<p>What is personalized pricing? It means that customers shopping at the <b>same store</b> are offered <b>different prices</b> on the same items, depending on their <b>predicted behavior</b> - something online retailer Amazon has been doing successfully for years.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Using <b>algorithm technologies</b>, offers can be customized at an individual level - a very attractive concept for retailers. Each year, U.S. manufacturers spend upwards of <b>$100 billion on trade promotions</b> and it’s estimated that <b>70%</b> of these promotions are <b>not effective</b>.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><b>Safeway’s ‘Just for U’ program</b>, uses customer loyalty card <b>transaction histories</b> to decide which <b>one-to-one offers</b> to give each customer. Individualized offers are printed based on previous purchases, encouraging increased sales. It's common knowledge that numerous other major retail chains also have loyalty card programs. This data could also be used for similar customized offerings.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Another company, <b>Engage3</b>, is taking a forward-looking approach, actually <b>predicting future shopping behavior</b>. This system can figure out <b>who needs a special offer and who does not</b>. If it knows someone already intends to buy the product, the system leaves them alone.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">In the future, consumers may end up receiving <b>one-to-one offers</b> and <b>customized pricing</b> more often - to the benefit of shoppers, retailers, and suppliers alike.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><a class="btn btn-sm btn-primary col-lg-12" style="white-space: normal;" href="http://www.safeway.com/" target="_new"> Safeway </a><hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><a class="btn btn-sm btn-primary col-lg-12" style="white-space: normal;" href="http://www.engage3.com/" target="_new"> Engage3 </a></p><hr class="legacyRuler"><hr class="invisible minimal-padding">
