What You Will Learn:
How can retailers set starting prices so that they capture the true value consumers place on the products? Existing products with some sales history lend themselves to price-modeling based on historical data. However, items that are new to an assortment or new to the market have no history from which to draw such inferences.
Getting the price right at initial product introduction is fundamental to a new item's success. This white paper focuses on how to determine optimal starting price points for new products.
- How to determine optimal entry price points for new products with no prior sales history
- How to forecast Average Unit Retail (AUR) prices, enabling better margin forecasting
- How to inform buy decisions - which new products to select, and how deep to make the buys
