An effective pricing strategy is a game-changer, especially in the competitive eCommerce landscape. A leading sporting goods retailer, with over 40 years of experience serving sports and fishing enthusiasts, partnered with GrowByData to tackle fierce competition and price volatility. The result? A 26% year-over-year (YoY) revenue growth and a 36% immediate revenue boost on repriced products.
Discover how Price Intelligence Solutions can transform your eCommerce business.
The Challenge: Navigating a Competitive Sporting Goods Market
The retailer faced significant hurdles that slowed their growth:
- Fierce Competition and Price Volatility: Competitors’ fluctuating prices made it hard to stay competitive.
- Inaccurate Data: Their prior vendor couldn’t deliver accurate variant-level pricing data.
- Amazon’s Dominance: Amazon drew shoppers away from Google, shrinking the buyer pool.
- MAP Violations: Competitors violated Minimum Advertised Price (MAP) policies, creating unhealthy competition.
With millions of global customers, the retailer needed a reliable pricing solution to develop a data-driven pricing strategy and exceed customer expectations.
The Solution: GrowByData’s Price Intelligence Platform
GrowByData collaborated with the retailer’s agency partner to deliver a tailored solution:
- Accurate Variant-Level Data: Using AI and human expertise, GrowByData provided precise pricing data across a broader catalog, surpassing the retailer’s previous vendor.
- Seamless Integration: We integrated our platform with the retailer’s website, cross-referencing sales data with pricing insights for deeper analysis.
- Custom Repricing Rules: We worked with the agency to benchmark competitors and create customized repricing rules with a simple workflow for price updates.
- Actionable Insights: Competitor reports and MAP violation alerts empowered the retailer with real-time intelligence.
The Results: 26% Revenue Growth and More
The retailer implemented GrowByData’s price recommendations every 30 days for two years. The impact was immediate:
- 36% Revenue Boost in 10 Days: Repriced SKUs saw a 36% sales increase within 10 days, with growth declining from days 10 to 30—highlighting the need for frequent updates.
- 26% YoY Revenue Growth: Overall revenue grew by 26% year-over-year.
- 50% Increase in SKUs with Sales: More products gained traction, expanding the retailer’s market reach.
Fun Fact: The Impact of Following Price Recommendations
On 1,828 SKUs where the retailer consistently followed our recommendations, sales surged by 59%. In contrast, on 2,904 SKUs where they used our insights but didn’t fully follow recommendations, sales grew by 30%. This shows the power of data-driven pricing strategies.
Why Price Intelligence Matters for eCommerce Retailers
GrowByData Solutions helps retailers stay competitive by:
- Optimizing Pricing: Adjust prices to match market trends and competitor strategies.
- Boosting Revenue: Frequent updates can lead to immediate sales growth, as seen with the 36% boost in 10 days.
- Enhancing Visibility: Combat MAP violations and improve product visibility against competitors like Amazon.
Industry Spotlight: Sporting Goods Retail
The retailer, a 40-year veteran in the sporting goods industry, serves a global audience of sports and fishing enthusiasts. With GrowByData, they not only met but exceeded customer expectations, proving that data-driven strategies can thrive in a competitive market.
Unlock Your Revenue Growth with GrowByData
Ready to boost your e-commerce revenue with Price Intelligence? GrowByData’s solutions help retailers optimize pricing, increase sales, and stay ahead of the competition.
Let’s Talk! – Connect with our experts to explore how we can drive similar results for your business.