ESL Trick #3: Price Automation
What are the benefits of automating prices with electronic shelf labels?
Using paper labels in a store means you risk quite frequent pricing errors, between 5 and 10% of prices on average. Pricing errors can range from a tag that is misplaced or not updated with the latest price, to a tag that is missing from the shelf, which can lead to customer dissatisfaction.
For example, if the price on the shelf is lower than the actual price, it may upset the customer when it comes to pay, and it takes additional time for staff to resolve the issue. If the price on the shelf is higher than the actual price, then this can dampen sales and lead to a build-up of excess inventory.
Besides allowing pricing errors to decrease, why should retailers simplify their in-store operations with electronic shelf labels?
Respect for price accuracy
With our PRICER electronic shelf labels, prices are updated digitally and automatically. They enable retailers to quickly modify the prices of their stores in a synchronized way, ensuring consistency between the price on the shelf and the price at the checkout. Thanks to our automated pricing systems, no loss of sales or stock issues are recorded, and customers are happy. T Shelf crawl is reduced dramatically since labels are securely mounted at the shelf and require dedicated tool to be moved.
Moreover, by implementing pricing automation solutions, retailers stay ahead of their competition. In fact, they can take advantage of Big Data and integrate dynamic marketing tactics into their business strategy to respond to competitor activities, enable hyper-personalization, activate in-store promotional campaigns, or even stimulate interest in a product that doesn’t sell well.
Improved productivity and profitability of store operations
Changing prices manually is a tedious task, especially during promotional campaigns. Depending on the size of the sales area, retailers can change hundreds or even thousands of prices every week. In addition, during promotional campaigns, it is possible for stores to recruit extra staff to carry out the price changes dedicated to this campaign on time.
By automating pricing, retailers save time to focus on value-adding operational tasks such as helping shoppers and stocking up critical products. This allows retailers to be more profitable and boost the productivity of their operations.
Seamless omnichannel experience
With the advent of the internet, consumption habits have changed. The last few years have proven that traditional retail and online retail complement each other. This trend is driving consumers to ask for a unified shopping experience, with accurate and up-to-date information, regardless of the channel. However, these new requirements are becoming difficult for physical stores. In fact, in online retail, there is no restriction on price changes, while in physical retail, the stores have to limit the number of price changes, even if they can suffer from the agility of the competition.
With our PRICER electronic shelf labels, this problem becomes an opportunity. Retailers can change the prices of a single product or all the products multiple times throughout the day, making easier the convergence between their physical and online retailing system. Not only do they guarantee full price integrity online, on shelf and at the register, but it promotes a seamless consumer experience when making a purchasing decision.
As a result, it boosts customer engagement and satisfaction, but it also creates a more positive showrooming experience. Customers will be more likely to shop in-store knowing that prices are consistent across all channels.
Conclusion – Price automation is a paradigm for omnichannel retailer. By implementing our PRICER electronic shelf labels, prices are updated in real time, retailers can better control their pricing strategy, gain a competitive advantage and elevate the overall consumer experience.