Price Response Analysis

The IBM® Omni-Channel Merchandising Price Response Analysis graphically illustrates sensitivity to base price changes for products, Demand Groups, Line Groups, and categories by division. You can view the lift effects relative to the other products, Demand Groups, or Line Groups in the same category.

Price Response Analysis is viewed in a separate browser window so you can browse products and merchandising behaviors while comparing scenarios and analyzing scenario results, for example. You can access Price Response Analysis from these locations: Tools drop-down menu at the top of a IBM Omni-Channel Merchandising page, Price tab drop-down menu, the Scenario Results, Scenario Price Approval, and Production Price Approval reports, and many of the Data Maintenance Price and shared reports (at the SKU levels).

Users of the Promotion application who are experimenting with different EDLP or current price/list cost override performance detail types should reference the price elasticity and other values in the Price Response Analysis rather than the Promotion Response Analysis. The Promotion Response Analysis shows volume response from temporary price reductions whereas the Price Response Analysis shows volume responses based on longer term prices.

# Price Changes in the Selection Details area represents the volume weighted average number of price changes across all stores during the calculation period. For the number of price changes for a Demand Group, the product in the Demand Group with the largest number of price changes is used for the calculation.