• Objective

An international tobacco company was spending a significant amount of time and effort to manage prices and market share equilibrium. With growing competition and margin pressures, they desired to nfuse analytics, automaton, and predictability into their global pricing process.

Solution

Forecasting data marts are formed with internal (prce, competitor product price, promotion activities) and external sources (weather, exchange rate information, macro-micro economic values). Product- level forecasting models for each market have been developed through automated development, evaluation and selection processes. Price change effects were analyzed in order to understand market dynamics. Different price and exchange rate scenarios are simulated, and findings made contribution to the determination of corporate price strategies.

Wins

In-depth market insights

Simulation interface to test what-if scenarios

Increase in revenue