The retail industry is undergoing a massive transformation that is being driven by higher expectations from consumers and a changing landscape for retailers and manufacturers. Engage3 is flipping the price optimization paradigm on its head — optimizing Price Image to achieve retailers' desired outcomes.
Price Image Management Suite™ is an end-to-end Software-as-a-Service platform that integrates Engage3's Competitive Intelligence Management and Engage3's Price Image Optimization solutions.
Competitive Intelligence Management (CIM) provides comprehensive competitive pricing visibility, product linking, and reverse-engineering of competitors' zoning strategies. It solves the problem that the first version of price optimization solutions missed - the foundation of accurate and timely competitive information to feed its optimization engines. First generation price optimization solutions oftentimes result in pricing decisions that are based on inaccurate and incomplete competitive data. CIM solves this problem and helps retailers outperform their competition on speed, accuracy, coverage, and frequency.
Price Image Optimization (PIO) helps retailers formulate their pricing strategy by measuring Price Image and enabling the strategic tradeoff between their Price Image and their desired margins. Unlike a price Index, Price Image measures the customer's value perception relative to competing retailers. While first generation price optimization solutions are based primarily on pricing rules, price indices, and profit objectives, Engage3 has developed proprietary behavioral models that measure consumers' perception of retailers' pricing and predict the impact of price changes on that image.
"It's proven difficult for retailers to craft a holistic strategy for pricing," said Ken Ouimet, Engage3 Founder and CEO. "The calculation of a retailer's Price Image in the market will be disruptive in strategic pricing. We use predictive models that are especially valuable in forecasting sales, because Price Image allows a retailer to see how its customers will respond to different pricing strategies. This visibility translates into higher profit margins and happier customers," he added.
Also part of the Price Image Management Suite™ launch is Engage3's new branding, which will be rolled out in phases over the next several weeks.
Engage3 was founded by the creators of KhiMetrics (acquired by SAP), who are credited with inventing the retail price optimization space. Engage3's leadership team is composed of former KhiMetrics, SAP, Revionics, dunnhumby, KSS Retail, and IBM/DemandTec executives.
Engage3's Price Image Management Suite™ helps retailers understand and manage their Price Image and align it with their sales and profitability objectives using predictive modeling. The suite includes Competitive Intelligence Management (CIM) - an AI-assisted, attribute-based, and data science-driven solution that provides accurate, granular competitive data (30 billion product pricing records collected annually in the U.S. and Canada) and like-item-linking visibility. CIM helps retailers reverse-engineer their competitors' pricing and assortment strategies across channels, markets, and items. Also included in the suite is Price Image Optimization (PIO) – a next generation pricing solution that defines the impact of strategic pricing alternatives and unlocks pricing recommendations based on a retailer's objectives for Price Image, sales, and profitability.
For more information, visit http://www.engage3.com.