Inflation on the Hill - Pricing Analytics with AI

Part 1 Introduction

In UK, as well as in the rest of the world, inflation is now soaring, at a 40 years record level. In all around the globe, people and companies are struggling. Layoffs are becoming popular again. All these conditions are bringing us to the horrific word “reccession”. Now is probably the best time to invest for pricing analytics if some budget is previously secured for analytic solutions. Companies need to focus on pricing optimization, along with other good options such as customer segmentation, assortment optimization and SKU rationalization projects.

Pricing Analytics is one of the hottest topics we are currently paying huge attention to at KoçDigital. In the next post of this series, we will mention about regression-based, tree-based and artificial neural network based pricing algorithms. We will also provide interpretations for model scores with a real project and explain some sector-based need analysis for potential pricing analytics solutions for Retail, FMCG, CPG, Automotive. The final products, by-products, raw materials and spare parts of all these sectors can be the field of investigation and projects for pricing analytics.

Lastly, let’s further explain the “Fool on The Hill” analogy. I have to say, as a firm Beatles fan since childhood, it feels great to link my first analytics post with this catchy title. When asked back in the day, Paul McCartney described “fool” as a solitary figure who is not understood by others, but is actually wise. With our Pricing Analytics solutions at KoçDigital, we are here to be fellows with this wise guy whom we believe is “Wise Man On The Hill”- Inflation.