Dynamic price and profit optimization requires ongoing investment in advanced analytics, a readiness to respond quickly to competitors, and the ability to step back and reinvent the pricing model. That’s what enables Dynamic Game players to take a comprehensive range of inputs into account when they set prices. They build their whole organization around dynamic pricing.

Your path to growth depends on:

• Capturing supply and demand signals: These feed into a precise AI-supported predictive model that shows how customers respond to slight price changes and what the commercial and financial consequences are
• Improving your algorithms: Successful players test and adjust their models continuously, using the latest data and technologies.
• Remembering fairness: Customers will reject unfair prices regardless of the underlying analytical elegance. Clear communication about the logic of every change is critical.

Finally, it is essential to keep humans in the loop so that the “black box” doesn’t take over. Superior outcomes come from an integration of human talent and advanced analytics.