KSS Participating as Thought Leaders for Prestigious Revenue Management and Pricing Conference
Florham Park, NJ - June 14, 2010
Price optimization and statistical modeling experts from KSS, the fuels pricing experts, will deliver a presentation at the tenth Annual INFORMS Revenue Management and Pricing Section Conference, to be held at Cornell University in Ithaca, NY, June 16 – 18, 2010. Pricing scientists, Barbara Jenkins, Tom Liptrot and David McCaffrey will deliver their paper: “Retail Gasoline Pricing – Modeling Branding Strategies Within a Bayesian Hierarchy.” The INFORMS Conference is a leading event for academics, students and practitioners engaged in the science, art and practice of revenue management and pricing. The conference will feature a mix of academic and industry presentations covering new developments and current application of revenue management.
“At KSS we are always learning and applying new techniques based on real world experience,” said Bob Stein, president and CEO of KSS. “We are honored to be included among the presenters at this prestigious conference, a reflection of our commitment to having the most scientifically based price optimization software on the market.”
The presentation from KSS will address how retailers evaluate and price their fuels brands. According to David McCaffrey, the gasoline retail market is made up of multiple brands owned by multiple operators selling highly homogenized products. Because of this, operators have decisions to make on how to price each brand and how to deploy brands across a network of sites. “With a better understanding of the market it becomes possible for operators to use the levers of pricing and brands deployment to greater effect, resulting in increased margins,” added Stein. “At present, most operators are not doing this in a systematic way, instead relying on instincts or accidents of history to determine their strategies.”
KSS has developed a pricing model for fuel retail brands which will support this strategic decision making process. The overall modeling approach is robust and flexible and gives accurate predictions of brand market share and site sales, as well as allowing investigation of the competitive layout of a given market and determining the value of a brand. The presentation at INFORMS will include results from the model, along with possible actions for operators wishing to improve brand pricing strategies.
ABOUT KALIBRATE TECHNOLOGIES
Kalibrate (formerly KSS Fuels) is the only global provider of fuels pricing and retail location intelligence, helping retailers fine-tune decisions to deliver on performance goals. Its proven software, analytics and consulting solutions draw on more than 20 years of expertise and insight into the needs and opportunities of petroleum retailers. Kalibrate has headquarters in Manchester, United Kingdom and Florham Park, New Jersey. The company also has a Center of Excellence in Tulsa, Oklahoma and sales operations in Florida, Illinois, Ohio, Texas, Canada, Brazil, China, India, Japan, Korea and Africa. For more information about Kalibrate, please visit Kalibrate.com.