Making product pricing simple for e-commerce merchants
In this episode of the Tekpon SaaS Podcast, host Cristian Dina welcomes Tomi Gronfors, the CEO and co-founder of Sniffie, to discuss the importance of making product pricing simple for e-commerce merchants.
Sniffie is a platform that helps e-commerce and retail companies optimize their product pricing. One of the biggest challenges for these companies is determining the optimal price point for their large product portfolios. Sniffie uses AI technology to analyze transaction data and provide insights on demand versus price, helping businesses set optimal prices and forecast price changes.
When asked about the top features of Sniffie, our guest highlights price management for large product catalogs, AI pricing optimization, price simulations, and discount optimization. The platform also assists with running markdown campaigns for seasonal products, ensuring that businesses can sell off excess inventory in a timely and profit-optimized manner.
Tomi shares that Sniffie was founded in 2017, with the initial idea evolving through several pivots. The company started in the price monitoring space, but after recognizing the need for more guidance on using the data, they developed a pricing tool. Eventually, they incorporated AI capabilities into their software, providing users with insights and recommendations on pricing strategies.
Tomi recalls that their first customers came from offering a search engine optimization tool, but they realized the competition was fierce. They then shifted their focus to market intelligence and approached potential customers directly. By offering a scalable product with price monitoring, they converted beta users into paying customers, some of whom remain loyal after five years.
Regarding go-to-market strategy, the CEO believes that having a strong presence in the ecosystem, building awareness, and partnering with trusted allies are essential. Demonstrating the net profitability of Sniffie’s services early on, whether through cold calling or discovery calls, has been effective. Providing a demo showcasing the platform’s benefits and value has been crucial in turning prospects into customers.
Overall, this episode provides valuable insights into e-commerce merchants’ challenges regarding product pricing and how Sniffie’s AI-driven platform helps them optimize prices, automate workflows, and increase profitability.
