{"id":8276,"date":"2016-04-05T12:51:40","date_gmt":"2016-04-05T10:51:40","guid":{"rendered":"https:\/\/unex-group.com\/2016\/04\/05\/clever-solutions-for-price-differentiation-in-online-retail\/"},"modified":"2024-09-13T12:47:25","modified_gmt":"2024-09-13T10:47:25","slug":"clever-solutions-for-price-differentiation-in-online-retail","status":"publish","type":"post","link":"https:\/\/unex-group.com\/en\/2016\/04\/05\/clever-solutions-for-price-differentiation-in-online-retail\/","title":{"rendered":"Clever solutions for price differentiation in online retail"},"content":{"rendered":"<h2><span style=\"color: #000000;\">Clever solutions for price differentiation in online retail<\/span><\/h2>\n<p><span style=\"color: #000000;\">A few years ago, Amazon USA differentiated prices based on the search behavior of individual customers.<\/span><br \/>\n<span style=\"color: #000000;\">Customers noticed that a price fell when they deactivated cookies and rose again as soon as they reactivated the cookie.<\/span><br \/>\n<span style=\"color: #000000;\">This type of price differentiation was not accepted by customers.<\/span><br \/>\n<span style=\"color: #000000;\">So how can the strong development of technologies in recent years be used intelligently to differentiate prices?<\/span><br \/>\n<span style=\"color: #000000;\">With the development of e-commerce, new forms of price differentiation are emerging that take account of increasing market transparency.<\/span><br \/>\n<span style=\"color: #000000;\">Markets are becoming increasingly transparent thanks to new technologies such as price comparison providers (Expedia, Check24, etc.), creating new challenges for price differentiation.<\/span><br \/>\n<span style=\"color: #000000;\">New forms of price differentiation should therefore not allow a direct price comparison and still offer an incentive to buy.<\/span><\/p>\n<h3><span style=\"color: #000000;\">Uncertainty about a product property<\/span><\/h3>\n<p><span style=\"color: #000000;\">One solution is to leave the customer in the dark about at least one characteristic of the product at the time of purchase and thus offer an inferior product alternative.<\/span><br \/>\n<span style=\"color: #000000;\">The customer pays a lower price for this uncertainty compared to the original product and only learns the exact product characteristics after the purchase.<\/span><br \/>\n<span style=\"color: #000000;\">An example of this is blind booking by airlines, where the customer can choose a destination but only finds out the exact destination after booking.<\/span><br \/>\n<span style=\"color: #000000;\">This already works in a similar way with sneak previews at the cinema: the customer buys a cinema ticket at a discounted price because they only find out which film is being shown when they get to the cinema. <b>Advantages for the provider:<\/b><\/span><\/p>\n<ol>\n<li><span style=\"color: #000000;\"><strong>Negative arbitrage effects are avoided<\/strong>, as customers allocate themselves to the different product variants based on their individual willingness to pay (e.g. a business traveler has no flexibility in his travel planning and will not use the cheaper blind booking offer)<\/span><\/li>\n<li><span style=\"color: #000000;\">Price differentiation is <strong>perceived as fair by customers<\/strong><\/span><\/li>\n<li><span style=\"color: #000000;\">Fluctuating <strong>capacity utilization<\/strong> can be reduced<\/span><\/li>\n<\/ol>\n<h3><span style=\"color: #000000;\">Use of e-coupons<\/span><\/h3>\n<p><span style=\"color: #000000;\">Another solution is e-coupons, i.e. vouchers distributed via the Internet.<\/span><br \/>\n<span style=\"color: #000000;\">With the amendment of the German Rebate Act and the German Bonus Ordinance, e-coupons have also been able to be used in Germany for some years now.<\/span><br \/>\n<span style=\"color: #000000;\">Through the use of cookies, customer and purchase-related data is collected so that the customer can be sent e-coupons that correspond exactly to the customer&#8217;s interests and purchasing preferences.<\/span><br \/>\n<span style=\"color: #000000;\">The use of coupons has been established in the USA for decades.<\/span><br \/>\n<span style=\"color: #000000;\">Despite increasing transparency in the online market, e-coupons are a way of enforcing customer-specific prices that are perceived as fair by the customer.<\/span><br \/>\n<span style=\"color: #000000;\">Even if new technologies make it possible to offer customers a completely individual price online based on their search behavior, this is often perceived as unfair and leads to annoyance and uncertainty on the customer side, as in the example of Amazon.<\/span><br \/>\n<span style=\"color: #000000;\">The toy retailer mytoys.de, for example, uses e-coupons as part of its price differentiation.<\/span><br \/>\n<span style=\"color: #000000;\">After expanding its product range to include children&#8217;s clothing, customers who regularly purchased toys from mytoys.de received an e-coupon that gave them a discount on children&#8217;s clothing. <b>Advantages for the provider: <\/b><\/span><\/p>\n<ol>\n<li><span style=\"color: #000000;\">Customer may buy <strong>additional products<\/strong> from a range from which they have not previously purchased<\/span><\/li>\n<li><span style=\"color: #000000;\">Price differentiation <strong>is accepted by the customer<\/strong><\/span><\/li>\n<\/ol>\n<h3><span style=\"color: #000000;\">Conclusion<\/span><\/h3>\n<p><span style=\"color: #000000;\">There are various ways to respond to the increasing market transparency in online retail and still offer differentiated prices.<\/span><br \/>\n<span style=\"color: #000000;\">However, care must be taken to ensure that the pricing system does not become too complex.<\/span><br \/>\n<span style=\"color: #000000;\">Too many different prices often lead to a non-transparent and no longer comprehensible pricing system that loses sight of the customer.<\/span><br \/>\n<span style=\"color: #000000;\">Power BI supports the development and management of differentiated pricing systems.<\/span><br \/>\n<span style=\"color: #000000;\">Let us analyze together how your prices can be differentiated sensibly and pragmatically so that you can benefit from the opportunities offered by price differentiation.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Clever solutions for price differentiation in online retail A few years ago, Amazon USA differentiated prices based on the search behavior of individual customers. Customers noticed that a price fell when they deactivated cookies and rose again as soon as they reactivated the cookie. This type of price differentiation was not accepted by customers. So [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":6346,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","footnotes":""},"categories":[134,135,123],"tags":[],"class_list":["post-8276","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-consumer-goods","category-durable-goods-en","category-unex-analytik-power-bi-en-2"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v23.8 (Yoast SEO v23.9) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Clever solutions for price differentiation in online retail | UNEX BI<\/title>\n<meta name=\"description\" content=\"Optimize your pricing strategy in e-commerce. Learn how to develop new forms of price differentiation\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/unex-group.com\/en\/2016\/04\/05\/clever-solutions-for-price-differentiation-in-online-retail\/\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/unex-group.com\/en\/2016\/04\/05\/clever-solutions-for-price-differentiation-in-online-retail\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/unex-group.com\/en\/2016\/04\/05\/clever-solutions-for-price-differentiation-in-online-retail\/\"},\"author\":{\"name\":\"Daegling Benno\",\"@id\":\"https:\/\/unex-group.com\/en\/#\/schema\/person\/d53ccdfda5516f537f6d19d04e4c64e4\"},\"headline\":\"Clever solutions for price differentiation in online retail\",\"datePublished\":\"2016-04-05T10:51:40+00:00\",\"dateModified\":\"2024-09-13T10:47:25+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/unex-group.com\/en\/2016\/04\/05\/clever-solutions-for-price-differentiation-in-online-retail\/\"},\"wordCount\":636,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/unex-group.com\/en\/#organization\"},\"image\":{\"@id\":\"https:\/\/unex-group.com\/en\/2016\/04\/05\/clever-solutions-for-price-differentiation-in-online-retail\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/unex-group.com\/wp-content\/uploads\/2018\/01\/Multi-Channel-Management-e1440078324237.png\",\"articleSection\":[\"Consumer goods\",\"Durable goods\",\"UNEX BI\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/unex-group.com\/en\/2016\/04\/05\/clever-solutions-for-price-differentiation-in-online-retail\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/unex-group.com\/en\/2016\/04\/05\/clever-solutions-for-price-differentiation-in-online-retail\/\",\"url\":\"https:\/\/unex-group.com\/en\/2016\/04\/05\/clever-solutions-for-price-differentiation-in-online-retail\/\",\"name\":\"Clever solutions for price differentiation in online retail | UNEX BI\",\"isPartOf\":{\"@id\":\"https:\/\/unex-group.com\/en\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/unex-group.com\/en\/2016\/04\/05\/clever-solutions-for-price-differentiation-in-online-retail\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/unex-group.com\/en\/2016\/04\/05\/clever-solutions-for-price-differentiation-in-online-retail\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/unex-group.com\/wp-content\/uploads\/2018\/01\/Multi-Channel-Management-e1440078324237.png\",\"datePublished\":\"2016-04-05T10:51:40+00:00\",\"dateModified\":\"2024-09-13T10:47:25+00:00\",\"description\":\"Optimize your pricing strategy in e-commerce. 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