Pricing & Promotions
Find the low-resistance price point — where customers keep buying strongly while margin is protected above the accepted floor.
Low Resistance Price Point
The price level where demand stays strong and gross margin remains above the accepted floor. Seraphis estimates elasticity per SKU and screens for prices where revenue improves but margin protection holds.
SKUs Modelled
12
Margin Floor
18%
Accepted minimum
Avg. Recommended Lift
+2.4%
Promo Net Benefit
R 773 410
Price Ladder — RICE10 (Rice 10kg)
Price → Margin Matrix
Each point: price scenario across SKUs
Pricing Simulation
Best margin-preserving price point per SKU
| SKU | Product | Cost | Current | Recommended | Δ Demand | Exp. Revenue | Exp. Margin | Risk | Recommendation |
|---|---|---|---|---|---|---|---|---|---|
| RICE10 | Rice 10kg | R 138 | R 189.99 | R 208.99 | -13.6% | R 1.2m | R 405k | Medium | Test +10% within elasticity |
| MZM2.5 | Maize Meal 2.5kg | R 27.5 | R 39.99 | R 43.99 | -13.2% | R 470k | R 176k | Medium | Test +10% within elasticity |
| SUG2 | Sugar 2kg | R 36 | R 49.99 | R 54.99 | -12.9% | R 417k | R 144k | Medium | Test +10% within elasticity |
| FLOUR2 | Cake Flour 2.5kg | R 32 | R 44.99 | R 49.49 | -13.4% | R 231k | R 82k | Medium | Test +10% within elasticity |
| OIL2 | Sunflower Oil 2L | R 61 | R 79.99 | R 87.99 | -14.4% | R 588k | R 180k | Medium | Test +10% within elasticity |
| CHKN2 | Frozen Chicken IQF 2kg | R 96 | R 129.99 | R 142.99 | -14.8% | R 712k | R 234k | Medium | Test +10% within elasticity |
| EGG18 | Eggs 18 Pack | R 42 | R 59.99 | R 65.99 | -13.6% | R 393k | R 143k | Medium | Test +10% within elasticity |
| MILK2 | Long Life Milk 2L | R 26 | R 36.99 | R 40.69 | -13.2% | R 329k | R 119k | Medium | Test +10% within elasticity |
| BROWNB | Brown Bread Loaf | R 12 | R 18.99 | R 20.89 | -12.7% | R 296k | R 126k | Medium | Test +10% within elasticity |
| WASH2 | Washing Powder 2kg | R 65 | R 89.99 | R 98.99 | -13.4% | R 412k | R 141k | Medium | Test +10% within elasticity |
| TP18 | Toilet Paper 18 Pack | R 86 | R 119.99 | R 131.99 | -13.2% | R 481k | R 168k | Medium | Test +10% within elasticity |
| COKE2 | Cola 2L | R 17 | R 24.99 | R 27.49 | -13.2% | R 272k | R 104k | Medium | Test +10% within elasticity |
Promotion Analysis
Lift, discount cost, margin impact and decision
| Campaign | Channel | Baseline | During | Lift | Discount Cost | Margin Impact | Net Benefit | Decision |
|---|---|---|---|---|---|---|---|---|
| Month-End Basket Push | Store | R 3.9m | R 4.8m | +22% | R 382k | R -191k | R 50k | Continue |
| Bulk Buyer Deal | Store | R 3.9m | R 4.6m | +18% | R 462k | R -277k | R -80k | Restructure |
| WhatsApp Weekend Deal | R 3.9m | R 5.2m | +34% | R 367k | R -105k | R 268k | Continue | |
| Back-To-School Essentials | Store | R 3.9m | R 4.9m | +26% | R 444k | R -148k | R 137k | Continue |
| Winter Protein Basket | Delivery | R 3.9m | R 5.1m | +31% | R 308k | R -103k | R 237k | Continue |
| Festive Staples Campaign | Store | R 3.9m | R 5.6m | +42% | R 611k | R -278k | R 182k | Continue |
| Digital Delivery Promo | Delivery | R 3.9m | R 5.0m | +28% | R 250k | R -50k | R 257k | Continue |
| Clearance Markdown | Store | R 3.9m | R 4.4m | +12% | R 964k | R -789k | R -658k | Restructure |
| Bundle Promotion | Store | R 3.9m | R 4.7m | +20% | R 329k | R -94k | R 125k | Continue |
| Payday Special | R 3.9m | R 5.4m | +38% | R 432k | R -162k | R 254k | Continue |