In a context with very low inflation, pricing strategies became especially complex. The client faced strong pressure from two aggressive competitors, who pursued consistently low-price strategies. With minimal room for price increases, even small adjustments risked customer loss.

On top of that, the client had limited internal data and insights, making it difficult to develop a clear, confident pricing approach.

To navigate these challenges, we helped conduct a comprehensive market analysis, going beyond basic price elasticity. The model incorporated multiple variables:

This enabled the identification of store clusters with higher or lower resistance to price changes, allowing the client to apply differentiated pricing strategies that were sensitive to local market dynamics. The result was a holistic market segmentation built on real-world behaviors and competitive positioning.

Pricing strategy allowed to capitalize value on low elastic stores and strategic depricing allowed to boost traffic and frequency on price sensitive stores.

This proved that smart segmentation can drive growth—even in tight economic conditions.