Predictive Price Management and Bulk Pricing

Servicing multiple countries, different regions, and 3 different customer segments with one price management tool

About METRO

Markets: Metro operates in 24 countries
Retail domain: Multichannel retailer and wholesaler
Active SKUs: 28.000

Yieldigo modules in use:
Price management, Bulk Pricing

Motives to take action

Professional pricing competence and dedicated pricing team to be established; a need for one price management tool which can capture the total complexity of the METRO operations.

Implementation of the new METRO corporate pricing policy that supports selling goods in bulks – bulk pricing (buy-more-pay-less).

Defining a new multichannel pricing architecture optimized for each distribution channels, and 3 different customer segments, i.e. 3 different typical SKUs baskets.

The solution

Regular prices management for 360° pricing in multichannel
What-if simulations
Bulk pricing module
Families module to handle SKUs families with less effort equipped with automatic suggestions

The benefits

Pricing process streamlined and automated, while equipped with data insights enabling for making informed decision about prices
Understanding of financial impacts of new pricing strategies and tactics before applied
Detailed visibility into optimal prices for each customer typology
Precise prices across 3 different customer segments
The buy-more-pay-less approach has proven to be margin accretive and well-established with shoppers. Selling more in bulks was unthinkable to achieve in scale with the previous workflows managed in spreadsheets. Enormous workload was the limiting factor.

The vision

At METRO, our business is based on two core customer groups – HoReCa and trader. Then we have also SCOs. Everything that can be segmented is segmented, and you can target individual customers very precisely. The COVID pandemic meant that we needed to redefine our pricing strategy very quickly. With Yieldigo price management tool having been used for years in our company, we were able to react promptly.

With the support of Yieldigo, we were also able to implement a new approach to bulk pricing. In 2020, we recorded the same sales as in 2019, despite the loss of the HoReCa market.

Xavier Gardies
Chief Commercial Officer, METRO Slovakia

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