We are super excited to show a little preview of our new product for e-commerce stores.
What does it do? Profit analytics. Every store owner should continuously look at sale data, combine them with visitor statistics and compute periodic performance reports.
The problem is, combining visitor and sale data is quite cumbersome and time-consuming. That’s why, to automate this process, we’ve created PriceOptimizer.com. As soon as we sync your sale and visitor history, you can browse through your products and measure profit conversion statistics.
You can compare and analyze different conversion graphs for measuring different metrics — profit, revenue and number of sales.
Simple Pricing tests
Shop owners can now incorporate statistical pricing alongside their usual pricing process. PriceOptimizer recommends you the optimal price for a product based on historical price and demand elasticity. You can then tweak your price slightly based on recommended price.
PriceOptimizer can be used to perform pricing tests. Imagine your product unit cost per item is 20$, and you would like to determine, if it is more profitable to sell at 25$ or 30$. You then pick a time period, e.g. 14 days and evaluate a pricing experiment.
Set the price to 25$ for 7 days, then to 30$ for another 7 days. It is important to pick a time period, where you don’t expect overall product conversions to be influenced by seasonality too much.
After running the 14 day experiment, you can compare profit conversions for different prices (profit per visitor) in PriceOptimizer’s dashboard. Based on per visitor conversion statistics, you can then decide which price is more profitable. For each price, you can compare the time period when it was active, number of sales, visitors, conversions and profit per visitor.
To help us decide whether the conclusions are valid, we employ a statistical confidence test. This tells us, what’s the chance that our conversion results are just bad luck, as we had to too few visitors etc.
We currently provide integrations with Shopify and Google Analytics. Syncing data can also be done by using our secure API — so that any e-commerce or visitor platform that you might be using can be integrated.
As we put finishing touches on UI and integration code, we well be inviting more users for a Closed Beta account. We hope to invite everyone for a test drive of the product soon.
If you are interested in trying PriceOptimizer, please sign up for a Closed Beta invitation here.