Electronic Shelf Labels and Just in Time Pricing in Physical Stores

EasyChair Preprint 11467, version 2

Abstract

The retail industry has witnessed a growing adoption of dynamic pricing, a strategy involving real-time adjustments to product prices based on various factors. This approach allows retailers to optimize revenue, promptly respond to market fluctuations, and meet consumer demands more efficiently. Many retailers are turning to AI-driven solutions to implement Just In Time pricing successfully, benefiting from unparalleled speed and precision in price adjustments. This paper delves into the synergistic relationship between AI-driven Just In Time pricing and Electronic Shelf Labels (ESLs), emphasizing the potency and potential of this combination in modern retail. We commence by providing an overview of dynamic pricing and its evolution in the retail sector, underscoring its key advantages and challenges. Following that, we introduce ESLs as a pivotal tool in the execution of dynamic pricing. ESLs, functioning as digital price tags, can be instantly updated to reflect price changes, promotions, and other product information.

Our exploration encompasses the impact of ESLs on price consistency, operational efficiency, and customer engagement. Additionally, we scrutinize case studies of retailers who have successfully implemented AI-driven dynamic pricing with ESLs, showcasing tangible benefits such as increased revenue, enhanced inventory management, and improved customer satisfaction. These cases exemplify how the integration of AI and ESL technology can adapt pricing strategies to factors like supply and demand, competitor pricing, and consumer behavior.

Keyphrases: AI-enbaled Pricing, AIoT, Electronic Shelf Labels (ESL), Just In Time Pricing, Machine Learning in Retail, Retail Technology, price gouging, real-time pricing

@booklet{EasyChair:11467,
  author    = {Sandeep Shekhawat},
  title     = {Electronic Shelf Labels and Just in Time Pricing in Physical Stores},
  howpublished = {EasyChair Preprint 11467},
  year      = {EasyChair, 2024}}