AI-Driven Discount Methods Change Fashion Industry in Inflation
BERLIN, GERMANY – The fashion sector faces inflation. A new report by 7Learnings and Dealavo shows how pricing shifts occur in the market. Pricing data comes from 966 brands and 1,006 retailers. The study covers trends in 2023 and 2024. ### Responding to Inflation with Smart Discounting
Retailers shift how they set prices. They raise prices for 2024 but slow the rise. They cut discount rates on some items. They do this to keep prices fair and protect their brand. The report finds that brands now set like prices on their own sites and on online shops. In the past, brands charged more on their sites. Many brands now match these prices to win customers.
The Role of AI in Price Tweaks
Retailers add AI to help with price tweaks. AI helps them choose the best discounts. AI tools study how customers buy and what the market needs. Tamaris used AI to adjust its discounts. With AI, Tamaris cut its discount rate by 5%. This cut helped raise profits and kept sales strong.
Insights from 7Learnings
Felix Hoffmann, co-founder and CEO of 7Learnings, sees data as a strong guide. He says, “Our study shows that fashion companies that add AI and smart tech can set better prices and win in the long run. Our report gives advice that helps companies adjust pricing and discount methods in future months.”
Advice for the Future
The report calls on fashion companies to focus on small, data-based discount moves. Using AI, they can fine-tune prices. Instead of wide seasonal sales, shops can act based on what buyers need. This plan helps raise profits and keeps buyers tied to the brand.
About 7Learnings
7Learnings is an AI-powered pricing firm based in Berlin. Founded in 2019, the firm helps retailers predict price effects, set the best prices, and cut manual work by up to 80%. Its clients include known brands like Westwing, Bonprix, and Tom Tailor.
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Address: Engeldamm 64b, 10179 Berlin
Phone: +49 30 403677370
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The report gives a clear view of trends that help fashion retailers apply smart discount tactics. This guide shows a way to keep success in a tough market.
