Markdown optimization for retailers

Hit the stock level and get maximum possible profit margin with discount depth differentiated on SKU-level, optimal markdown sequentions, and analytical prognoses on goal achievement.

Dashboard

Retail fit

Competera is an industry-agnostic solution suitable for omnichannel, mono-or multi brand retailers with a certain business maturity

Cost-plus

Margin-centric

Ad hoc repricing

Human-driven decision

Market-driven

Competitor-centric pricing triggered by market changes

Regular repricing

Constant manual check

Data dependence

Rule-based

Based on rules and business constraints

Automated repricing

Human-supervised

Market-share focused

Elasticity-based

Mix of rules & demand-based pricing

Real-time repricing

Manager defines goals

Portfolio coverage

Personalized

Shopper-centric pricing

Individual offers based on LTV

Balance between customer demand and business goal

Competera Pricing Platform

A unified workplace with an easy-to-use interface

Competition-based engine

Coherent pricing with transparent cause & effect analysis of every price change.

Details

Smart rules engine

Goal-driven pricing based on preset scenarios, dynamically defined KVIs and analysis of rules.

Details

Demand-based engine

Pricing driven by demand patterns, products cross-impact and more than 20 pricing and non-pricing factors.

Details
Cost-plus

Margin-centric

Ad hoc repricing

Human-driven decision

Engine fit

Competera Pricing Platform
Based on rules and business constraints
Competition-based engine
Pricing driven by demand patterns, products cross-impact and more than 20 pricing and non-pricing factors.
Details
Market-driven

Competitor-centric pricing triggered by market changes

Regular repricing

Constant manual check

Data dependence

Engine fit

Competera Pricing Platform
Based on rules and business constraints
Competition-based engine
Pricing driven by demand patterns, products cross-impact and more than 20 pricing and non-pricing factors.
Details
Rule-based

Based on rules and business constraints

Automated repricing

Human-supervised

Market-share focused

Engine fit

Competera Pricing Platform
Based on rules and business constraints
Smart rules engine
Pricing driven by demand patterns, products cross-impact and more than 20 pricing and non-pricing factors.
Details
Elasticity-based

Mix of rules & demand-based pricing

Real-time repricing

Manager defines goals

Portfolio coverage

Engine

Competera Pricing Platform
Based on rules and business constraints
Demand-based engine
Pricing driven by demand patterns, products cross-impact and more than 20 pricing and non-pricing factors.
Details
Personalized

Shopper-centric pricing

Individual offers based on LTV

Balance between customer demand and business goal

Engine

Competera Pricing Platform
Based on rules and business constraints
Demand-based engine
Pricing driven by demand patterns, products cross-impact and more than 20 pricing and non-pricing factors.
Details

Cover all types of markdown use cases

Depending on the industry, retailer's type, and business objectives, Competera offers the best blend of tools to solve every markdown case.

  • Limited stock

    Sell out all items before the new season begins (for apparel, footwear, and other industries dependant on seasonality)

  • Stock clearance

    Clear excess inventory before the product end-of-life stage is reached (for all industries, e.g., electronics, beauty, etc)

  • Outlet stores

    Liquidate old collections through outlet stores, factory outlets, and other clearance-specific stores (for all industries)

Stop losing money with traditional markdown

Traditional approach

Pressured to clear off shelves in due time, retailers shortfall in profit margin, undermine price perception, and compromise on overall financial health.
  • ‘Blanket’ discounts
  • Diluted margin
  • Uncertain probability of hitting stocks
Traditional approach
Traditional approach

Markdown optimization

Using Competera platform, retailers set up and manage regular elasticity-based markdown campaigns with predictable and controllable results.
  • Discount differentiation at SKU-level
  • Maximized margin
  • Suggestions on sequential discounts and predictions on hitting stocks
Markdown optimization
Markdown optimization

What is under the hood of markdown optimization?

Competera’s RNN analyzes retailer’s historical sales data to recommend an optimal discount at an SKU-level so the targeted stock level is reached with a maximum margin rate.

Based on set parameters (max. promo depth, markdown’s time frames, expected stock level), the platform’s time-series based algorithm generates the prognoses on hitted the stock level and gained margin.

Data input

  • Historical sales (min 2 years)
  • Historical promo (min 2 years)
  • Promo calendar
  • Product description
  • Product stock availability

Execution

  • Suggesting sequential discount periods
  • Calculating cross elasticities and sales cannibalization effect
  • Differentiated approach instead of blanket discounts
  • Preventing profit margin from drop

How leaders win with Competera?

A leading Eastern European apparel retailer Intertop reached the point of 10.3% gross profit saving along with 200 b.p. of profit margin saving after only 6 weeks of using Competera.
"When using machine learning in repricing, we set business goals and constraints. Machines do the rest of the job. In other words, we do not do repricing per se, but we set the rules of the game and control the results. Technology does boost the financial performance of your company"
author photo
Ilona Baskova
Brand Manager at Intertop
How leaders win with Competera?
How leaders win with Competera?

Why choose Competera?

Competera is an all-in-one pricing platform with a disruptive pricing approach leading to touchable results for omnichannel retailers.

Let us show you

  • Turnkey solution Reprice thousands of SKUs from Day 1
  • Suits any portfolio Manage any number of categories
  • Technological transparency Feed in dozens of constraints

Let us guide you

  • Individual pricing design 4⁴ pricing solution combinations
  • Well-balanced pricing Millions of cross-impact simulations
  • Short-term forecast Up to 98% forecast accuracy

Let us impress you

  • Subscription-based mode Minimal subscription - 1 year
  • Fast integration Integration & first profit - in 60 days
  • PoC-proven results Duration up to 90 days
  • Guaranteed projected profit ROI 600%-800%

Retail pricing software trusted by market leaders worldwide

Reveal the full potential of pricing

Leave contacts and we’ll show more opportunities for your business

Best Analytics / BI Solutions

E-commerce Germany award

Price Optimization Solutions

Constellation

#1 eCommerce Solutions Software 2019

Crozdesk

Top 3 startups at the AI Summit

London Tech Week

Great User Experience

Finance Online

High Performer 2020

G2 Crowd

Learn more about our platform

How Price Optimization Works?

Our software powered by a dense neural network combines strategy, business rules, ML, and data to recommend optimal prices and forecast the effect on the demand. The model guarantees 90-98% short-term prediction accuracy.

  1. Add history of 2+ years data sources
    • Sales transactions
    • Stocks
    • Assortment info
    • Repricing activities
  2. Define business targets

    Choose the right repricing model to increase sales volumes or revenue.

  3. Define business constraints

    To control the repricing outcomes, add multiple business rules - from maximum number of repriced products, groups of products locked for repricing to costs & MAP.

  4. Get optimal prices

    Apply price recommendations to reach your business targets.

Machine Learning Solution Solves Real-world Retail Problems

Sell slow moving stocks
Actions

Optimize prices while taking into account the profit margin of your entire product portfolio

Results
  • Loyal customers are focused on high-margin products
  • The profitability of your product portfolio remains unchanged
React to the rise of purchasing prices Actions

Apply a differentiated approach to pricing. Run several repricing cycles with uneven price ranges to reach KPIs gradually

Results
  • Retain profitability for your entire product portfolio
  • Maintain revenue
Boost sales of fast moving products Actions

Do not change prices, or raise prices for part of your assortment to improve the price perception of chosen products

Results
  • Fast-moving products that consistently generate revenue