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Retail
Retail: Pricing & Store Potential Optimization
Value
+6.7% margin
Timeline
10 weeks
The Problem
Decentralized pricing across stores meant premium and high-traffic locations were priced too low relative to their cost structure and demand. Store location potential was underestimated.
The Solution
3-model approach: (a) calculate location effect on pricing (b) isolate clean price-demand elasticity (c) extract optimal feasible price points aligned with category goals. Combined sales, location network, demographics, and campaign data.
Tech Stack
PythonRJuliaPostgreSQLPower BI
The Impact
6.7%
6.7% higher profit margins
5.3%
5.3% higher sales volumes in strategic growth categories
40.0%
40.0% reduction in pricing work