Consumer products sector banking on volume and agility

LAST month, a popular fast-food chain found itself in a bit of a pickle after announcing that it would invest millions of dollars in rolling out digital menu boards as well as test “dynamic pricing.” Unfortunately, many news stories interpreted the move as surge pricing, i.e., charging customers more for certain items during times of the day when demand is at its peak.

Following the backlash, the chain clarified that it would not use the digital menu boards to raise prices during high-traffic times but instead push offerings that reflect what data shows would resonate most with customers, such as discounts during slower times of the day or menu items that may be more appealing based on factors such as weather.