AI and dynamic pricing in B2B industrial companies: Why it’s not a match made in heaven.

Dynamic pricing is the practice of adjusting prices in real-time based on market demand, competition, and other factors. While this pricing strategy has long been a staple in consumer-facing industries, B2B industrials companies have largely remained skeptical.

However, in certain spaces of the B2B industrials universe, dynamic pricing has proven relevant. Examples can be found at wholesalers selling product categories that are mainly dominated by ecommerce (e.g., power tools), in logistics services, or in base materials and commodity chemicals where formula pricing mechanisms are used.

Artificial Intelligence (AI) on the contrary seems to be on top of everyone’s minds and B2B Industrials companies are no exception. The media is full of example use cases on AI. These can range from demand forecasting, segmenting customers, deeper customer insights, automation along the lead-to-cash and customer care processes, reduced margin leakage, predictive…