The Challenge
In the global market, not only do different brands compete, but often a company's own product competes with itself. Varying price levels in individual countries lead to parallel imports, revenue losses, or missed profit opportunities. How can pricing be successfully determined across borders without alienating customers or sacrificing profits?
How it works
ALAS|CA CEO assists companies in determining profit-optimal price corridors in complex markets. Instead of using isolated or standardized pricing strategies, the tool employs a multidimensional optimization model. It takes into account country-specific willingness to pay, market sizes, margins, and arbitrage effects. A specialized search algorithm simulates billions of price combinations and accurately finds the profit maximum – in minutes rather than years.
In-depth
ALAS|CA is based on Advanced Latent Class Analysis and has been specifically developed for international pricing strategies. The integrated algorithm utilizes, among others, the Newton-Raphson method to identify and systematically enhance country-specific price ranges. Optimization is carried out empirically, transparently, and simulation-supported – including "what-if" scenarios.
Your Advantage
- Systematic Pricing
You define price corridors, the tool finds the profit-maximizing solution – across all countries.
- Manage Complexity
ALAS|CA handles vast amounts of data and makes international pricing strategies manageable.
- Avoid Parallel Imports
Coordinated price points reduce risks of market distortion and arbitrage.
- Respond Flexibly with Scenarios
ALAS|CA simulates price changes and shows the impact of individual measures – ideal for reacting to unforeseen market developments.
What Professionals & Participants Say
“The markets developed as Produkt + Markt predicted. The re-positioning for both brands analyzed was a great success!”
“I used to calculate the price corridor with Excel. ALASCA|CEO did the job in 10 minutes where I needed 2 weeks before.”
Areas of Application
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