[Case study] Case Study on How RDE Group Uses Competera Products
International retailer, RDE Group is the client. They own and manage stores mostly in the Baltic and Finnish markets such as Lithuania, Latvia, Estonia and Finland. They specialize in wholesale and retail trade in electronics and consumer goods.
- 28 physical stores;
- 4 online stores;
- Over 250 different brands;
- Over 100,000 ready-to-ship items in separate warehouses for each online store.
RDE.It started using Competera’s product, Competitive Data, in 2014 because they needed to receive a constant stream of fresh, complete and up-to-date data of their competitors. Prior to connecting with Competera, that task was done manually.
In order to get an efficient and error-free analysis of their competitors, RDE Group integrated with Competera Competitive Data.
For RDE Group, an important criterion for selecting a contractor was the adaptability and flexibility of the system, the ability to quickly integrate with an internal ERP-system as well as other solutions made by the retailer.
The criteria that guided the management of the company was the quality of the data and the flexibility of their transmissions:
- The number of zero prices is no more than 10% of the analyzed assortment.
- The relevance, or “freshness”, of the data (the number of prices collected within a two-hour range until the moment it is displayed in the report is no less than 95%).
- The time of comparison for a new product should take up to 20 minutes (double checking the quality of the comparison).
- The Data Streaming Timeframe takes about 2-3 minutes.
- There’s an automatic warning for inactivity or falling competitors.
Competera’s Competitive Data allows retailers to receive all of the information on the API-protocol in the internal management system of the online store or save it as an Excel table for managers to work on in the future.
The company uses the data obtained from the prices of the competitors to reevaluate the goods: the internal system, analyzing the data, and establishing a new value for the goods on the basis of pre-established algorithms. Afterward, new prices appear in the virtual shop window.
After processing what the internal robot received from Competera’s information and reevaluation, the new value of the products appears on the online storefront.
The main results from the cooperation are the improvement of business indicators, the reduction of work time for managers and an increase in customer loyalty.
The optimal price on the site was one of the reasons why 96% of buyers recommended the store to their friends (data from the internal survey by RDE.It).
The speed and frequency of reactions to the market fluctuations has increased.
A manager’s work was optimized and both the indicators for controlling prices in the market as well as the reaction to price changes improved.
Bogdan Nesterenko, Development Director at RDE Group
Reviewing Up Results
In addition to the right prices and optimizing the work of managers, RDE Group uses Competera in order to assess potential markets for expansion.
Instead of blindly opening stores, retailers first explore a potential country with data from Competera.
RDE Group gains the opportunity to more accurately assess the competitive field and optimize a storefront prior to opening it in a new market, as well as getting more loyal customers from the second it’s opened.
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