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The Visible Value Blog

4 Retail Re-pricing Strategies, and Why Mobile Labeling Works Best

Posted by Jan Nash

October 20, 2011 at 7:59 AM

D  My Documents My Pictures Blogs re pricing with Zebra mobile labelingRe-pricing products in the store has evolved from simply being a reaction to purchasing mistakes, to a strategic tool that retailers apply to increase traffic and sales, as we discussed in this earlier article. Following are some common re-pricing strategies, followed by some thoughts on how to execute them.  


 4 Common Re-Pricing Strategies

      1. Everyday Low Price

The everyday low price concept turns markdown into an obsession, based on the theory that people return to the place where they get the best price. It demands a minute-by-minute attention to the most aggressive price competitiveness, and focuses on in-store execution, which is all about labeling and re-labeling.

2.      End-of-Season and Special Event Sales

End-of-season sales and sales for special events represent a very significant proportion of annual sales. The ability to reduce or increase the price in the store is a powerful tool, but doing so with a label gun or a red pen, as some specialty retailers may still do, does not assure accuracy, timeliness or cost- and labor-efficiency.

3.      Regional Pricing

After analyzing buyer behavior, a store chain’s headquarters will increase a product’s price in certain regions or zones to increase margins without affecting sales volumes, or decrease the price to achieve volume targets, though at a lower margin. Successfully carrying out variable pricing at the store level depends on efficient re-labeling techniques as goods arrive from the distribution center.

4.      Price Optimization

Price optimization software applications can accurately specify the right item, right price, and right time to mark down an item, and even account for geographic or demographic differences within individual stores. However, they cannot ensure that the store will actually perform the markdown in time.

Learn more about markdowns here.

 Execute Pricing Strategy Most Efficiently with Wireless Mobile Technologies

Using inefficient processes for managing variable pricing, re-labeling and markdowns puts stores at risk for lost sales, sluggish inventory turnover, and inefficient labor practices. For example, one Zebra retail customer calculated it had lost 20 percent of the potential profits from each promotion it ran because of the extra labor cost required to prepare for the sale. 


  • However, when pricing systems alert store managers of new pricing recommendations on their wireless PDAs and desktop PCs, the managers can then approve the new pricing in real time to trigger new price labeling jobs to store associates in the aisles. Store associates carrying mobile printers can print the price change labels at the point of need.
  • Likewise, to perform re-labeling at receiving, employees can scan in bar coded goods as they arrive at the store. The system identifies those items that need re-pricing, enabling associates to print out new price tickets on demand via a mobile wireless label printer.re-pricing_Zebra_QL220

Do you see a way mobile labeling technology could make your price changes faster and more efficient?

To discover how apparel stores, supermarkets and others have raised re-pricing accuracy and employee productivity with mobile printing, download this white paper.


Topics: Mobility, Retail, APAC, North America, Latin America, EMEA