AUSTIN, Texas--(BUSINESS WIRE)--Revionics, Inc., a leading provider of End-to-End Merchandise Optimization solutions, announced today a breakthrough innovation with the release of Revionics® Dynamic Pricing. Revionics Dynamic Pricing delivers surgical intra-day pricing, empowering retailers to always deliver the best price throughout the day while avoiding margin loss through rampant price matching. The new release of their SaaS-based portfolio also includes enhancements to Revionics’ promotion and markdown solutions.
“As a leading eCommerce retailer, it was critical for us to adopt a dynamic, highly responsive pricing solution that aligns our prices with shopper and competitive behavior while ensuring overall profitability,” said Girisha Chandraraj, SVP, Chief Digital Officer at Essendant and Chief Operating Officer for CPO Commerce. “Revionics' solutions enable us to respond with the speed, scale and surgical precision needed to help us achieve our revenue goals.”
Revionics Dynamic Pricing: Meeting the Need for Real-Time, Strategic Pricing
According to AT Kearney’s 2015 Global Retail E-Commerce Index, Euromonitor estimates that global online sales will increase from $839.8 billion in 2014 to $1.5 trillion by 2018, with compound annual growth rates of 13-18%.[i] Technology-empowered with unfettered access to product and pricing information, shoppers have an infinite universe of shopping options at their fingertips and are in control and driving the pace of retail change.
In an era where shoppers can quickly price check across multiple channels and competitors, blanket price matching using simple rules results in a ‘race to the bottom’ and continued erosion of margins and profits. To compete profitably, Revionics Dynamic Pricing uniquely combines cutting-edge science and technology to enable both a dynamic and strategic automated response to marketplace changes. Key capabilities include:
- Respond intelligently to competitive price changes in real-time – targeting only those items that matter to shoppers
- Strategically re-evaluate prices using rules and optimization when competitive price changes exceed defined thresholds
- Automate approval workflows for key categories while reviewing exceptions outside users’ defined thresholds
- Retain competitive edge while maintaining financial and strategic targets
In a Gartner report titled “Hype Cycle for Retail Technologies, 2015,” published July 17, 2015, regarding the business impact for Unified Price, Promotion and Markdown Optimization, Research Director Robert Hetu wrote, “This technology provides more-effective pricing and promotion planning throughout the entire life cycle of merchandise. Retailers using this technology have experienced improved margins and sales, as well as improved efficiency in pricing and promotion operations. Gartner has seen 30- to 100-basis-point improvements in gross margins in various product categories, as well as reduction in the negative sales impact from showrooming. In fact, Gartner research shows that the most effective retailers are more than twice as likely to be using a life cycle pricing approach.”[ii]
In addition, Revionics has made significant investments to enhance its market-leading Revionics Promotions and Markdown solutions. New enhancements include:
- Improved Campaign Management and Forecasting: For campaigns and vehicles, retailers can track and manage to exact targets and have enhanced visibility into forecasting, so all promotions can be assessed and adjusted as necessary, resulting in the most profitable outcomes.
- In-depth Analytical Services: Revionics offers advanced services to help retailers decide where to allocate marketing spend for upcoming cycles based on in-depth analytics and analysis across categories and time, evaluating lift across different vehicles.
- Scenario Simulation with Financial Targets: Ability to simulate scenarios and bring financial targets and measures into the workflow so retailers can have the flexibility to do expedited approvals between buyers and divisional merchandise managers.
- Goal-Infused Strategies: Enables retailers to set a markdown strategy based on specific goals such as revenues, profits, and sell-through. With data on both targets and budgets viewable in a single system, retailers can approve markdown plans with complete visibility into their financial plans. The result: enhanced transparency, industry-superior forecasting and optimal results.
Broader Suite of Offerings
With this release and enhancements to existing solutions, Revionics is strengthening its portfolio with the expansion of its four product suites - Revionics® Price Suite; Revionics® Promotion Suite; Revionics® Markdown Suite; and Revionics® Space & Assortment Suite - to optimally address retailers’ challenges and business processes. All products are available immediately.
Revionics® Price Suite
- Revionics® Price Management assures pricing consistency and adherence to company pricing rules, vendor policies and competitive positioning.
- Revionics® Price Optimization blends strategy, business rules, science and data to recommend optimal prices and forecast the effect on consumer demand.
- Revionics® Strategic Price Simulation uses sophisticated predictive analytics and forecasting, to test new strategies and/or changes in rules and constraints and compare, side by side, different outcomes before implementing them in the market.
- Revionics® Dynamic Pricing delivers pricing speed and responsiveness while avoiding margin loss through rampant competitive price matching.
Revionics® Promotion Suite
- Revionics® Promotion Management empowers retailers to easily plan, forecast, simulate and analyze campaigns, promotions and events across all channels while maximizing vendor funds and marketing investments.
- Revionics® Promotion Optimization helps beat the competition through the use of advanced algorithms that blend science, rules and promotion strategies to select the most profitable items and offers.
- Revionics® Social Offer Management allows retailers to engage and motivate their most loyal, influential customers by providing them with specific offers that are then shared in their social network.
Revionics® Markdown Suite
- Revionics® Markdown Management for Long Life Products enables retailers to quickly create, simulate, forecast and compare marks and cadence to efficiently manage their markdowns.
- Revionics® Markdown Management for Short Life Products enables retailers to quickly and profitably clear their seasonal or fashion merchandise.
- Revionics® Markdown Optimization for Long Life Products enables retailers to clear products while maximizing their profit and inventory goals.
- Revionics® Markdown Optimization for Short Life Products minimizes the effect of disruptions by enabling retailers to profitably clear their inventory and achieve their sell through goals.
Revionics® Space & Assortment Suite
- Revionics® Macro Space Optimization uses strategies, individual store performance, extensive item data and predictive science to create optimized store-specific space allocations.
“Our brand promise to our customers and retailers is simple: to deliver unmatched solutions and undeniable results,” said Marc H. Hafner, CEO of Revionics. “This portfolio expansion underscores our commitment to our customers and retailers to continually and aggressively invest in R&D across our solutions to ensure they are armed with the industry’s most innovative price, promotion, markdown and space allocation solutions and capabilities to meet their customers’ demands and outperform their competition. Today’s business strategy has intersected with data science, and our cutting-edge SaaS-based solutions enable retailers to respond with the speed, transparency and scale to achieve what we call a truly responsive merchandising model.”
About Revionics, Inc.
Revionics is a proven leader in End-to-End Merchandise Optimization solutions. Over 40,000+ retail locations around the world optimize with Revionics across 18M+ products and 2.2B+ SKU/store combinations are modeled weekly. Revionics empowers retailers around the globe to profitably execute a data-driven omnichannel merchandising strategy by utilizing one of the most comprehensive sets of shopper demand signals to increase financial performance and improve customer satisfaction. Revionics’ solutions are powered by unmatched demand-based science and advanced predictive analytics to help ensure retailers have the right product, price, promotion, placement and space allocation to drive business performance and seamless shopper experience – online, in-store, social and mobile. Delivered on a scalable, SaaS-based platform, Revionics solutions offer real-time insights and dynamic decisions at speed, scale and frequency, while providing fast ROI. Revionics has been recognized as a Deloitte Technology Fast 500™ and JMP Securities’ Hot 100 Software Company. To learn how you can compete more profitably, please visit www.revionics.com.
[i] A.T. Kearney, “The 2015 Global Retail E-Commerce Index,” April 2015.
[ii] Gartner, “2015 Hype Cycle for Retail Technologies,” John Davison, Miriam Burt, Robert Hetu, Kelsie Marian, July 17, 2015.