Like many good stories, this one starts with a “heureka”
More than 15 years ago, Priceff’s co-founder Anders Ekholm noticed that it is complicated to predict the future demand; the factors are hard to identify in the first place and they tend to change over time. This means that the factors that would have predicted the demand at some point, often perform poorly when applied at another time.
In addition, Anders had worked with and studied stock markets for years, which made him have a “heureka” moment; why don’t we just forget predicting the future and apply the stock market pricing mechanisms, where the price is based on current demand, to everyday life? Anders then went on to develop a pricing algorithm that does not need to predict the demand but is based on the demand itself. Priceff saw the light in 2016.
The actual development of Priceff as a company started when Tiina Laisi-Puheloinen joined in 2018 and started building a solid team, strategy and processes. She has worked in many roles so far: Chairwoman, CEO and CCO to name a few :). Dynamic pricing of our first major long-term customer Kotipizza started in 2019. We were somewhat hit by covid, which unfortunately put some customers on hold. Heikki Lummaa joined as Priceff CEO in 2021 bringing more pricing and international SaaS business experience. Now in 2022 we have a great team consisting of people with vast experience from pricing, finance, mathematics, software development, product management and SaaS, as well as hands-on experience from several customer segments. Our board members have extensive background in entrepreneurship, sales, investing and leadership.
We are more and more focused on dynamic pricing of capacity and inventory businesses. This means e.g. rentals, reservations, home delivery, EV charging and tickets. However, we also see very high potential in dynamic pricing of in-store retail when utilizing electronic shelf labels – e.g. reducing waste of fresh products with data-driven discounts.