Dynamic Pricing: ROI in 4 days

Mar 18, 2024

The Challenge

A leading German eCommerce platform had a very aggressive price policy to strengthen their market leading position through low prices.

To optimize the strategy with a larger focus on margin, the company asked Kineo.ai to build a machine learning based dynamic pricing algorithm to suggest prices based on competitor data, stock data, covid data and historic data. The challenge was to correctly explore price elasticity and the effects of competitor pricing on their products.


The target group increased revenue by 50% and margin by 20% in comparison with the control group, during initial rollout. After initial adjustment period the margin gain stabilized at around 5%.

Ferdinand von den Eichen

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