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What’s Next on the Technology Roadmap for Retailers?

Dr. Stephan Liozu examines the continued interest retailers have in dynamic pricing strategies, specifically Electronic Shelf Labelling technology.

Dynamic pricing continues to make a strong imprint on e-tailer technology roadmaps and investments. Online retailers want the ability to vary prices dynamically based on demand levels, click rates, bundled offerings, special promotions, and increasingly on specific profiles of online shoppers. Some brick-and-mortar retailers are now thinking about adopting these same dynamic pricing tactics and strategies into the retail aisles with Electronic Shelf Labelling (ESL) technology in a quest to drive conversions, revenues, and margins. Implementation of an ESL solution is part technology, part process, part communications – internally and externally with customers. This includes the communication with customers to explain the rationale for frequent price changes. Pricing matching would be automatic though and would require very advanced and dynamic price intelligence solutions directly connected to the in-store ESL system – quite a revolution in the retail world. It may take a while to get there, but for retailers with everyday low pricing and price match guarantees, it might be just around the corner. Nothing can stop progress!

About the Author
Stephan Liozu is the Founder of Value Innoruption Advisors and specializes in disruptive approaches in innovation, pricing and value management. He also has a Ph.D. in Management from Case Western Reserve University and can be reached at sliozu@case.edu.