Solutions / Profitable product offers

Using smart pricing to create profitable loan offers

Optimal pricing strategy

No limits to sample size or model selection

Customers’ price sensitivity under the microscope

Take the guesswork out of pricing – use the smart pricing

If you drop your prices, do you know at what level you’ll attract enough clients to compensate for the lower margin? And is it worth increasing your prices if the number of loans taken out falls?

Setting the right price is pivotal to your success. All industries use a variety of methods to estimate price elasticity, using limited samples or simulated environments. Yet most pricing decisions still end up being based on intuition!

Using our approach will enable you to make data-driven decisions. We provide you with a toolkit to set the right prices for the right customers at the right time. Advanced data analytics enables the automatic evaluation of an unlimited number of model scenarios. This involves data on a humanly unimaginable scale. And it helps you find an optimal solution. This is truly smart pricing.

Our approach will help you predict your results at different price points

How do you select the right interest rate for loan products?

Find the right balance between your margin and the attractiveness of the rate.

How do you make pricing decisions for special offers and special rates?

Predict the impact of special offers on your net income.

How do you deal with various types of clients, each with a different price sensitivity?

Apply distinct models for various client segments based on their behaviour.

How do you choose the right pricing strategy for your new product?

Simulate different pricing scenarios with changing product parameters.

Our Solution

Loan pricing optimisation

Use our solution to select the right interest rates for your loan offers. Find the optimal margin to maximize your income, while keeping the rate attractive to your clients and achieving competitiveness within the market. Our tool helps you to improve loan acceptance, reduce churn, and boost profitability.

Pricing special offers

Are you launching a promotional campaign for one or more of your products, accompanied by a special offer? How much should the discount be? Our pricing modelling tool helps you to predict how specific discounts will affect your net income, and optimise the pricing set up to maintain consistent profitability.

Clients’ price sensitivity

Every client has a different perception of fee changes and rate levels. Our behavioural models split your client base into segments by price sensitivity. So you can optimise your interest rates and increase client satisfaction. Take into account the price sensitivity of each client while still complying with strict banking regulations.

Scenarios simulation

Do you want to proactively investigate various pricing scenarios by changing the values of defined parameters? You can observe how the elasticity curve reacts according to a specific set up. Our interactive tool with intuitive GUI enables you to perform simple analyses of your scenarios and gives you a straightforward interpretation of the results.