Price Optimization

Improved conversion rates and grew online sales by taking a formula-based approach to price optimization and testing customer responsiveness.

  • Identified shipping cost to be the root cause of the low transaction rate
  • Reviewed infrastructure and to identify how we were able to adjust the shipping model without impacting bottom line profitability
  • Created pricing model and incremental shipping rules
  • Supported the client through implementation and roll-out
  • Provided guidance to manage potential customer impacts

Within 60 days of implementation, sales increased by 108%, add to cart rates increased by 40%, and the conversion rate increased 48%.

Adjustments to the shipping model and pricing structure meant that the average profit margin stayed consistent. In essence, we crafted the perception of maximum value to the customer without sacrificing the client’s margin