Price transparency has become an overnight issue for retailers.
Miami, FL (PRWEB) April 14, 2011
RSR Research's latest report, "Optimizing Price in a Transparent World: Benchmark 2011," RSR’s fourth annual benchmark on the topic, finds today’s retailer challenged by a sophisticated, price-sensitive consumer. As consumers research online for the best deals before leaving home or use their smart phones to find the lowest prices in stores, they are not only forcing more competitive behavior between retailers, they are exposing different prices by geography and channel within a retailer’s chain. Retailers’ principle response to consumer price transparency has been to invest in more targeted promotions.
These findings are based on a survey of 68 retailers between December 2010 and March 2011. The report can be downloaded at http://www.retailsystemsresearch.com/_document/summary/1269. The report is sponsored by Revionics and SAS, and supported by Softechnics, a division of RedPrairie.
"Price transparency has become an overnight issue for retailers," said Nikki Baird, Managing Partner at RSR Research and co-author of the report. "Four times as many retailers reported it as a business challenge this year over last year. When you couple that with consumer price sensitivity and increased price competitiveness in the industry overall, retailers are really struggling to avoid competing on price.”
"With commodity prices on the rise, retailers are going to be really challenged to raise prices as their own costs go up," adds Paula Rosenblum, the report’s co-author. "What’s ironic is that while retailers acknowledge price sensitive consumers, they don’t ascribe it to anything in particular - they especially don’t seem to be aware of consumer price comparisons, whether online or in stores."
"Optimizing Price in a Transparent World: Benchmark 2011" contains analysis of the business drivers, opportunities, and organizational constraints surrounding pricing initiatives, as well as recommendations for creating successful pricing capabilities. The report is part of RSR Research's ongoing efforts to provide market intelligence on retail technology trends, and can be downloaded here:
About RSR Research:
Retail Systems Research (“RSR”) is the only research company run by retailers for the retail industry. RSR provides insight into business and technology challenges facing the extended retail industry, and thought leadership and advice on navigating these challenges for specific companies and the industry at large. RSR’s services include benchmark reports covering the state of retailer technology adoption for topics ranging from merchandising and supply chain, store operations and workforce management, to customer-facing and multi-channel technologies. Custom research reports provide more in-depth views into topics of industry interest, and advisory services help retailers and technology vendors make the most of the insights RSR provides. To learn more about RSR, visit rsrresearch.com.