Gartner Research

Prioritize 10 Best Practices for Successful Price Optimization Implementations

Published: 17 March 2015

ID: G00273683

Analyst(s): Robert Hetu

Summary

Tier 1 multichannel retailers are challenged by price optimization implementations that frequently fail to provide promised benefits. This research identifies common best practices among successful implementations of the three major types of price optimization.

Table Of Contents
  • Key Challenges

Introduction

Analysis

  • Human Resources Preparation
    • Executive Sponsorship — Secure Engaged, Active and Supportive Sponsorship From a Key Senior Business Executive
    • Change Management — Implement a Robust Project Management Office and Change Management Program
    • Business Leadership — The Business Must Lead With Strong IT Collaboration
    • Business User Readiness — Evaluate Business Users' Ability to Understand and Use Analytical Applications to Improve Decision Making
  • Data and System Preparation
    • Historical Data Evaluation — Determine the Quality and Availability of Relevant Historical Data
    • Visioning and Process Mapping — Conduct Visioning Sessions That Produce As-Is and To-Be Merchandise Pricing Process Mapping
    • RFP Preparation and Solution Selection — Take No Shortcuts During the RFP and Resulting Solution Selection
    • System Dependencies and Project Overlap — Know the Potential Roadblocks, and Alert the Executive Sponsor
  • Pricing Strategy Preparation
    • Pricing Management Process and Organization — Create an Effective Process and Structure in Anticipation of Required Change
    • Existing Pricing Strategy, Multichannel Pricing Trends — Understand Current Multichannel Pricing Strategy and the Impact of Future Pricing Trends

Gartner Recommended Reading

©2019 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner is a registered trademark of Gartner, Inc. and its affiliates. This publication may not be reproduced or distributed in any form without Gartner’s prior written permission. It consists of the opinions of Gartner’s research organization, which should not be construed as statements of fact. While the information contained in this publication has been obtained from sources believed to be reliable, Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although Gartner research may address legal and financial issues, Gartner does not provide legal or investment advice and its research should not be construed or used as such. Your access and use of this publication are governed by Gartner’s Usage Policy. Gartner prides itself on its reputation for independence and objectivity. Its research is produced independently by its research organization without input or influence from any third party. For further information, see Guiding Principles on Independence and Objectivity.

Already have a Gartner Account?

Become a client

Learn how to access this content as a Gartner client.