Convious Pricer algorithm is designed to calculate the optimal ticket price that would be beneficial for both: the visitor and the venue. This calculation is based on 3 main factors: Demand, Supply and Urgency.
Supply is your inventory.
Demand is the popularity of your product. And the demand is never the same:
It is sensitive to many factors, like day & time, weather conditions, price, events, advertising campaigns, social influence etc.
Urgency is the purchase intent, how serious your website visitors are about buying and badly they want it. Urgency is calculated based on the current web traffic: distribution and browsing patterns, date & time, weather conditions and historical data.
On top of that, the algorithm is working to meet your venue's goal.
Be it maximizing your online revenue, controlling your visitors' spread or reaching the desired average ticket price.
Let's take an example:
Someone came to your website and is looking at the ticket selection. In order to calculate the best price possible, the algorithm will check the following:
- Historical data
Such as prices and sales stats; these will be used to predict the future demand for each product separately
How many tickets are available for the selected date and/or time slot
- Current web data (browsing patterns)
Clicks, page views, product views, cart abandonment; the web is used to establish the urgency and buying intent
- Calendar implications
Whether the selected date is a weekend, bank holiday or just another Wednesday
- Venue settings
Opening and closing time, timeslot information
- External factors
Weather conditions (current or expected on the selected date)
With all this information in place, the algorithm will check your pricing input and measure it against your revenue goal: whether it's to spread your visitors evenly across a period of time or sell as many tickets as possible.
As the final result, the algorithm will propose the price level that will be attractive to the buyer and beneficial for your venue.
In less than a second.
In real time.