What’s new from Luca: June 2023

Competitor Price Tracking

The ability to track and react to competitor prices was the most frequently requested feature from our users. As of this month, automated competitor price tracking is now available on Luca’s platform, which supports 3  use cases – 

1. Users can now track base prices and discounted prices for competing SKUs on other platforms, at a daily, weekly or monthly cadence.
2. Users can get Slack alerts when their SKUs  violate certain pricing thresholds compared to competing products, so they can react quickly
3. Luca’s models now incorporate competitor pricing data as guardrails (such as “I never want to be priced more than 5% higher or lower than my closest competitor”) so that our users can build a pricing strategy that reflects the larger competitive landscape.

Monitoring Engine

If a bad price change is made and no one is around to monitor it, does it damage your business?

It certainly does, so last month, we introduced a monitoring engine for new price changes that performs anomaly detection to detect SKUs that are not performing well in real time.

We do this by tracking conversion, revenue or profitability metrics, and watching for unexpected movements in these key metrics; and we alert the user with slack and email messages when an anomaly occurs.

Customer Story: How MBX created a double digit profit uplift with Luca.

MBX (formerly Memebox) is a venture-backed beauty and personal care startup headquartered in San Francisco. Lynn Chim, MBX’s US Amazon business lead, needed to improve margins in the face of rising COGS and ad costs.

This meant trying to increase prices without hurting revenue. 

Lynn realized that this tradeoff was a tricky needle to thread – make too aggressive a price increase and you churn customers deteriorating both bottom and topline, make too conservative a price increase and you end up leaving profit on the table.

Luca helped Lynn create a 19% net profit uplift and 4.4% gross revenue uplift on her Amazon business, demonstrating the power of pricing intelligence in decision making. Read the full case study here.

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