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For brands in sectors such as apparel, Footwear, Jewelry, Sporting Goods, Home Goods, and Department Stores, finding the right retail pricing strategies is crucial to survival and profitability. Dynamic pricing is especially effective for Apparel and Footwear retailers during sales seasons or product launches.
Do consumers return the entire product or part of their purchases? Whether it’s apparel, or hard goods like paper goods and notebooks, or pens, pencils and backpacks, price increases on all those types of products have been put through. What features are guests engaging with on the products they see?
Results : Customer acquisition cost (or CAC): 60% lower for Shopping vs Search campaigns. Return on Ad Spend (or ROAS): Shopping campaigns deliver 2x the revenue for the same advertising budget compared to Search campaigns. Conversion rate (or CR): Traffic from Shopping campaigns converts at 3 times the rate of Search campaigns.
That’s why retail key performance indicators are dominated by inventory-based metrics like Gross Margin Return on Investment and In Stock Percentage. On top of that, even smaller retailers must address the multi-channel reality of today’s shopping environment. But those factors are just the tip of the iceberg.
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