential end-user pricing points.

Step 2: Accounting for location and fulfilment nuances (delivery, in-store pickup) that impact final pricing

Product pricing and promotional offers can vary based on the consumer’s location or ZIP code. Additionally, customers may opt for different fulfilment modes like delivery, shipping, or in-store pickup, which can further impact the final cost. Accurately calculating the end-user price necessitates considering these location-based pricing nuances as well as the chosen fulfilment method.

In the example below, the selling price is $4.32 for one retailer (on the left in the image) after a discount for online purchase. In another case with Meijer, the item total shows $17.91, but the consumer ends up paying $15.74 after taxes and fees are applied (on the right in the image).

Step 3: Applying each eligible promotion or offer to the selling price to determine potential end-user price points

With the various promotional offers and discounts categorized in the previous steps, retailers and brands can now apply each eligible promotion to the product’s selling price. This involves deducting percentages for bank cashback, implementing bundled pricing, applying coupon code discounts, and incorporating shipping promotions.

For retailers, this step allows them to calculate their true effective selling price to customers after all discounts and promotions. They can then compare this end-user price against competitors to ensure they remain competitively priced.

For brands, by systematically layering every applicable offer onto the baseline selling price, they can accurately calculate the multiple potential end-user price points a customer may pay at checkout for their products across different retailers and regions.

Why the end-user price matters

Optimizing pricing strategies using the end-user price can benefit retailers and brands in several ways:
- Price Competitiveness: By monitoring end-user pricing, retailers can adjust for discounts and promotional offers to attract customers, while brands can refine their pricing models to stay ahead in the market.
- Customer Acquisition and Loyalty: Offers, promotions, and discounts directly impact the final price paid by customers, playing a crucial role in attracting new customers and retaining existing ones. For example, Walmart’s competitive pricing in groceries boosts customer loyalty and repeat purchases.
- Consumer Perception: End-user pricing significantly shapes how consumers perceive both retailers and brands. Competitive pricing and promotional transparency enhance reputation and conversion rates. Amazon, for instance, is known for its competitive pricing and fast deliveries, which strengthen its consumer perception and satisfaction.
- Sales Volumes: The final checkout price influences affordability and perceived value, directly affecting sales volumes. Both retailers and brands benefit from understanding this, as it guides consumer purchasing decisions and drives revenue streams.
- Brand Perception: Consistent and transparent pricing enhances the perception of both the retailer and the brand. This not only strengthens the value proposition but also builds consumer trust and fosters long-term loyalty.
While the listed and selling prices are readily available, calculating the true end-user price is quite complex. It involves meticulous tracking and application of various types of promotions, offers, location-based pricing nuances, and fulfillment costs – an uphill task without robust technological solutions.

Track and Analyze end-user prices with DataWeave

DataWeave’s end-user price tracking capability empowers retailers and brands with the insights and tools necessary to comprehend the complexities of pricing dynamics. For retailers, it offers the ability to monitor end-user pricing across various products and categories compared to competitors, ensuring competitiveness after all discounts and enabling optimization of promotional strategies. Brands benefit from informed pricing decisions, optimized strategies across retail channels, and a strengthened position within their industries.

Our intuitive dashboard presents classified promotions and corresponding end-user prices across retailers, providing both retailers and brands with a transparent, comprehensive view of the end-user pricing landscape.

Within the detailed product view of DataWeave’s dashboard, the Price and Promotions panel showcases diverse promotions available across different retailers for each product, along with the potential end-user price post-promotions.

Harness the power of DataWeave’s sophisticated Pricing Intelligence and Digital Shelf Analytics to gain an accurate, real-time understanding of your end-user pricing dynamics. Make data-driven pricing decisions that resonate with customers and propel your brand toward sustained success.

Find out how DataWeave can empower your eCommerce pricing strategy – get in touch with us today or write to us at contact@dataweave.com!
May 15, 2024
Why Localized, Store-Specific Pricing and Availability Insights is Critical for Consumer Brands
Brands are becoming increasingly proficient in monitoring and refining their presence on online marketplaces, utilizing Digital Shelf Analytics to gather and analyze data on their online performance. These tools offer invaluable insights into enhancing visibility, adjusting pricing strategies, and improving content quality on eCommerce sites.

Yet, as the retail landscape shifts towards a more integrated omnichannel approach, it’s crucial for brands, particularly those in CPG, to apply similar strategies to their offline channels. For brands that count physical stores among their primary sales channels, gaining localized insights is key to boosting in-store sales performance.

Collecting shelf data from offline channels presents more challenges than online. Traditional methods, such as physical store visits, often fall short in reliability, timeliness, scale, and level of coverage.

However, the world of eCommerce provides a solution. As part of the effort to facilitate options like buy-online-pickup-in-store (BOPIS) for shoppers, major retailers make store-specific product details available online. Consumers often go online and select their nearest store to make purchases digitally before choosing a fulfillment option like picking up at the store or direct delivery. Aggregating this store-level information offers brands critical insights into pricing and inventory across a vast network of stores, enabling them to make informed decisions that improve pricing strategies and supply chain efficiency, thus minimizing stockouts in crucial markets.

Further, as consumers increasingly seek flexibility in how they receive their purchases—be it through in-store pickup, delivery, or shipping—brands need to adeptly monitor pricing and availability for these different fulfilment options. Such granular insight empowers brands to adapt swiftly and maintain a competitive edge in today’s dynamic retail environment.

Why does monitoring pricing and availability data across stores matter to brands?
- Hyperlocal Competitive Strategy: This allows brands to adjust their pricing strategies based on regional competition. By understanding the local market, brands can decide whether to position themselves as cost leaders or premium offerings. In particular, this is indispensable for Net Revenue Management (NRM) teams.
- Targeted Marketing Initiatives: Understanding regional price and availability enables brands to customize their marketing efforts for specific markets. By aligning their strategies with local demand trends and inventory levels, brands can more effectively engage their target audiences.
- Efficient Inventory Management: By keeping a close eye on store-level data, brands can better manage their stock, ensuring high-demand products are readily available while minimizing the risk of overstocking or running out of stock.
- Minimum Advertised Price (MAP) Monitoring: While brands cannot directly control retail pricing, staying updated on pricing trends helps them adjust their MAP to reflect the competitive landscape, consumer expectations, cost considerations, and regional differences. A strategic approach to MAP management supports brand competitiveness and profitability in a fluctuating market.
DataWeave’s Digital Shelf Analytics solutions equip brands with the necessary data and insights to do all of the above.

DataWeave’s Digital Shelf Analytics is location-aware

DataWeave’s Digital Shelf Analytics platform stands out with its sophisticated location-aware capabilities, enabling the aggregation and analysis of localized pricing, promotions, and availability data. Our platform defines locations using a range of identifiers, including latitudes and longitudes, ZIP codes, or specific stores, and can aggregate this data for particular states or regions.

The strength of the platform lies in its robust data collection and processing framework, which operates seamlessly across thousands of stores and regions. This system is designed to operate at configurable intervals—daily, weekly, or monthly—allowing brands to keep a vigilant eye on product availability, pricing strategies, and delivery timelines based on the selected fulfillment option.

Unlike many other providers, who may provide limited insights from a sample of stores, our solution delivers exhaustive analytics from every storefront. This comprehensive approach grants brands a strategic edge, facilitating efficient inventory tracking, precise pricing adjustments, and rapid responses to fluctuating market dynamics. It cultivates brand consistency and loyalty by enabling brands to adapt proactively to the changing landscape.

Aggregated store-level digital shelf insights via DataWeave

In the summarized view shown above, a brand can track how its various products are positioned across stores and retailers like Walmart, Amazon, Meijer, and others in the US.

Using DataWeave, brands can easily see important metrics like availability levels, prices, and other metrics across these stores gaining immediate visibility without having to physically audit them. the brand can track the same metrics for products across competitor brands and inform its own pricing, stock, and assortment decisions.

Store-level availability insights

We provide a comprehensive view of product availability, highlighting the distribution of out-of-stock (OOS) scenarios across various retailers and pinpointing the availability status throughout a brand’s network of stores. This capability enables swift identification of widespread availability issues, offering a bird’s-eye view of where shortages are most pronounced. By simply hovering over a specific location, detailed information about stock status and pricing for individual stores becomes accessible.

Such insights are crucial for brands to adapt their strategies, mitigate risks, and ensure they meet consumer needs despite the ever-changing retail ecosystem.

Store-level pricing insights

Retailers often adopt different pricing strategies to deal with margin pressure, local competition, and surplus stock. Grasping these pricing dynamics at a hyperlocal level enables brands to tailor their strategies effectively to maintain a competitive edge.

Our platform offers an in-depth look at how prices vary among retailers, across different stores, and throughout various regions. This analysis reveals the nuanced pricing tactics employed by retailers on a regional scale.

For example, brands might see that some retailers, like Kroger and Walmart in the chart below, maintain consistent pricing across their outlets, demonstrating a uniform pricing strategy. In contrast, others, such as Meijer and Shoprite, might adjust their prices to match local market conditions, indicating a more localized approach to pricing.

With DataWeave, brands can dive deeper into the pricing landscape of a specific retailer, examining a price map that provides detailed information on pricing at the store level upon hovering over a given location.

By presenting a historical analysis of average selling prices across different retailers, we equip brands with the insights needed to understand past pricing strategies and anticipate future trends, helping them to strategize more effectively in an ever-evolving market.

Digital Shelf Analytics that work for both eCommerce and brick-and-mortar store data

While established brands have made strides in gathering online pricing and availability data through Digital Shelf Analytics solutions, integrating comprehensive insights from both brick-and-mortar and eCommerce channels often remains a challenge.

DataWeave stands out for its capacity to collect data across diverse digital platforms, including desktop sites, mobile sites, and mobile applications. This capability ensures that omnichannel brands can have a holistic view of their pricing, promotional, and inventory strategies across all locations and digital landscapes.

Leveraging localized Digital Shelf Analytics to understand the intricacies of pricing and availability at the store level allows brands to fine-tune their approaches, swiftly adapt to local market shifts, and uphold a unified brand presence across the digital and offline spheres. This strategic agility places them in a favorable competitive position, enhancing customer satisfaction and trust, which are crucial for sustained success.

Know more about DataWeave’s Digital Shelf Analytics here.

Schedule a call with a specialist to see how it can work for your brand.
April 3, 2024
Black Friday Cyber Monday 2023: Insights on Pricing and Discounts in Home & Furniture
Insider Intelligence‘s forecast of a 4.5% growth in US Holiday Sales this year has been validated by the sustained robust spending observed during Black Friday and Cyber Monday. Despite multiple challenges impacting consumer spending, such as escalating prices of everyday products and elevated interest rates, shoppers continued to spend significantly, aligning with these earlier predictions.

However, in response to these projections, retailers strategically adjusted their approach. Our analysis indicates substantial discounts prevalent in the Consumer Electronics and Home & Furniture segments during Cyber Week. Prominent retailers specializing in Home & Furniture, such as Wayfair, Overstock, and Home Depot, notably led the charge in offering attractive discounts.

At DataWeave, we harnessed the power of our proprietary data aggregation and analysis platform to track and analyze the prices and deals of home & furniture products across prominent retailers to uncover unique insights into their price competitiveness this BFCM, as well as understand how pricing strategies varied across diverse subcategories and brands.

We’ve also recently published our analysis of the Consumer Electronics and Apparel categories this Black Friday and Cyber Monday.

Our Methodology

For this analysis, we tracked the discounts offered by leading US retailers in the Home & Furniture category during the Thanksgiving weekend sale, including Black Friday and Cyber Monday. We noticed prices and discounts didn’t change significantly over the course of the weekend, and hence the average prices of products between the 24th and 27th of November are being reported. Our sample was chosen to encompass the top 500 ranked products in each product subcategory across leading retailers during the sale.
- Sample size: 44,716 SKUs
- Retailers tracked: Amazon, Walmart, Target, Best Buy, Overstock, Wayfair, Home Depot
- Subcategories reported on: Dishwasher, Washer/Dryer, Mattresses, Beds, Dining Tables, Entertainment Units, Rugs, Luggage, Bookcases, Cabinets, Sofas, Coffee Tables
- Timeline of analysis: 24 to 27 November 2023
Our Key Findings

Discounts Across Retailers

Wayfair led the pack with the highest average discount of 27.5%, covering an impressive 88% of its Home & Furniture inventory. This bold strategy positions Wayfair as a go-to destination for consumers seeking substantial savings on high-quality Home & Furniture items during Black Friday and Cyber Monday.

Home Depot offered an average discount of 17.5%, covering a substantial 69% of the products analyzed, choosing to cash in on the Cyber Week madness. Overstock followed next with an average discount of 16.6%.

Interestingly, Home & Furniture happens to be one of the few categories in which Amazon did not offer the highest discount among the analyzed retailers, choosing a moderate average discount of 13.8%.

Best Buy also maintained a competitive stance in the category, providing an average discount of 12.8% across 58% of their assortment. Target adopted a conservative markdown strategy, offering a relatively low average discount of 6.5%.

In summary, the Home & Furniture category exhibited a diverse range of discounting strategies among retailers, reflecting a balance between competitiveness and profit margins. Consumers could have chosen from a spectrum of discounts based on their preferences and budget considerations during Black Friday and Cyber Monday.

Average Discounts: Subcategories

Among subcategories, Amazon offered a moderate 8.3% average discount on 32.9% of its products in this Dishwasher category, while Best Buy took a more aggressive stance with a 14.7% average discount covering 55.9% of its products.

Home Depot emerged as a standout player in the Washer/Dryer category, providing a substantial 21.3% discount on 78.4% of its analyzed inventory. Best Buy closely followed with a 15.1% average discount targeting 67.6% of its products.

Wayfair grabbed attention with a generous 36.9% average discount on Mattresses, covering almost all (99%) of its analyzed products. In addition, Wafair led the discount war in Beds, Dining Tables, Cabinets, Sofas, Coffee Tables, and Entertainment Units. Overstock took an aggressive pricing stance on Rugs, offering a substantial 52.3% average discount, covering 100% of its Rugs inventory.

Average Discounts: Brands

Among brands, Signature Design by Ashley maintained a consistent presence with substantial discounts on both Best Buy (25.24%) and Overstock (16.19%). This could be indicative of the brand’s commitment to appealing to a diverse customer base through varied retail channels. Costway emerges as a standout brand offering exceptionally high discounts at both Target (61.6%) and Walmart (51.7%).

Home Decorators Collection, Home Depot’s in-house brand, offered a significant 30.9% discount at Home Depot. High-margin private label brands like these afford retailers the opportunity to offer markdowns while retaining significant margins.

Strategic positioning on specific platforms, as seen with Alwyn Home on Wayfair and Noble House at Home Depot, suggests brands tailor their approach to the strengths and customer demographics of each retailer. The data suggests a nuanced interplay between brand positioning, discount strategies, and the perceived value offered.

Share of Search For Home & Furniture Brands

The Share of Search data for the Home & Furniture category unveils intriguing insights into brand visibility and performance during the Black Friday and Cyber Monday events. In this competitive landscape, where consumer decisions are influenced not only by discounts but also by brand visibility, the dynamics of Share of Search become pivotal.

Samsung strategically increased its Share of Search during the sale, showcasing a 1.2% improvement. This suggests a deliberate effort to reinforce brand visibility and capture the attention of potential buyers actively searching for Home & Furniture products, in this case, Washer/Dryers and Dishwashers.

Bosch too experienced a notable surge in Share of Search by 1.1%. LG, meanwhile, maintained a consistent Share of Search, with a marginal decrease of 0.1%. American Tourister experienced a modest increase in Share of Search by 0.4%.

Like in the other categories analyzed, the dynamics of Share of Search in the Home & Furniture category reflect brand strategies aimed at not only offering discounts but also ensuring heightened visibility during the critical Black Friday and Cyber Monday shopping events. Positive shifts indicate effective marketing efforts, while stable performers demonstrate a resilient brand presence in a competitive online marketplace.

To explore how our insights can help retailers and brands boost their pricing strategies during sale events, reach out to us today!

For more in-depth analyses and trends across various shopping categories, stay tuned to our blog.
December 1, 2023
Black Friday Cyber Monday 2023 Insights: A Report on Pricing and Discounts in Apparel
As the highly anticipated shopping season approached, industry analysts, including Deloitte, had forewarned consumer spending caution owing to persistent inflationary pressures tightening budgets. Despite these concerns, the holiday spirit was buoyed by sensational deals that delighted bargain-hunting shoppers.

According to the National Retail Federation (NRF), over 200 million consumers participated in both in-store and online shopping activities over the Thanksgiving weekend. This marked an almost 2% uptick from the previous year, surpassing the NRF’s initial estimates of 182 million and showcasing a robust start to the holiday shopping season.

So what was all the hype about this Black Friday and Cyber Monday? How did top retailers react to reports of possibly decreased consumer spending? At DataWeave, we harnessed the power of our proprietary data aggregation and analysis platform to track and analyze the prices and deals of products across prominent retailers and categories to uncover unique insights into their price competitiveness this BFCM, as well as understand how pricing strategies varied across diverse subcategories and brands.

In this article, we focus on the pricing and discounting strategies of Amazon, Walmart, and Target in the Apparel category.

(Read Also: Black Friday Cyber Monday 2023: Insights on Pricing and Discounts in Consumer Electronics)

Stay tuned to our blog for insights on other shopping categories like Home & Furniture, and Health & Beauty!

Our Methodology

For this analysis, we tracked the average discounts of apparel products among leading US retailers during the Thanksgiving weekend sale, including Black Friday and Cyber Monday. We noticed prices and discounts didn’t change significantly over the course of the weekend, and hence the average prices of products between the 24th and 27th of November are being reported. Our sample was chosen to encompass the top 500 ranked products in each product subcategory across during the sale.
- Sample size: 17,981 SKUs
- Retailers tracked: Amazon, Walmart, Target
- Subcategories reported on: Women’s Tops, Men’s Swimwear, Men’s Innerwear, Women’s Innerwear, Women’s Athleisure, Women’s Dresses, Men’s Athleisure, Men’s Shirts, Women’s Shoes, Men’s Shoes, Women’s Swimwear
- Timeline of analysis: 24 to 27 November 2023
Our Key Findings

Average Discounts Across Retailers

Amazon offered the most attractive deals, showcasing an average discount of 19.5%, applying to a substantial 61% of their apparel inventory.

Trailing closely behind was Target, offering an average discount of 14.8% across 52% of the products analyzed. Walmart, however, took a more conservative approach, providing an average discount of 8.5%, applicable to 29% of its products.

The contrast in discounting strategies highlights the diverse tactics employed by retailers to entice Black Friday and Cyber Monday shoppers within the Apparel category. Amazon remains the forerunner, balancing competitive discounts with a significant coverage of discounted items.

Target follows suit with a competitive stance, while Walmart opts for a more reserved markdown approach, given that the retailer tends to carry a large number of products in the affordable price ranges.

Average Discounts: Subcategories

Examining the Black Friday and Cyber Monday discount landscape within the Apparel category reveals intriguing patterns among major retailers. Amazon led the charge, boasting an impressive 24.9% average discount on Women’s Tops, covering a substantial 76.5% of its products. In the same subcategory, Target competed fiercely with a 25.1% average discount, covering 87.5% of its products. Walmart, taking a measured approach, presented a 14.6% average discount across 45.1% of its Women’s Tops inventory.

Notably, Men’s Swimwear at Target has no discounts. Meanwhile, Amazon remained aggressive across various subcategories, particularly in Women’s Shoes and Women’s Tops, aiming to capture a significant market share through both competitive pricing and a broad coverage of discounted items.

Average Discounts: Brands

Across brands, Tommy Hilfiger and Jockey took the lead on Amazon with an enticing average discount of 28.3% and 24.6% respectively, appealing to savvy shoppers. Calvin Klein followed closely with a 17.3% discount, offering a balance of style and affordability.

In Walmart, Crocs stood out with a 39.9% average discount, followed by Reebok (15.7%) and Hanes (14.9%) Xhilaration, Target’s in-house brand, stole the spotlight on the retailer platform with an impressive 50% average discount. Reebok (32.3%) and Levi’s (22.9%) maintained competitive discounts, appealing to diverse tastes.

Our analysis sheds light on the dynamic landscape of apparel discounts, showcasing how brands adopt varying pricing strategies to position themselves competitively for Black Friday and Cyber Monday shoppers.

Share of Search For Apparel Brands Across Subcategories

The dynamics of Black Friday and Cyber Monday extend beyond price reductions, with brands strategically vying for increased visibility through Share of Search metrics. This metric signifies a brand’s prominence among the top 20 ranked products in a given subcategory, offering valuable insights into their online marketplace visibility.

Among the standout performers in the Apparel category, Jockey experienced a significant surge in Share of Search, leaping from 1.70% before the event to an impressive 13.30% during the Black Friday and Cyber Monday sales. Speedo, in the Women’s Swimwear subcategory, demonstrated a substantial increase from 4.40% to 13.30%, solidifying its presence and gaining an 8.90% boost in Share of Search.

Tommy Hilfiger and Adidas also exhibited notable gains in Share of Search, increasing by 5.30% and 5.60%, respectively. However, some brands experienced a slight dip, with Speedo in the Men’s Swimwear subcategory seeing a 2.50% dip in their search visibility, and Reebok in Men’s Shoes witnessing a 3.3% decrease.

These fluctuations highlight the dynamic nature of brand strategies during Black Friday and Cyber Monday in the Apparel category, where gaining visibility also proves to be crucial alongside offering competitive discounts.

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For a deeper dive into the world of competitive pricing intelligence and to explore how our solutions can benefit apparel retailers and brands, reach out to us today!

Stay tuned to our blog for forthcoming analyses on pricing and discounting trends across a spectrum of shopping categories, as we continue to unravel the intricacies of consumer behavior and market dynamics.
November 29, 2023
Which Amazon Sale Offered Better Deals: Prime Day in July or Big Deal Days in October?
Amazon reported a record-breaking Prime Day this July, marking it as the biggest sales event in the company’s history. So when the eCommerce giant announced the Prime Big Deal Days this fall, we were curious to find out how big a deal it really is.

The Prime Big Deal Days, similar in magnitude to the Summer Prime Day, promised to present substantial savings across a diverse range of categories, including electronics, toys, home, fashion, beauty, and Amazon products.

However, for a shopper, an important question is: Does the Prime Big Deal Days in October offer lower prices than Amazon’s mega Prime Day event in July?

To answer this question, we turned our data aggregation and analysis platform to focus on these two sale events and analyzed which event offered better deals across key categories and brands.

TL;DR: Surprisingly, the Prime Big Deal Days in October offered, on average, 2.02% higher discounts than its counterpart event in July.

Read on for details on how we went about our analysis and how discounts vary across categories, sub-categories, and brands.

Our Methodology

We tracked the prices and discounts of a large sample of products during both Prime Day events. The following are some relevant details about our sample:
- Number of products analyzed: 1500+
- Categories: Apparel, Consumer Electronics, Home & Furniture, Health & Beauty
- Prime Day Sale Analysis: 11-12 July 2023
- Prime Big Deal Days Analysis: 10-11 Oct 2023
- Website: Amazon.com
Our analysis focused on the differences in the prices and discount levels of products between the two sale events.

Our Key Findings

The average discount during the Prime Big Deal Days in October was 29.44%, which was 2.02% higher than the average discount during the Prime Day sale in July (27.42%). Interestingly, the October event offered better deals across each product category analyzed, albeit at slightly varying levels.

By offering deeper discounts in October, Amazon may have aimed to encourage early holiday shopping, thereby capturing a larger share of the consumer wallet before competitors intensify their promotional activities closer to the festive season.

As other retailers and online marketplaces gear up for their own holiday promotional events, Amazon’s decision to provide heightened discounts in October could serve as a preemptive move to secure customer loyalty and drive sales momentum before the onset of the peak shopping period.

Additionally, Amazon’s strategic push to amplify the visibility of its diverse product offerings, including exclusive launches and partnerships during the October event might have contributed to the higher discounts.

Next, let’s take a closer look at each product category.

Apparel

During October’s Prime Big Deal Days, the Apparel category experienced a notable uptick, boasting a 2.29% increase in discounts compared to the earlier Prime Day event in July.

In the detailed assessment of Apparel sub-categories, Men’s and Women’s Swimwear, alongside Men’s Shoes, Innerwear, and Athleisure, emerged as the segments showcasing the most substantial average discounts during October. Fall also brought about more affordable prices for Women’s Innerwear and Men’s Shirts. However, Women’s Athleisure, Dresses, and Tops displayed diminished average discounts during this Prime Big Deal Days event.

Delving into brand-specific analyses revealed intriguing trends. Athleisure brands such as Ibkul, Esprlia, and Ryka notably escalated their discounts in October after minimal markdowns during the Summer Prime Day sale.

Steve Madden, witnessing heightened discounts in October, hinted at a growing demand for boots and footwear in the Autumn and Winter seasons. For instance, the Steve Madden Men’s Fenta Fashion Sneaker was priced at $46 during the Summer Prime Day, and only at $35 during the Prime Big Deal Days in October.

Conversely, brands like PGA Tour, Land’s End, Roxy, and Anrabess offered more substantial discounts during the Summer compared to the October event.

Consumer Electronics

The Consumer Electronics segment during October’s Prime Big Deal Days showcased an average price decrease of 1.98% compared to the Prime Day event in July.

Nearly all scrutinized subcategories experienced heightened discounts during the Fall Prime Big Deal Days in October. Tablets, Speakers, Drones, and Smartwatches notably presented higher discounts of 4.06%, 3.51%, 2.99%, and 2.69%, respectively, in October. However, more enticing deals were found on Earbuds and TVs during July’s event.

Examining consumer electronics brands, Google stood out by offering the most compelling deals in October, boasting an average discount of 23.35%, marking an 8.94% increase from the Summer Prime Days’ 14.41%. Psier, Sony, and OnePlus also featured significantly reduced prices during the Fall. For example, the OnePlus 10 Pro | 8GB+128GB was $500 during the sale in July and only $440 during the Prime Big Deal Days in October.

Conversely, prominent brands such as Bose, Sennheiser, Samsung, LG, and Asus opted to offer heavier discounts in July. Notably, the Samsung All-in-One Soundbar w/Dolby 5.1 was priced at $218 in October but only $168 in July.

Home & Furniture

During October’s Prime Big Deal Days, the Home & Furniture category experienced a notable 1.59% increase in average discounts compared to the Prime Day event held in July.

Notably, Entertainment Units, Rugs, and Coffee Tables emerged as standout sub-categories that were more attractively priced in October, exhibiting price differences of 7.73%, 5.33%, and 4.80%, respectively.

Interestingly, among the scrutinized sub-categories, only Luggage showed a lower price during the Prime Day sale in July compared to the October event. This shift likely reflects evolving consumer demand as the holiday season approaches, with items like rugs and entertainment units becoming increasingly sought-after categories for purchase.

If you’re keen to explore how these trends vary across brands within this category, reach out to us for more insights.

Health & Beauty

During October’s Prime Big Deal Days, the Health & Beauty category showcased products at an average of 1.99% lower prices compared to the Prime Day event held in July.

Our analysis of Health & Beauty reveals that a majority of the subcategories presented higher discounts during the October Big Deal Days event. Essential items such as Toothpaste, Sunscreen, and Electric Toothbrushes notably stood out as significantly more affordable during the Fall event, reflecting not only consistent demand but also a seasonal emphasis on these products. For instance, the Oral B iO Series 3 Limited Edition Electric Toothbrush, priced at $140 during the summer Prime Days, was further discounted to $120 in the fall event.

Interestingly, Beard Care emerged as an exception, displaying higher discounts during the Prime Day sale in Summer compared to Fall’s Prime Big Deal Days.

Examining brands within the category, Babyganics, Thinkbaby, and Vaseline showcased substantial increases in average additional discounts during October’s Prime Big Deal Days.

Conversely, prominent brands like Maybelline, Neutrogena, and Cetaphil offered lower discounts during the fall event.

Competitive Insights to Drive Optimized Sale Event Pricing

At DataWeave, we understand the pivotal role of competitive pricing insights in empowering retailers and brands to gain a competitive edge, especially during significant events like Prime Day. Our commitment lies in providing retailers with precise and extensive competitor price tracking on a large scale. This empowers them to devise impactful pricing strategies and consistently uphold a competitive stance in the market. To learn more about how this can be done, talk to us today!
November 20, 2023
Revolutionizing Fuel Pricing: How Fuel Retailers and Convenience Stores Can Gain a Winning Edge with DataWeave
Consider this scenario: A retailer establishes its fuel prices using pricing data that’s a few days old, only to subsequently discover that a nearby competitor is offering substantially lower prices. The result? Lost customers, decreased foot traffic, and diminished sales. This serves as a stark reality that retailers must confront and address today.

In the fiercely competitive realm of retail, where every decision holds weight, maintaining a competitive edge is paramount. The fuel category, frequently underestimated, has the potential to significantly impact a retailer’s revenue stream. This challenge is not unique; retailers worldwide, particularly in North America, grapple with a common hurdle: mastering the intricate art of real-time fuel pricing.

The Quest For Reliable, Real-Time Fuel Pricing Data

For retailers, traditional methods for procuring and analyzing fuel price data have proven to be both expensive and error-prone, often relying on manual data collection or third-party data providers. These outdated approaches yield frustrating delays, inaccuracies, and missed opportunities. When it comes to obtaining timely fuel pricing intelligence, the majority of fuel retailers grapple with three central challenges:
- Low Accuracy: Ensuring that fuel pricing information remains up-to-date, dependable, and actionable, even when sourced from complex web-based platforms.
- Less Coverage: Acquiring comprehensive data that encompasses all of North America, spanning across retailers, convenience stores, fuel stations, and beyond.
- High Cost: Effectively managing the substantial costs associated with acquiring and processing this vital information.
DataWeave’s Fuel Pricing Intelligence Solution

Comprehensive, accurate, and real-time fuel pricing intelligence can play a huge role in the profitability of retailers throughout North America. DataWeave takes the forefront in delivering this transformative Data-as-a-Service (DaaS) solution to some of the most prominent retailers in the region, including the top 20 fuel retail behemoths.

With a rich and extensive history spanning over a decade in the realm of competitive intelligence, DataWeave boasts an impressive track record of empowering well-informed decision-making in retail. We leverage state-of-the-art technology to bring an unparalleled level of accuracy, timeliness, and coverage to fuel pricing intelligence.

The following are some compelling advantages offered by our solution:

Accurate and Real-Time First Party Data

We deliver retailers an unparalleled advantage through real-time, first-party fuel price data. Our data originates directly from the retailer’s own channels, encompassing websites and mobile apps, rendering it the industry’s foremost and most reliable source.

Imagine having access to fuel pricing information that updates as frequently as every 30 minutes. This rapid update cadence guarantees that you, as a retailer, constantly possess the latest pricing insights at your fingertips, empowering you to respond swiftly to market fluctuations and competitor manoeuvres. Our comprehensive data spans a wide spectrum of fuel types, including:
- Gasoline: Be it regular, mid-grade, super, premium, ethanol-free, ethanol blends, methanol blends, or reformulated gasoline, we have got you covered.
- Diesel: Our data encompasses biodiesel, biodiesel off-road, biodiesel blends, biodiesel ultra-low sulfur (ULS), diesel ultra-low sulfur (ULS), diesel off-road, standard diesel, and premium diesel.
Armed with our real-time, first-party data, you can make pricing decisions with unwavering confidence, secure in the knowledge that you possess access to the most current, authoritative, and extensive fuel pricing intelligence in North America.

The data points we capture directly from relevant web sources include: gas station postal code, store name and code, location, city, state, ZIP code, fuel type, competitor name, regular price, member price (if available), time and date of data capture, and more.

Click here if you wish to access a sample report of our fuel pricing data.

Unrivaled Geographical Coverage

Our extensive coverage of fuel data spans over 30,000 ZIP codes and encompasses the top 100 retailers across the western, mid-western, and eastern regions of the United States.

Retailers benefit from the flexibility to configure and tailor the solution to their precise needs, whether it involves adding more locations or selectively acquiring specific segments of the data. This far-reaching coverage guarantees that retailers, whether situated in bustling urban centers or remote areas, can readily access the essential data required to maintain their competitive edge.

Moreover, if you currently source your fuel pricing data from alternative providers, our solution seamlessly integrates, amplifies, and complements your existing array of data sources, ensuring a harmonious and unified approach to data acquisition.

Optimization of Dynamic Pricing Strategies

In the world of retail, the importance of timing cannot be overstated. Even a mere difference of a few cents can translate into millions of dollars in revenue impact. With DataWeave, retailers gain the capability to make data-driven decisions that provide them with a competitive edge around the clock, every single day.

Our platform empowers you to unearth margin gaps by pinpointing opportunities to raise prices while maintaining your competitive pricing position. It also identifies instances where you may be substantially overpriced, prompting necessary price adjustments to ensure competitiveness within the market. All these valuable insights are available at a hyperlocal level, facilitating pricing efficiency and optimization across your various regions of coverage. Equipped with this real-time data, you can swiftly adapt to ever-changing market conditions.

Furthermore, our comprehensive competitive data seamlessly integrates into your existing pricing systems through APIs, facilitating quick and informed pricing actions based on robust data.

Reliable and Customer-First Tech Platform

Our platform boasts a remarkable level of sophistication when it comes to data aggregation, normalization, visualization, and integration capabilities. It stands as a massively scalable system with the capacity to aggregate billions of data points daily, spanning thousands of web sources. This includes the intricate handling of sources like mobile apps and websites known for frequently altering their site structures, among others.

What truly sets us apart is our proficiency in addressing these challenges through a blend of human expertise and large-scale machine learning. Additionally, our commitment to delivering unmatched service extends to round-the-clock, 24/7 support. This comprehensive approach makes our fuel pricing intelligence solution not only effective but also cost-efficient in meeting your fuel data requirements.

We also provide a variety of options for you to consume our data, which includes receiving our reports via email, SFTP, S3 buckets, data lakes like Snowflake, and APIs.

Enhance your Fuel Pricing Strategies with DataWeave

In the ever-competitive world of retail, staying ahead is not just a goal; it’s a necessity. The fuel pricing landscape, often overlooked, holds immense power to impact a retailer’s profitability. DataWeave’s real-time, comprehensive, and accurate fuel pricing intelligence solution is the key to securing this advantage. Retailers and convenience stores now have a powerful platform at their disposal, offering unparalleled precision, comprehensive coverage, and the agility needed to navigate this landscape.

Join the ranks of industry leaders who have already harnessed the potential of DataWeave. Reach out to us today to redefine your approach to fuel pricing and propel your business to new heights!
September 29, 2023
Impact of Inflation on Grocery: Pricing Insights on Leading US Retailers

Inflation, like an invisible force, silently shapes the dynamics of economies, gradually eroding the purchasing power of consumers and leaving its imprint on various industries. High costs, hiring lags, and stagnating earnings pose severe challenges to businesses. One industry segment that intimately feels the impact of inflation is grocery, where price increases can be extremely concerning for the average consumer.

Over the last 12-plus months, the US has experienced a notable rise in inflation, stirring up concerns and influencing the way we shop for everyday essentials. Rising costs of raw materials, transportation, and labor have all played a role in driving up prices. Additionally, disruptions in global supply chains and fluctuations in currency exchange rates have further exacerbated the situation, creating a complex web of interdependencies.

To understand the magnitude of this phenomenon across leading e-retailers, we delved into an in-depth analysis of four major retail giants: Walmart, Amazon, Target, and Kroger.

Each of these retailers possesses a unique business model and competitive strategy, as well as faces unique challenges. This leads to distinct approaches to managing inflationary pressures. Walmart for instance, expects operating income growth to outpace sales growth in 2023. Given the persistence of high prices and the potential for further macro pressures, the retailer is taking a cautious outlook. In 2022, Amazon’s eCommerce business swung to a net loss of $2.7 billion, compared to a profit of $33.4 billion the previous year.

Amid these challenging circumstances, understanding the grocery pricing trends and strategies becomes imperative for retailers, both online and in stores to adapt and thrive in the current economic landscape. By examining their pricing trends, we can gain valuable insights into how these companies navigate the turbulent waters of the grocery industry against the backdrop of inflation.

Our Research Methodology

The data collected for our analysis encompassed a diverse range of products, from pantry staples like flour and rice to perishable goods like dairy and produce – a basket of around 600 SKUs matched across Amazon, Kroger, Target and Walmart, between January 2022 to February 2023.

Further, we separately focused on the prices of a smaller subset of 30+ high-volume daily staples that are likely to yield higher sales and margins for these retailers.

Average Selling Price of a Broad Set of Grocery Items

Our analysis reveals that Walmart consistently offers the lowest prices, with an average of 8% below its closest competitor, Target, despite an annual price increase of about 5%. Walmart seems to prioritize a “stability and predictability” strategy over margin optimization. The retailer’s 8% growth last quarter indicates that this strategy is bearing fruit. However, it’s important to note that this approach may have its drawbacks as Walmart’s margins come under pressure.

Average selling price trend across a basket of 500+ SKUs across Target, Walmart, Kroger, Amazon in the grocery category from Jan ’22 to Feb ’23.

In order to weather inflationary pressures, Walmart may adopt a cautious approach to growth while also focusing on securing margins. Reports suggest that the retailer has been pushing back against consumer packaged goods (CPG) manufacturers following a series of price hikes to counter inflationary cost pressures in early 2023. One of the reasons behind Walmart’s growth and increased sales can be attributed to ‘non-traditional’ higher-income households now seeking deals and discounts at Walmart as their spending power declines.

Interestingly, Amazon emerges as the highest-priced retailer, followed by Kroger, which increased its prices by 10% throughout the year. Consumer perception commonly associates Amazon with the lowest prices, but the data tells a different story. In fact, Amazon has been charging 12% to 18% higher prices than Walmart for groceries and is still maintaining its success.

While the company’s online sales declined by 4%, it saw a significant 9% increase in revenue from third-party seller services, such as warehousing, packaging, and delivery, in 2022. Amazon’s strong logistics and same-day delivery services give it a competitive advantage over other retailers, contributing to its revenue growth and margins. Interestingly, this presents an opportunity for Walmart and other retailers to increase prices while maintaining their strong competitive price positions.

Kroger, on the other hand, seems to be aiming for a premium price perception, consistently raising prices almost every month. Kroger’s pricing strategy appears to be closer to Amazon’s.

Average Selling Price for High-Volume Daily Staples

Pricing strategies often change for different categories of products. To better understand this, we focused our analysis further on a small subset of 30+ high-volume staples across retailers. These include baked goods, popular beverages, canned food, frozen meals, dairy, cereals, detergents, and other similar items.

Average selling price trend of 30+ high-volume daily staples across Target, Walmart, Kroger, Amazon in the grocery category from Jan ’22 to Feb ’23.

Walmart, possibly overestimating the impact of inflation, has continued to keep its prices the lowest, potentially aiming to increase margins through volume.

The level of price disparity across retailers is expectedly lower here, with Amazon and Kroger closely tracking Walmart’s average prices.

Target’s pricing strategy stands out as it consistently emerges as the highest-priced retailer for daily staples, despite being one of the lower-priced retailers for a broader basket of grocery items. This suggests that Target’s underlying technology may not be as optimized to address market dynamics compared to other leading retailers. In our opinion, Target may want to strengthen its efforts to track pricing more intensely for this sub-category.

A Data-fuelled Approach is the Need of the Hour

In the challenging economic landscape, retailers and grocery stores are under pressure to maintain their revenues and margins. Adopting a comprehensive and dynamic pricing strategy is crucial. Understanding which product categories are experiencing price increases among competitors can help retailers make informed decisions on pricing at both the category and product level.

Retailers should consider their balancing margin performance with consumers’ willingness to pay, rather than implementing broad price increases that may harm customer trust. Price increases can be challenging for both customers and merchants. Retailers who employ a data-driven and insight-based approach are more likely to succeed.

Keep an eye on the DataWeave blog for analysis on pricing, discounting, stock availability, discoverability, and more, across retailers and brands from other industry segments as well.

For immediate insights, subscribe to our interactive grocery price tracking dashboard. Better still, reach out to us to speak to a DataWeave expert today!

June 16, 2023
Competitive Pricing and Availability Trends of South Africa’s Leading Retailers and Brands in 2023
South Africa’s eCommerce market is primed for robust growth in 2023 and beyond, despite the short-term impact of COVID19 over the last few years. According to Statista, the country’s eCommerce market size is $7.2 billion in 2023, with an expected CAGR of 12.5% till 2027. South Africa’s user penetration is already as high as 49.4% and is only set to grow. In essence, there is a massive opportunity for retailers to capitalize on.

For retailers, capturing the lowest priced spot among competitors is often the most certain way to attract and convert online shoppers. Ensuring their products are priced competitively on a consistent basis is key to gaining and maintaining market share in this booming market. This requires South Africa’s online retailers to track and compare the pricing of their products relative to their competitors on an ongoing basis.

For brands, ensuring their pricing and discounting strategies are aligned to market trends are key to gaining market share. In addition, on the backdrop of supply chain challenges globally in the recent past, brands need to ensure high stock availability rates to capitalize on rising consumer demand. In addition, as brands conceptualize and implement a cohesive eCommerce strategy, price parity across all online channels becomes increasingly important.

In this report, we leveraged DataWeave’s proprietary data aggregation and analysis platform to focus our analysis on leading South African retailers and brands and their eCommerce performance across several key dimensions.

Our Research Methodology

Retailers tracked: Takealot, ShopRite, Pick n Pay, Leroy Merlin
Number of SKUs: 40,000+
Number of categories: 190+
A few key categories highlighted: Bath, Food, Home, Spirits
Timeline of analysis: Oct 2022 to March 2023

Key metrics reported:
- Price Increase Opportunity: When a retailer can increase the price of its product by a certain amount while continuing to stay the lowest priced among competitors. This directly helps boost margins.
- Price Decrease Opportunity: When a retailer must decrease the price of its product by a certain amount to gain the lowest price position. This helps gain more sales.
- Action Rate: The share of price improvement opportunities (either price increase or price decrease) actually acted on by the retailer within 15 days of the opportunity presenting itself. For example, an action rate of 25% would mean that for every 100 price improvement opportunities identified, the retailer acted on 25 of them within 15 days.
Competitive Pricing Actions of Retailers

Retailers often have dramatically varying approaches to responding to their competitors’ pricing actions. Also, it is not sufficient merely to react but also to react fast. The following chart displays the average action rates for price increase and decrease opportunities, and also breaks down the reported pricing actions into ones acted on within 5 days, 6-10 days, or 11-15 days of the opportunity presenting itself.

Takealot clearly has a strong competitive pricing engine, using which the retailer is able to act on more than half (51%) of price increase opportunities (thereby gaining margin), and over a third (36%) of price decrease opportunities. However, it can do better in acting on many of them faster. Only 52% of the opportunities are acted on within 5 days, while the rest take up to 15 days.

Average Action Rate and Velocity of Pricing Actions of Retailers

ShopRite and Pick n Pay each have a healthy action rate of 23% for price increase opportunities, but only 9% and 5% respectively on price decrease opportunities. This displays a relatively inconsistent effort in gaining price leadership. ShopRite follows a similar distribution of pricing action velocity as Takealot, albeit for fewer price improvement actions. In comparison to ShopRite, Pick n Pay (which has a similar level of pricing action levels) acts much faster, with 64% of price improvement opportunities acted on within 5 days.

Leroy Merlin acted on only 9% and 6% of its price increase and decrease opportunities, respectively. However, in terms of its velocity of pricing actions, it is far ahead than the rest, with 90% of its pricing actions done within 5 days. This, however, would matter little without strong action rates to begin with. So, Leroy Merlin has a massive opportunity to boost its competitive pricing tracking and operations.

Average Action Rate of Retailers, Oct 2022 to Mar 2023 | Price Leadership of Retailers, Nov 2023 to March 2023

Based on the chart above, over the last 6 months, it is clear that Takealot has maintained its price leadership throughout the period, driven by consistently aggressive action rates on price improvement opportunities.

Certain nuanced trends do emerge when month-on-month variances are observed on both action rates and price leadership rates across the analyzed retailers. For example, Takealot’s actions rates have been marginally declining, which has resulted in price leadership rates also declining from 14% in November 2022 to 10% in March 2023.

Also, when ShopRite started getting more active in its action rates early in 2023, we observed an uptick in its price leadership positions. Leroy Merlin’s low action rates, coupled with low magnitudes of price changes has resulted in an average of only 2% of its products being the lowest priced relative to its competitors.

Pricing and Availability of Leading Brands

In the following section, we report on the average discounts, price parity levels, and the stock availability of the top 5 brands (in terms of number of SKUs) in each of four key product categories: Bath, Food, Home, and Spirits.

Bath

Nivea and Protex have on average been offering high discounts in the last 6 months, peaking around the holiday season in December 2022 and January 2023.

What’s more, these two brands have the highest share of their own products carrying discounts (10% and 9% respectively). Sanex has been conservative in both the average discounts offered as well as its share of discounted products.

Though Nivea has been offering attractive discounts, its stock availability has been low on average. However, it has been improving in the past few months, starting as low as 70% in October 2022 to reaching around 90% in March 2023. Dettol, too, has faced issues with its availability while showing some improvement in the recent past. All of the other leading brands in this category display healthy stock availability levels of above 90%.

Food

Kellogg’s and Rhodes have been offering the highest discounts in the food category, especially around the holiday season. They also lead in the share of discounted products (14% and 7% respectively).

Typical to the Food category, most other leading brands have offered lesser discounts on a smaller share of their products.

In addition to offering attractive pricing, Kellogg’s seems to also have its supply chain operations in control, with almost a consistent stock availability of 100%. Most other brands struggled towards the end of 2022 and have been improving ever since. Nestle, in particular, was challenged with an availability of only 70% in October 2022, but has not improved it to 90% in March 2023.

Home

The Home category displays the highest variance in discount ranges among its leading brands compared to the other categories highlighted in this report. Brands like LocknLock and Legend have been offering discounts in the range of 25% to 35% on a share of more than a third of each of their products.

On the other hand, ADDIS and Prestige have been offering discounts in the range of 0% to 5%, on a very small range of their products (<5%).

In categories like Home, maintaining a consistent brand perception among consumers is essential to boost brand value and loyalty. If there is a large disparity in the prices of the products of a brand across multiple eCommerce websites, then it negatively affects how consumers perceive the brand.

Here, the average price disparity (or variance) for LocknLock is only 10%, compared to almost 30% or more for other brands like Eetrite, Prestige, and ADDIS. Essentially, the brands discounting the most are also the ones with the lowest pricing disparity, which indicates a well thought-out, data-driven approach to eCommerce pricing and discounting – one that values both sales conversion as well as brand reputation.

Prestige and Eetrite have been struggling with their supply chain operations, with the availability of Prestige dipping to as low as 55% in December 2022. Legend’s stock availability was strong towards the end of 2022 but has been steadily declining in 2023 so far. LocknLock and ADDIS display healthy stock availability levels of 95% and above.

Spirits

The average discounts of almost all leading Spirits brands peaked during Christmas, with Tanqueray, Jameson, and Glenlivet offering up to 30% discounts in this period.

Since then, the discounts of most brands have been oscillating within the 5% to 20% range. The percentage of discounted products for all leading brands are around 20%, with the exception of Smirnoff.

Similar to the Home category, brand perception is vital to the Spirits category as well. However, here we see almost a consistent level of pricing disparity among leading brands, varying between 18% and 25%. Brands looking to build a “premium” perception among consumers, such as Glenlivet and Tanqueray, might do well to ensure better pricing parity across their eCommerce channels.

A few Spirits brands saw a dip in stock availability in December 2022, likely due to increasing demand during the Christmas season. For example, Jameson’s availability dipped to below 80% in this period. It has since improved to reach an availability level of above 90%. Johnnie Walker, too, has shown a significant improvement in its stock availability, moving from 80% in October 2022 to 95%+ in March 2023.

For more details on the state of South Africa’s eCommerce landscape as well as similar insights for other retailers and brands in the region, talk to us today!
April 14, 2023
Valentine’s Day eCommerce Insights

Access to these types of real-time digital marketplace insights can enable retailers and brands to make strategic decisions and help drive profitable growth in an intensifying competitive environment. Be sure to reach out to our Retail Analytics experts for access to more details regarding the above analysis.

February 11, 2022
2021 Cost-Push Inflationary Trends Ran Rampant, Impacting Holiday Discounts

Business has been anything but usual this holiday season, especially in the digital retail world. The holiday hustle and bustle historically seen in stores was once again occurring online, but not as anticipated given the current strength of consumer demand and the reemergence of COVID-19 limiting in-store traffic. While ‘Cyber Weekend’, Thanksgiving through Cyber Monday, continues to further its importance to retailers and brands, this year’s performance fell short of expectation due to product shortages and earlier promotions that pulled forward holiday demand.

Holiday promotions were seen beginning as early as October in order to compete with 2020 Prime Day sales, but discounting, pricing and availability took an opposite direction from usual. This shift influenced our team to get a jump start on our 2021 digital holiday analysis to assess how drastic the changes were versus 2020 activity, and to understand how much of this change has been influenced by inflationary pressures and product scarcity.

Scarcity Becomes a Reality

Our initial analysis started by reviewing year-over-year product availability and pricing changes from January through September 2021, leading up to the holiday season, as detailed in our 2021 Cyber Weekend Preliminary Insights blog. We reviewed popular holiday categories like apparel, electronics, and toys, to have a broad sense of notable trends seen consistently throughout various, applicable marketplaces. What we found was a consistent decline in product availability over the last six months compared to last year, alongside an increase in prices.

Although retailers significantly improved stock availability in November and early December 2021, even digital commerce giants like Amazon and Target were challenged to maintain consistent product availability on their website as seen below. While small in magnitude, there is also a declining trend occurring again closer toward the end of our analysis period, post Cyber Weekend, across all websites included in our analysis.

Source: Commerce Intelligence – Product Availability insights for Home & Garden, Jewelry & Watches, Clothing & Shoes, Bed N Bath, Lighting & Ceiling Fans categories

Greater Discounts, Higher Prices?

With inflation at a thirty-nine year high, retailers and manufacturers have realized they can command higher prices without impacting demand as consumers have shown their willingness to pay the price, especially when threatened by product scarcity. Our assessment is that while some products and categories have responded drastically, manufacturers’ suggested retail prices (MSRPs) have increased nearly seven percent on average from January to December 2021. MSRP adjustments are not taken lightly either, as this is an indication increased prices will be part of a longer-term shift in product strategy.

Source: Commerce Intelligence – Pricing Insights for Bed & Bath, Electronics, Furniture, Healthy & Beauty, and Fashion categories on Amazon.com & Target.com each month in 2021 comparing price increases from January 2021 base

Our 2021 pre-Cyber Weekend analysis reviewed MSRP changes for select categories (Bed & Bath, Electronics, Furniture, Healthy & Beauty, and Fashion) on Amazon and Target.com, and found around forty-eight percent of products on Amazon and thirty-five percent of products on Target.com have increased their MSRPs year-over-year, but kept pre-holiday discount percentages the same.

Looking more specifically as to what year-over-year changes occurred on Black Friday in 2021, we observed MSRPs increasing across the board for all categories at various magnitudes. This indicates why 2021 discounts appeared to be greater than or equivalent to 2020 for many categories, when in reality consumers paid a higher price than they would have in 2020 for the same items.

Source: Commerce Intelligence – MSRP Pricing Insights for Bed & Bath, Electronics, Furniture, Healthy & Beauty, and Fashion categories on Black Friday November 27th, 2021, versus average MSRP pricing for the same SKU count from November 20-26th 2021

On Amazon.com, categories like health & beauty have already increase MSRPs by a much greater percentage and magnitude versus Target.com leading up to and during Black Friday 2021, while other categories like furniture have increased MSRPs evenly on average across both retail websites. The below chart cites a few specific examples of year-over-year SKU-level MSRP, promotional price, and discount changes within found within the electronics, furniture, fashion, and health & beauty categories.

Source: Commerce Intelligence – MSRP Pricing Insights for Bed & Bath, Electronics, Furniture, Healthy & Beauty, and Fashion categories on Black Friday November 27th, 2021, versus average MSRP pricing for the same SKUs on Black Friday November 26th, 2020.

Fewer, but Deeper Discounts

From October through early November 2021, fewer products were discounted compared to this same period in 2020, and the few that were saw much deeper discounts apart from the home improvement category. The most extreme example we saw in discounts offered was within furniture where only three percent of SKUs were on discount in 2021 compared to twenty-six percent in 2020. Interestingly, the magnitude of discount was also higher pre-Cyber Weekend 2021 versus 2020, but this trend was not exclusive to furniture and was also seen within electronics, health & beauty, and home improvement.

Source: Commerce Intelligence – Pricing Insights for Bed & Bath, Electronics, Furniture, Healthy & Beauty, and Fashion categories on Amazon.com & Target.com Pre-Black Friday average selling price during November 20-26th 2021 versus average selling price from November 13-19th 2021 compared to Pre-Black Friday average selling price during November 19-25th 2020 versus average selling price from November 12-18th, 2020.

Within the furniture category, the subcategories offering the greatest number of SKUs with price decreases on Black Friday 2021 were rugs by a wide margin, followed by cabinets, bed and bath, and entertainment units, but the magnitude of discounts offered were all under twenty percent.

Source: Commerce Intelligence – Pricing Insights for Bed & Bath, Electronics, Furniture, Healthy & Beauty, and Fashion categories on Amazon.com and Target.com on Black Friday November 27th, 2021, versus average pricing for the same SKUs from Pre-Black Friday November 20-26th 2021 and Black Friday November 26th, 2020, versus average pricing for the same SKUs from Pre-Black Friday November 19th-25th 2020

Accounting for this phenomenon could have been retailers’ attempts to clear inventory for SKUs which hadn’t sold even during the period of severe supply chain shortages. With more products selling at higher prices this year, retailers were also able to use fewer SKUs with greater discounts to attract buyer in hopes of filling their digital baskets with more full-priced goods, helping to protect margins heading in to Cyber Weekend. Scarcity threats also encouraged consumers to buy early, even when not on promotion, to ensure they would have gifts in time for the holidays.

The same trends seen pre-Cyber Weekend 2021 were also seen on Black Friday with a year-over-year decrease in the percentage of SKUs offered on discount versus 2020, and steeper price reductions for the discounted products which can also be attributed to the increase in MSRPs.

Source: Commerce Intelligence – Pricing Insights for Bed & Bath, Electronics, Furniture, Healthy & Beauty, and Fashion categories on Amazon.com and Target.com on Black Friday November 27th, 2021, versus average pricing for the same SKUs from Pre-Black Friday November 20-26th 2021 and Black Friday November 26th, 2020, versus average pricing for the same SKUs from Pre-Black Friday November 19th-25th 2020

2021 Black Friday Price Increases?

We all know Black Friday is all about price reductions, discounts and deals and so it’s rare to see actual price increases, yet for Black Friday 2021, trends ran counter to this. We observed price increases across all categories for around thirteen to nineteen percent of SKUs, with an average price increase of around fifteen percent in 2021 versus an average of only two percent in 2020.

Source: Commerce Intelligence – Pricing Insights for Bed & Bath, Electronics, Furniture, Healthy & Beauty, and Fashion categories on Amazon.com and Target.com on Black Friday November 27th, 2021, versus pricing for the same SKUs from Pre-Black Friday November 20-26th 2021 and Black Friday November 26th, 2020, versus average pricing for the same SKUs from Pre-Black Friday November 19th-25th 2020

At an account level, we noticed a few interesting differences happening on Black Friday 2021 versus 2020 regarding category price changes. On Target.com, almost ninety percent of the bed and bath SKUs analyzed had a price change on Black Friday in 2021 versus 2020 with eighty-two percent presenting a higher price year-over-year versus only around seven percent showing a decrease, where on Amazon nearly forty-four percent of bed and bath SKUs showed an increase in price and around thirty-eight percent showed a decrease. Except for the health and beauty category on Target.com, more than half of the SKUs in each category saw a price increase on Black Friday versus a price decrease.

Source: Commerce Intelligence – Pricing Insights for Bed & Bath, Electronics, Furniture, Healthy & Beauty, and Fashion categories on Amazon.com and Target.com on Black Friday November 27th, 2021, versus average pricing for the same SKUs on Black Friday November 26th, 2020.

The magnitude of year-over-year price changes seen on Black Friday 2021 was significant across all categories, but the magnitude of price increases found on Amazon.com within the health and beauty category outpaced the rest by far. We reviewed three hundred and sixty-five SKUs on Amazon.com within the health & beauty category and saw almost eighty-three percent of them had a price change with around thirty-one percent decreasing prices and around fifty-two percent increasing prices. This means that within the health & beauty category on Amazon.com, more than fifty percent of the SKUs tracked were sold at a one hundred and seventy-six percent higher price on average during Black Friday 2021 versus 2020.

Source: Commerce Intelligence – Pricing Insights for Bed & Bath, Electronics, Furniture, Healthy & Beauty, and Fashion categories on Amazon.com and Target.com on Black Friday November 27th, 2021, versus average pricing for the same SKUs on Black Friday November 26th, 2020.

The subcategories offering the greatest number of SKUs with price increases on Black Friday 2021 were cameras, followed by men’s fragrances, laptops, and desktops & accessories, but the magnitude of discounts offered were all under ten percent.

Source: Commerce Intelligence – Pricing Insights for Bed & Bath, Electronics, Furniture, Healthy & Beauty, and Fashion categories on Amazon.com and Target.com on Black Friday November 27th, 2021, versus pricing for the same SKUs from Pre-Black Friday November 20-26th 2021 and Black Friday November 26th, 2020, versus average pricing for the same SKUs from Pre-Black Friday November 19th-25th 2020

The Aftermath Post-2021 Cyber Weekend

Extending this analysis beyond the holiday weekend, we analyzed price change activity from December third through the ninth across the top US retailers (chart below) and found that price decreases have been very minimal, comparatively speaking. Though there was a spike in number of price decreases from December 8^th to the 9^th, the percentage of SKUs with price decreases was still very low (less than three percent). We anticipate this trend will continue into 2022.

Source: Commerce Intelligence – Pricing insights for Home & Garden, Jewelry & Watches, Clothing & Shoes, Bed N Bath, Lighting & Ceiling Fans categories

A Sign of Things to Come

A confluence of inflationary trends, product shortages and consumer liquidity have driven many marketplace changes to occur simultaneously. Government programs in the form of stimulus checks, have put extra money in consumers’ hands, and so they’ve been more willing to spend. That, coupled with the shock in the supply chain, has motivated people to buy far ahead of the 2021 holiday season. Hence, retailers have needed to rely much less on across-the-board discounts. Promotions have been more strategic – we’ve seen deeper discounts over fewer products, likely used to draw consumers in to buy certain items, and once they’re there, customers are buying everything else at a non-discount level. When these factors once again normalize, we could see a return to the “race to the bottom” that has occurred since the financial crisis of 2008-2009, but for once, retailers may be able to maintain some pricing power as the 2021 holiday shopping season played out.

Even though performance was not as anticipated and holiday sales did not grow as rapidly as they did in 2020, Cyber Monday was still the greatest online shopping day in 2021. Through it all, retailers managed to keep their digital shelves stocked and orders filled in time for the holidays for the most part, running the risk of housing aged inventory if goods didn’t arrive in time. Despite predictions for steep promotions in January 2022, with supply chains still challenged and inflationary pressures still full steam ahead, we don’t anticipate much in the way of enhanced discounts to continue beyond the holidays.

Access to these types of real-time digital marketplace insights can enable retailers and brands to make strategic decisions like how and when to address inflationary pressures, while also supporting many other day-to-day operations and help drive profitable growth in an intensifying competitive environment. Continue to follow us in the coming weeks for a detailed 2021 year-end review across more retailers and categories. Be sure to reach out to our Retail Analytics experts for access to more details regarding the above analysis.

January 4, 2022
How Brands Can Outperform Rivals With Next-Gen Digital Shelf Analytics

As eCommerce grows in complexity, brands need new ways to grow sales and market share. Right now, brands face urgent market pressures like out-of-stocks, an influx of new competition and rising inflation, all of which erode profitability. As online marketplaces mature, more brands need to make daily changes to their digital marketing strategies in response to these market pressures, shifts in demand, and competitive trends.

eMarketer forecasts 2021 U.S. eCommerce will rise nearly 18% year-over-year (vs. 6.3% for brick-and-mortar), led by apparel and accessories, furniture, food and beverage, and health and personal care. The eCommerce industry is also undergoing fundamental changes with newer entities emerging and traditional business models evolving to adapt to the changed environment. For example, sales for delivery intermediaries such as Doordash, Instacart, Shipt, and Uber have gone from $8.8 billion in 2019 to an estimated $35.3 billion by the end of 2021. Similarly, many brands have established or are building out a Direct to Consumer (D2C) model so they can fully own and control their customer’s experiences.

In response, DataWeave has launched the next generation of our Digital Shelf Analytics suite to help brands across retail categories directly address today’s costly market risks to drive eCommerce growth and gain a competitive advantage.

“Our new enhancements help brands improve online search rank visibility and quantify the impact of digital investments – especially in time for the busy holiday season.”
~ Karthik Bettadapura, CEO and co-founder, DataWeave

The latest product enhancements provide brands access to tailored dashboard views that track KPI achievements and trigger actionable alerts to improve online search rank visibility, protect product availability and optimize share of search 24/7. Dataweave’s Digital Shelf Analytics platform works seamlessly across all forms of eCommerce platforms and models – marketplaces, D2C websites and delivery intermediaries.

Dashboard for Multiple Functions

While all brands share a common objective of increasing sales and market share, their internal teams are often challenged to communicate and collaborate, given differing needs for competitive and performance data across varying job functions. As a result, teams face pressure to quickly grasp market trends and identify what’s holding their brands back.

In response, DataWeave now offers executive-level and customized scorecard views, tailored to each user’s job function, with the ability to measure and assess marketplace changes across a growing list of online retail channels for metrics that matter most to each user. This enhancement enables data democratization and internal alignment to support goal achievement, such as boosting share of category and content effectiveness. The KPIs show aggregated trends, plus granular reasons that help to explain why and where brands can improve.

Brands gain versatile insights serving users from executives to analysts and brand and customer managers.

Prioritized, Actionable Insights

As brands digitize more of their eCommerce and digital marketing processes, they accumulate an abundance of data to analyze to uncover actionable insights. This deluge of data makes it a challenge for brands to know exactly where to begin, create a strategy and determine the right KPIs to set to measure goal accomplishment.

DataWeave’s Digital Shelf Analytics tool enables brands to effectively build a competitive online growth strategy. To boost online discoverability (Share of Search), brands can define their own product taxonomies across billions of data points aggregated across thousands of retailer websites. They can also create customized KPIs that track progress toward goal accomplishment, with the added capability of seeing recommended courses of action to take via email alerts when brands need to adjust their eCommerce plans for agility.

“Brands need an integrated view of how to improve their discoverability
and share of search by considering all touchpoints in the digital commerce ecosystem.”
~ Karthik Bettadapura, CEO and co-founder, DataWeave

Of vital importance, amid today’s global supply chain challenges, brands gain detailed analysis on product inventory and availability, as well as specific insights and alerts that prompt them to solve out-of-stocks faster, which Deloitte reports is a growing concern of consumers (75% are worried about out-of-stocks) this holiday season.

User and system generated alerts provide clarity to actionable steps to improving eCommerce effectiveness.

You also have visibility to store-level product availability, and are alerted to recurring out-of-stock experiences.

Scalable Insights – From Bird’s Eye to Granular Views

DataWeave’s Digital Shelf Analytics allows brands to achieve data accuracy at scale, including reliable insights from a top-down and bottom-up perspective. For example, you can see a granular view of one SKUs product content alongside availability, or you can monitor a group of SKUs, say your best selling ones, at a higher level view with the ability to drill down into more detail.

Brands can access flexible insights, ranging from strategic overviews to finer details explaining performance results.

Many brands struggle with an inability to scale from a hyper-local eCommerce strategy to a global strategy. Most tools available on the market solve for one or the other, addressing opportunities at either a store-level basis or top-down basis – but not both.

According to research by Boston Consulting Group and Google, advanced analytics and AI can drive more than 10% of sales growth for consumer packaged goods (CPG) companies, of which 5% comes directly from marketing. With DataWeave’s advanced analytics, AI and scalable insights, brands can set and follow global strategies while executing changes at a hyper-local level, using root-cause analysis to drill deeper into problems to find out why they are occurring.

As more brands embrace eCommerce and many retailers localize their online assortment strategies, the need for analytical flexibility and granular visibility to insights becomes increasingly important. Google reports that search terms “near me” and “where to buy” have increased by more than 200% among mobile users in the last few years, as consumers seek to buy online locally.

e-Retailers are now fine-tuning merchandising and promotional strategies at a hyper-local level based on differences seen in consumer’s localized search preferences, and DataWeave’s Digital Shelf Analytics solution provides brands visibility to retailer execution changes in near real-time.

Competitive Benchmarking

Brand leaders cannot make sound decisions without considering external factors in the competitive landscape, including rival brands’ pricing, promotion, content, availability, ratings and reviews, and retailer assortment. Dataweave’s Digital Shelf Analytics solution allows you to monitor share of search, search rankings and compare content (assessing attributes like number of images, presence of video, image resolution, etc.) across all competitors, which helps brands make more informed marketing decisions.

Brands are also provided visibility into competitive insights at a granular level, allowing them to make actionable changes to their strategies to stay ahead of competitors’ moves. A new module called ‘Sales and Share’ now enables brands to benchmark sales performance alongside rivals’ and measure market share changes over time to evaluate and improve competitive positioning.

Monitor competitive activity, spot emerging threats and immediately see how your performance compares to all rivals’, targeting ways to outmaneuver the competition.

Sales & Market Share Estimates Correlated with Digital Shelf KPIs

In a brick-and-mortar world, brands often use point of sale (POS) based measurement solutions from third party providers, such as Nielsen, to estimate market share. In the digital world, it is extremely difficult to get such estimates given the number of ways online orders are fulfilled by retailers and obtained by consumers. Dataweave’s Digital Shelf Analytics solution now provides sales and market share estimates via customer defined taxonomy, for large retailers like Amazon. Competitive sales and market share estimates can also be obtained at a SKU level so brands can easily benchmark their performance results.

Additionally, sales and market share data can also be correlated with digital shelf KPIs. This gives an easy way for brands to check the effect of changes made to attributes, such as content and/or product availability, and how the changes impact sales and market share. Similarly, brands can see how modified search efforts, both organic and sponsored, correspond to changes in sales and market share estimates.

Take Your Digital Shelf Growth to the Next Level

The importance of accessing flexible, actionable insights and responding in real-time is growing exponentially as online is poised to account for an increasing proportion of brands’ total sales. With 24/7 digital shelf accessibility among consumers comes 24/7 visibility and the responsibility for brands to address sales and digital marketing opportunities in real-time to attract and serve online shoppers around the clock.

Brands are turning to data analytics to address these new business opportunities, enhance customer satisfaction and loyalty, drive growth and gain a competitive advantage. Companies that adopt data-driven marketing strategies are six times more likely to be profitable year-over-year, and DataWeave is here to help your organization adopt these practices. To capitalize on the global online shopping boom, brands must invest in a digital shelf analytics solution now to effectively build their growth strategies and track measurable KPIs.

DataWeave’s next-gen Digital Shelf Analytics enhancements now further a brand’s ability to monitor, analyze, and determine systems that enable faster and smarter decision-making and sales performance optimization. The results delight consumers by helping them find products they’re searching for, which boosts brand trust.

Connect with us to learn how we can scale with your brand’s analytical needs. No project or region is too big or small, and we can start where you want and scale up to help you stay agile and competitive.

November 30, 2021
As Value Shopping Soars, Pricing Matters More

The pandemic’s profound economic impact sparked a surge in value shopping.

Between February and December 2020, 10 million Americans lost their jobs.¹ Due to the pandemic, 36% of lower-income adults and 28% of middle-income adults lost a job or took a pay cut (vs. 22% of upper-income adults). In addition, less than a quarter of lower-income adults have three months’ worth of emergency funds (vs. 48% of middle-income adults and 75% of upper-income adults).²

These financial shifts matter to retailers, as lower- and middle-income households account for 81% (29% and 52%, respectively) of the total U.S. population.³ Reduced disposable income among households like these has led more consumers to embrace bargain-hunting as a shopping habit.

We’ll see why price sensitive consumers are influencing retailers to adjust their e-commerce pricing strategies to stay competitive and responsive.

Consumers seek value across retail categories

Recent research shows 50% of U.S. adults are more sensitive to product prices now than before the pandemic. Also, 80% of U.S. shoppers are taking at least one action to seek more value when they shop for groceries, prioritizing value for money over speed.⁴

According to McKinsey, 65% of consumers cited value as one of their top three reasons they switched brands during the pandemic. Also, 40% of shoppers cited a desire for better value and 38% cited better prices or promotions as reasons for choosing new products.⁵

Value-oriented pricing influences purchases, as 70% of consumers said product discounts are more important today compared to a year ago. In addition, 54% of consumers said better online deals and discounts are a leading factor that persuades them to choose a specific retailer.⁶

As e-commerce explodes, consumers have greater access to information. They can find the best price across online sites and receive notifications when a product’s price drops before they buy.

Retailers face intense pricing pressure

Similar to the aftermath of the 2008 recession, discounters and dollar chain retailers are now thriving as consumers seek superior value for money. Consumers need new products yet they no longer want to spend as much as before.

That’s why bargain retail is poised to be among the biggest winners in 2021 as consumers get out and socialize more. ⁷

Dollar General continues to aggressively expand its omnichannel reach as value shopping soars.⁸ To stay competitive, Family Dollar has partnered with Instacart on same-day delivery.⁹ In the fierce grocery sector, hard discounter Aldi’s omnichannel expansion includes a focus on private labels and efficient operational processes that improve cost effectiveness and competitive pricing.¹⁰

Across retail categories, a remarkable 50 million price changes take place online every day. Given consumers’ shift to value shopping, more retailers are changing their pricing to offer discounts both online and in-store.¹¹ However, to avoid costly price wars, more retailers are now taking a renewed approach to their pricing strategies to protect their margins as they compete.

Specifically, to optimize their e-commerce business for profitable growth, more retailers are modernizing their pricing strategies with data insights.

Pricing intelligence is retailers’ secret weapon

As e-commerce rivalry heats up, retailers must evaluate pricing across more online websites to keep their own prices competitive. This process is becoming increasingly complex and time consuming. Meanwhile, retailers may consider adopting aggressive pricing tactics to win online sales. Yet this pricing strategy is unsustainable over the longer term, as it erodes profit margins.

Today’s heated e-commerce rivalry means retailers can no longer afford to guess at price points or use the same pricing tactics that relied on before the pandemic.

That’s why leading retailers turn to data insights for their pricing strategies to stay agile and flexible while rapidly adapting to fluctuations in consumer demand and competitors’ pricing.

Now more retailers turn to DataWeave’s Pricing Intelligence to drive more revenue and margin.

To optimize profit margins, retailers use our actionable insights to make pricing decisions according to data-driven recommendations. They also make decisions to protect their desired price perception.

Monitoring competitors’ pricing moves helps retailers benchmark their own performance, identify gaps and respond to market trends faster. They can also refer to historic pricing data analytics to accurately anticipate and counter rivals’ next moves to gain an edge.

Retailers that apply data insights to optimize their pricing can drive more online revenue by finding the ideal price consumers are willing to pay while still maintaining profitability. Pricing intelligence can make customer acquisition more efficient, and help retailers grow online sales and market share.

Amid greater price sensitivity, retailers’ pricing strategies are evolving to use data to adapt to consumers’ needs and drive e-commerce sales and profitability. DataWeave’s Pricing Intelligence gives retailers an edge so they stay agile and competitive, and maximize e-commerce sales across consumers of all economic levels.

1. Howland, Daphne. The middle class is stressed and the pandemic isn’t helping. Retail Dive. January 20, 2021.
2. Howland, Daphne. The middle class is stressed and the pandemic isn’t helping. Retail Dive. January 20, 2021.
3. Bennett, Jesse, Richard Fry and Rakesh Kochhar. Are you in the American middle class? Find out with our income calculator. Pew Research Center. July 23, 2020.
4. Maake, Katishi. DoorDash, Instacart Eye Launching Credit Cards. The Harris Poll. April 9, 2021.
5. Charm, Tamara, Harrison Gillis, Anne Grimmelt, Grace Hua, Kelsey Robinson and Ramiro Sanchez Caballero.Survey: US consumer sentiment during the coronavirus crisis. McKinsey & Company. May 13, 2021.
6. Berthiaume, Dan. Survey: Deals drive purchases during pandemic. Chain Store Age. March 18, 2021.
7. Thomas, Lauren. Beauty and bargain retail could be the biggest winners in 2021, Wells Fargo predicts. CNBC. March 25, 2021.
8. Unglesbee, Ben. Dollar General ramps up expansion of Popshelf concept. Retail Dive. March 19, 2021.
9. Ryan, Tom. Will same-day delivery pay off for dollar stores? RetailWire. February 8, 2021.
10. Anderson, George. Should Aldi’s growing store count and digital progress keep rivals up at night? RetailWire. February 11, 2021.
11. Berthiaume, Dan. Survey: Deals drive purchases during pandemic. Chain Store Age. March 18, 2021

June 2, 2021