Track KPIs related to pricing, depth and breadth of discounting, and product/sku offerings
Access up to 5 years of history of sku-level weekly data, aggregated to the product-level
Segment the data by product category & subcategory, price points, product release date, and product attributes (best seller, on clearance, online only)
Analyze the competitive pricing landscape across merchants
View trends on a weekly, monthly, or fiscal quarter basis
Track relationships between pricing/discounting and gross profit margins
Identify KPIs that matter for each merchant
Uncover margin-driving product categories
Bath & Body Works
The Children’s Place
Abercrombie & Fitch
30-50 merchants expected by the end of 2020 spanning Apparel & Accessories, Department Stores, Electronics, General Merchandise, Health & Beauty, and Home.
Merchants’ Pricing & Discounting Trends
As a result of the COVID-19 retail slump, how did American Eagle increase discounting across its products?
New products released in the last 30 days had discounting levels unusually close to older products, at 84% of products discounted
Accessories – historically having more selective markdowns – reached 88% of products discounted
American Eagle’s % of Products Discounted reached an all-time high of 90% in April 2020
Competitive Pricing Landscape
In Apparel, Abercrombie & Fitch had negative YoY ASP trends in April but saw improvements in May. Express saw its pre-COVID-19 negative trends in ASP continue and deepen in April.
Only Lululemon was able to increase its ASP by 8-10% YoY throughout April and early May, benefiting from the ‘home gym’ trend.
Health and beauty companies Bath & Body Works and ULTA also saw increasing price trends throughout April and May. Bath & Body Works posted double-digit YoY increases in ASP throughout the period.
Relationship to gross profit margins
For the entire data history starting in 2Q16, Average $ Discount has the strongest relationship to Lululemon’s gross profit margin, with a correlation of 80% on a YoY basis.
Over a more recent timeframe starting in 1Q18, % of Products Discounted has the strongest relationship to Lululemon’s gross profit margin, with a correlation of 82% on a YoY basis.
With the same parameters and over the same recent timeframe as above, the Bottoms product category (representing ~25% of the dataset) has a correlation of 86% on a YoY basis.
Multi-year sku-level weekly data aggregated to month and fiscal quarter based on transaction volume observed in Earnest’s spend data
Data analysts help clients interpret a nuanced and ever changing data set
Tools to segment data
and build custom analyses