How does a dynamic pricing algorithm work?

Asked 2 years ago

Hi, does anyone here use dynamic pricing as their strategy and know what determines the pricing for a customer?

Dynamic pricing Pricing strategy Product prices Dynamic price change

Paul Baxter

Tuesday, February 22, 2022

Dynamic pricing means varying the product's price as per market conditions, customer base, and demand. Since this pricing method does not need setting a fixed price, you can vary your pricing for a customer depending on your product's value, customers' shopping habits, and buying power. You must also consider the production cost, market trends, and the historical performance of the product.