Price Monitor

Assess and benchmark your brand's price stability against the market and key competitors

Price Monitor is an essential tool designed to empower your strategic decision-making with deep insights into pricing trends and competitive benchmarks within gfknewron Predict and Predict+.

This tool enables you to addresses pivotal questions crucial for optimizing your pricing strategy and maintaining market competitiveness, such as: 

• How does your brand's price stability compare to your key competitors and market trends?  
• What impact do product mix changes have on your pricing strategy?  
• How can you identify and react to price erosion within your market segment?  
• What are the other key drivers affecting your price changes?  
• How can you leverage market segment pricing data to enhance your competitive edge and avoid devaluation of your brand?  

Start here

Price Monitor lives within the "Pricing and Promotions" section of the main menu.

At the top of the page, you'll find options to select key strategic competitors.  

This feature allows you to set a specific timeframe for analysis—ideal for assessing your price stability within a relevant channel over selected months*. 
*Please note that the initial version of Price Monitor only supports monthly data. 

Market Overview

 The Market Overview section will show you a decomposition of the price change into product mix effect, price erosion and remaining price drivers of your brand and your key competitors in absolute and relative terms.  

Product mix effect

This aspect of price change is influenced by changes in sales volume across differently priced products.  

For instance, a reduction in your brand's average selling price could result from a heightened demand for more affordably priced products during the focus period, as opposed to the comparison period.  

As we see in the graph below where the prices of item 1 and item 2 do not change from January to March, but the amount of units sold does change.  


 

Price erosion

This view represents the average decline in product prices over time.  

Price erosion is observed as a consistent decrease in prices on a like-for-like basis between the focus and comparison periods, often attributed to the aging and outdated technology of products in categories like smartphones and computers.  

An example of this is shown in the graph below where the price of item 1 decreases by -2% per month.  

Be aware that in some categories, it is possible to observe positive price erosion trends that indicate a steady increase of prices over time due to various factors. 

Remaining price drivers

This view encompasses additional factors such as promotions, product launches, and phase-outs that also contribute to price changes.  

Together with product mix and price erosion,  these elements combine to form the total observed price change between the selected periods. 

Feature Segments 

Within the Feature Segments section, you have the ability to compare your brand's price stability against competitors in absolute and relative terms within the key feature segments.

This section illustrates the performance of each segment within a channel, with segment shares adding up to 100%.  

Similarly, brand shares within a feature segment add up to 100% for all brands, providing insight into each brand's performance for a comprehensive market view.  

Select from a list of key segmentation criteria to further refine your market analysis, ensuring a targeted and effective examination of price stability across various dimensions.