Research On Dynamic Pricing Of Fresh Products For Retailer H Considering Freshness Change

Fresh products become the important part in people’s daily life.At present,the market of fresh products in China reaches a scale of 5.3 trillion,and the number of weekly purchases of fresh products by ordinary residents reaches about 3 times.In this background,all kinds of fresh product retailers are in fast development.However,due to the perishability of fresh products,their freshness and nutritional value will continue to decline with the passage of time,their pricing has become a key issue for a number of fresh product retailers to consider.Based on the background of the current fresh market and the status of fresh retailers,this paper selects the current domestic large fresh product retailer,retailer H.Analyzing retailer H’s corporate profile,fresh product classification,existing fresh product sales and marketing methods and pricing methods,this paper finds a problem that the freshness of fresh products decreases but the price is set too high,so it can not be sold in time,resulting in profit loss of fresh products.Therefore,how to formulate appropriate pricing strategies to obtain optimal profits according to the law and trend of freshness decline of fresh products becomes an urgent problem for retailer H to solve at present.Based on the theory and literature of fresh products and dynamic pricing,and combined with the actual situation of retailer H,this paper constructs a dynamic pricing model of fresh products considering the change of freshness.Through the analysis,this paper defines a time node and divides the sales cycle of fresh products into the freshness period and the freshness decline period,and the freshness decline period is also divided into several stages according to the freshness change over time.The optimal pricing of fresh products in the freshness period and freshness decline period is obtained with the goal of profit maximization,and the results of the model are analyzed and studied.In this paper,according to the actual fresh sales situation of retailer H,this paper selects the data of the fresh product,determines each parameter of the model,applies the dynamic pricing model of the fresh product to the actual enterprise background,and gets the optimal pricing sequence of the single fresh product in the sales cycle,so as to help retailer H obtain the optimal profit.Selecting the data of four main fresh products,and carrying out sensitivity analysis from the perspectives of pricing times,freshness changes,retailer’s service level and sensitivity coefficient of fresh products consumers,this paper compares and analyzes the influence of parameter changes of these four main fresh product types on the optimal profit of retailer H.The results show that compared with static pricing,using dynamic pricing strategy can help H retailers increase profits and reduce waste;the fresh products of retailer H can obtain the optimal profit under the condition of 5-6 times;improving the service level of fresh retailers,reducing the freshness change rate of fresh products,extending the freshness period of fresh products and reducing consumers’ sensitivity to price are conducive to improving the profit of fresh products of H retailers;The profit of the four kinds of fresh products varies significantly with each factor.Finally,according to the dynamic pricing model and analysis results,combined with the situation of retailer H,this paper provides relevant suggestions for their fresh product pricing.