Industry OVERVIEW
MRL is one of the largest retailers based out of India operating more than 800 supermarkets and 30 hypermarkets across the country.
They have a portfolio of more than 3 million Store-SKU combinations belonging to a wide variety of product categories ranging from grocery food, staples, personal care, home care to apparels. The Buying & Merchandising team and the Category Managers were responsible to set the prices for the SKUs on a monthly basis.
They wanted to eliminate the heuristic-based pricing and arrive at better pricing by understanding the elasticity
THE PROBLEM
To generate prices based on a scientific pricing model with all demand driving factors considered, along with elimination of manual interventions.
Gaps in the current system
- Prices were set heuristically by only taking into consideration competition price benchmarks and sourcing benefits
- Pricing was heuristics-based. No visibility into the elasticity of products and thereby leading to margin erosions due to inaccurate pricing
- The flow of prices from Category Managers to the end store POS was a manual process prone to multiple errors and system breakdowns.
Why were we brought in?
Ganit has made a significant dent in various industries using data science and analysis. Ganit partners with clients to translate their data into a tangible, insightful plan of action that delivers on a measurable impact to the clients’ topline & bottom-line growth.
Specifically for this use case since Ganit has worked with various retailers in the past and provided them cutting edge solutions to create a measurable impact to our client’s business a major chunk of these solutions involved an AWS based architecture or services at some step making Ganit a perfectly viable choice for
delivering solutions to related business problems.
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