Algorithms are used to determine optimal prices
Using collected consumer data filtered through proprietary algorithms, First Insight is offering retailers a new solution for better forecasting price elasticity of new products.
Called ElastiCast, the solution, which is part of the company’s InsightSuite predictive analytic platform, is designed to give retailers the tools to analyze various pricing scenarios and then predict how consumers will react to different price points throughout a product’s life cycle—from introduction to final clearance. Having this information in advance should provide retailers better insight into the distribution of demand before they go to market and thus help them set prices more realistically.
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