Reima’s online store in Japan will start dynamic pricing in December 2021.
Reima opened an online store in Japan in October 2020 and since then, the challenge has been to find the right price level. Now Reima can take advantage of the key strength of dynamic pricing: pricing is based solely on sales data, that is, numbers that describe buyers’ behavior. Reima does not need to know the Japanese language or the competitive situation to price products efficiently. In Japan, the price level is slightly higher than in Europe, and customers are more accustomed to dynamic prices.
“Japanese market is still new to us, and we want to find the right price level for our quality products. For the time being, Reima does not have physical shops or retailers in Japan, so we want to research and test more our customers’ price sensitivity. We believe that Priceffs dynamic pricing provides us with a means to respond pricing challenges and to create ground for future growth”, says Petteri Isotalo, Reima’s head of the Japanese market.
In Priceff’s service, each product is priced according to actual demand. The service automatically adjusts the price of each product to reflect the value of the product to the customer and changing conditions, such as competition, weather, logistics and inventory. The goal is to provide the customer with the best possible service through good availability and a wide range of options while supporting the profitability and growth of Reima’s online store in Japan.
“We are very excited about the opportunity to open a new and significant customer base abroad! Our pricing is based on pure mathematics, so language or cultural differences will not be obstacles. In addition, Priceff has a ready integration to Reima’s Shopify e-commerce platform, which makes it very easy to establish dynamic pricing”, says Priceff’s CEO Heikki Lummaa.