Case Study: Leading American Technology Company reduces $5M revenue leakage and speeds promotions planning 93% with Algonomy's Merchandise Analytics

A Leading American Technology Company Improves Its Pricing & Promotion Strategy

The Leading American Technology Company, a major U.S. electronics retailer, faced rapid product refreshes, margin erosion from incorrect pricing and over-discounting, complex instant-rebate processes, and limited promotion visibility. To address these challenges it engaged Algonomy and deployed Algonomy’s Merchandise Analytics to drive algorithmic pricing and automate promotion workflows.

Algonomy’s Merchandise Analytics delivered ML-based price elasticity and prediction models, scenario simulation, auto-scheduling and multi-team collaboration to optimize pricing and promotions. As a result, the customer achieved an optimal pricing strategy, plugged $5 million in revenue leakage with zero accidental double rebates, cut instant-rebate lead time from 7 days to 4 hours (a 93% reduction), and extended promotion and pricing visibility to about 20 weeks versus 1–2 weeks.