Since users have gotten used to plane tickets that fluctuate by prices, then Amazon disturbed the electronic commerce space turning on its own version of dynamic pricing, this was a subject. How to adjust the prices of your products in a timely time and reach potential customers before competition?
A Bulgarian startup called Dynamic Pricing AI,, has an answer to this question. The company has found a way to automate the process of rethink online stores by constantly monitoring demand and in inventory, then pushing online ads to concerned customers. “In this way, we increase our customers’ income with 10 to 30% and reduce operational costs by 70%,” explains the founder of the US Simeon Lukov.
The company now enters Startup Collider, the PwC acceleration program in Warsaw, which aims to promote startups from central and eastern Europe, and help them evolve by mentoring and network opportunities.
Catch me if you can
“The idea is to help on medium -sized and important online retailers with intelligent pricing strategies according to their inventory, how users interact with articles in their store, as well as the way in which competition is compared,” explains the founder. Once customers of dynamic pricing have entered their data and rules in the system, it can automate the process itself. This saves time for manual work, optimized stocks and increases income. “We are doing an active part of the electronic retirement company, which represents around 15% of a store portfolio every day,” explains Lukov.
And there is another twist – once the system has represented, it measures how the articles work and create advertising campaigns in Google. “If the system detects that a product can be found at a more affordable price elsewhere, it takes an AD break so that it does not waste the budget,” he explains. The product itself is a SaaS platform that allows customers to actively participate in the process or simply observe it, and the price is based on the number of competitors that must be monitored.
A year after its official departure, the company is already working with customers in Bulgaria, Romania, Croatia, Hungary and Slovenia from different segments. The automobile, toys, cosmetics, sports, DIY and consumer electronics are the most common cases. Lukov is intended for online retailers with income of 500 million euros average. On the customer portfolio, we see companies like Mr. DIY and Sport Depot. With a team of four, the company has managed to launch a product and generate € 45,000 during the first six months of operation and is now looking for the additional development and expansion of the market entering the college of Startup PWC in Poland.
No more than $ 20 million
For the mathematician Simeon Lukov, it is another company, where he can experiment, build algorithms and solve problems. Before that, with Nikolay Nedev, he co -founded an online public electronics store called computer 
. With Browswave, he and Nedev entered the world entrepreneurial network Effort In 2017. “After building the product, I saw another niche and created dynamic prices,” Lukov tells us, who is currently no longer part of Browswave, but still involved in the first company – laptop.bg. The dynamic price is a completely amortized project that is now looking for a small investment to develop its sales and marketing team.
What Lukov is not looking for is becoming a unicorn. What would be perfect for its long -term plan is the scenario in which a large online retailer acquires the company. Part of the reason is the fact that the data science project that the mathematician is attracted will soon be a rather ready product. The other part of the equation, according to him, is the market ”. The retail market optimization market is not yet enormous. In Europe, there are around 110,000 online stores with income or more than 500 million euros, and also competition, so I can imagine that we could be a company of $ 20 million but no more than that, “shares Lukov. In the niche, there is of course the competition. The most serious competitor is a Dutch company that raised a solid Ronde of VC of 3.6 million euros last year. “Our unique sales proposal, however, lies in the combination of discount and marketing,” he explains.
How far the dynamic prices can go, especially after obtaining the PWC accelerator and it will be sufficient from a mathematical challenge for the founder Simeon Lukov, remains to be seen.