Dynamic Pricing

What is Aionic's Dynamic Pricing?

Dynamic pricing isn't a new concept, but Aionic's approach stands out in its sophistication and subscriber-centric features. At its core, Aionic's system is a tool that uses machine learning and advanced algorithms. These algorithms accurately forecast the demand for a service, and subsequently, establish a price that not only reflects that demand but can also influence it positively.

Getting Started with Dynamic Pricing

The journey begins with a simple step: activating dynamic pricing. Here’s how to go about it:

• Activation: Turn on the dynamic pricing feature in your Aionic dashboard or interface.
• Setting Thresholds: For every service you wish to apply dynamic pricing to, specify your minimum and maximum price thresholds. This ensures that the prices don't dip too low or soar too high, giving you control and peace of mind.
• Data Requirement: A unique feature of Aionic's system is its reliance on historical data. For dynamic pricing to take effect on a specific service, the system requires at least 6 months of data for that service. This historical data is crucial for making more informed pricing decisions.

How Does the Pricing Work?

Once dynamic pricing is activated, it operates on a predictable cycle:

• 30-Day Outlook: Each service’s price is set dynamically for the next 30 days. This offers subscribers a forward-looking perspective on their service pricing.
• Consistent Pricing Window: For the first 23 days of that 30-day cycle, the price remains constant. This gives potential customers stability and predictability in the initial stages of their purchasing decision.
• Activation Point: Aionic's research has identified a significant trend: the vast majority of bookings happen within the last 7 days before a service's expiry. This period is termed the 'activation point'.
• Hourly Repricing: During the activation point, the dynamics change. Prices for services are recalibrated every hour. This isn’t arbitrary. It takes into consideration factors like current utilisation of the service, forecasted utilisation, time left until expiry, and more.

A Price Promise: No Unexpected Surges

A hallmark of Aionic's dynamic pricing system is its commitment to fairness. Once a price is set for a particular service, it can decrease based on market factors, but it will never increase. This is a departure from traditional dynamic pricing models used by services like Uber, which can see prices spike during periods of high demand. With Aionic, subscribers and their customers are shielded from such price surges.

Aionic's dynamic pricing system offers a nuanced and data-driven approach to service pricing, by harmonising advanced algorithms with market demands and ensuring a fair pricing model.