Competera Pricing Platform

Background

Founded in 2014, Competera is an AI-powered pricing platform designed to assist retailers in setting and maintaining optimal prices. The company's mission is to transform retailers from pricing executors to decision-makers, enabling them to make data-driven pricing decisions efficiently and effectively. By leveraging advanced machine learning algorithms, Competera aims to enhance profitability and competitiveness for businesses across various industries.

Key Strategic Focus

Competera's strategic focus centers on providing a unified pricing solution that integrates AI-driven demand-based pricing, competitive data analysis, and pricing automation. The platform is tailored for online, offline, and omnichannel retailers, offering:

• AI-Powered Demand-Based Pricing: Utilizes machine learning to analyze customer behavior, willingness to pay, and real-time demand, enabling retailers to optimize pricing beyond traditional competitive models.

• Unified Platform for Multichannel Retailers: Offers seamless integration across all sales channels, incorporating internal sales data, inventory levels, and external competitor data to provide a comprehensive pricing strategy.

• Customer-Centric Pricing: Focuses on personalized pricing strategies that consider customer buying behavior, aiming to improve average order value (AOV) and customer lifetime value (CLV).

Financials and Funding

Competera has successfully secured multiple funding rounds to support its growth and technological advancements:

• Seed Round (January 2024): Raised $3 million to enhance AI pricing capabilities and scale services for multinational retailers.

• Previous Funding: Prior to the 2024 seed round, Competera raised $1 million in November 2017 and an undisclosed amount in subsequent seed rounds, reflecting investor confidence in its innovative pricing solutions.

Notable investors include SMRK VC Fund, StratMinds VC, and Flyer One Ventures, who have contributed to Competera's mission of revolutionizing retail pricing through AI.

Technological Platform and Innovation

Competera's platform stands out due to its proprietary technologies and innovative methodologies:

• Contextual AI Models: Trained on over 10 billion real-life transactions and more than 20 pricing drivers, these models generate optimal price recommendations by considering a wide array of factors beyond price elasticity.

• Comprehensive Pricing Engines: The platform includes various engines tailored for specific pricing needs:

• Initial Price Engine: Ensures accurate initial pricing for new products to maximize early sales.

• Automation Engine: Provides rule-based pricing recommendations for efficient price management.

• Markdown Engine: Offers AI-driven markdown recommendations to achieve targeted sell-through rates.

• Promo Engine: Analyzes promotional elements to identify top-performing scenarios.

• Optimization Engine: Delivers price recommendations based on demand elasticity for data-driven decisions.

Leadership Team

Competera's leadership comprises experienced professionals dedicated to advancing retail pricing solutions:

• Alexander Galkin, Co-founder & CEO: A serial entrepreneur with over 12 years in auditing and consulting for global retail enterprises.

• Alexander Sazonov, Co-founder & COO: Managed a team of over 70 people as Real Estate Director at Dolphin Strategy before co-founding Competera, where he oversees operational efficiency.

• Olena Saraniuk, Head of Marketing: A seasoned professional with a proven track record in crafting impactful marketing strategies within retail tech and AI.

• Yuliya Beregovaya, Head of Pricing Consulting: Formerly at Nielsen, she specializes in understanding shopper behaviors and provides expert pricing solutions consultancy.

• Dmitriy Chernyak, Product Manager: With over 20 years of experience in B2B sectors, he focuses on solving client problems through technology.

Competitor Profile

Market Insights and Dynamics:

The retail pricing software market is experiencing significant growth, driven by the increasing need for dynamic pricing strategies and data-driven decision-making. Retailers are seeking solutions that offer real-time insights, competitive analysis, and AI-driven pricing recommendations to enhance profitability and market positioning.

Competitor Analysis:

Competera operates in a competitive landscape with several notable players:

• Prisync: Offers competitor price tracking software that provides online retailers with dynamic views of competitors' prices and product assortments.

• Price2Spy: An online price monitoring and pricing analytics tool that helps eCommerce professionals monitor and analyze pricing data.

• Pricefx: Provides a full suite of price management solutions, including analytics, price setting, configuration, quoting, rebate, and contract management.

• PROS: Delivers AI-powered solutions for pricing optimization and revenue management.

• Omnia Retail: Specializes in dynamic pricing based on price elasticity of products through intelligent algorithms.

Competera differentiates itself by offering a holistic AI-driven platform that integrates demand-based pricing, competitive data analysis, and pricing automation, providing a comprehensive solution for retailers.

Strategic Collaborations and Partnerships

Competera has established significant collaborations to enhance its market position and innovation capacity:

• Unilever: Implemented Competera's pricing platform to optimize pricing strategies, resulting in increased efficiency and accelerated revenue growth.

• WiggleCRC Group: Adopted Competera's platform to improve pricing automation and ensure a transparent pricing strategy across regional markets.

• Balsam Brands: Utilized Competera's solutions to boost gross margin and revenue by over 3.5%.

Operational Insights

Competera's platform offers several operational advantages:

• Reduced Repricing Time: Automates repricing processes, reducing time by 50% and minimizing manual errors.

• Real-Time Competitive Data: Provides up-to-date market data with 98% accuracy, enabling informed pricing decisions.

• Margin Loss Prevention: Helps prevent up to 6% margin loss through optimal pricing strategies.

Strategic Opportunities and Future Directions

Competera is poised to capitalize on several strategic opportunities:

• Expansion into New Markets: Leveraging its scalable platform to enter emerging markets seeking advanced pricing solutions.

• Enhanced AI Capabilities: Continuing to refine its AI models to offer more precise and context-aware pricing recommendations.

• Strengthening Partnerships: Building on existing collaborations and seeking new alliances to broaden its service offerings and market reach.

By focusing on these areas, Competera aims to solidify its position as a leader in AI-driven pricing solutions for the retail industry.