Anushruti Singh
Pricing solutions refer to strategic tools, software, and methodologies designed to help businesses set optimal prices for their products or services based on market demand, competitor pricing, cost structures, and customer value perception. For Indian MSMEs, effective pricing solutions are essential as they enable small businesses to remain competitive, respond dynamically to market fluctuations and enhance their profitability. With limited resources and a high sensitivity to pricing in competitive markets, MSMEs benefit from data-driven pricing insights, which help them to achieve sustainable growth, improve their margins, and attract customers while adjusting to changing economic conditions.
The pricing solutions market in India is developing rapidly. Recent studies on the pricing solutions market in India reveal a growing reliance on AI and data analytics, as businesses aim to navigate complex market dynamics and meet rising consumer expectations. The 2024 trends highlight how AI-based pricing solutions are becoming essential for Indian businesses, allowing companies to optimise prices based on real-time data about customer behaviour, competitor pricing, and market conditions.
Indian businesses across sectors—retail, FMCG, and B2B—are increasingly adopting these technologies. Dr Anshu Jalora, Founder & Managing Director, Sciative Solutions, talks about the shift towards AI-driven pricing solutions, which signals a broader trend in India’s business landscape as companies aim to enhance competitive advantage through optimised, technology-supported pricing strategies.
Here are the edited excerpts:
Tell us about Sciative. What inspired your shift from leadership roles at global companies to founding this company?
My move from established global firms to launching Sciative was driven by a desire to create impact on a much larger scale. Working with one organisation allows for deep, focused contributions, but I wanted to address challenges across multiple industries and markets. Founding Sciative has allowed me to build a global centre of excellence, where innovation and next-gen technology drive scalable solutions that empower businesses worldwide.
Furthermore, as an engineer from IIT with a PhD in pricing and revenue management, I have built a solid foundation in AI that has been crucial to my work. It fuelled my passion for research and experimentation, which has shaped our pricing models. Our approach is deeply data-driven and exploratory—we’re always innovating, pushing boundaries, and adapting our models to meet the ever-evolving needs and complexities of the market. That academic experience has taught me the importance of blending theory with practical application, and that mindset drives us forward every day.
Also, being recognised as a LinkedIn Top Voice for Pricing Strategy has really opened doors for me. It’s not just about reaching a wider audience; it’s about building credibility, especially with the LinkedIn audience, which is more receptive to what I share. Now, when I talk about insights and innovations, people are listening. This platform has amplified the impact of our work, making it easier to raise awareness around those critical pricing challenges and solutions that so many businesses face.
How has dynamic pricing evolved since your work with the U.S. airline industry?
Dynamic pricing has transformed tremendously since my early days in the airline industry. Today, there is an even greater demand for speed and precision, leaving little room for error. The landscape has really shifted with all these new sales channels and the sheer amount of data available now. On one hand, it opens up a lot of exciting opportunities, but on the other, it brings its own set of challenges—managing and making sense of it all can be complex. It’s not just about setting the right price anymore; it’s about staying in tune with real-time shifts across multiple channels and adjusting on the fly.
How do you look at the pricing solutions market in India and how is it evolving here? Do you feel that MSMEs are seriously looking at pricing solutions for their business growth?
The pricing solutions market in India is evolving rapidly. While larger enterprises have already adopted advanced pricing strategies, MSMEs are gradually recognising that pricing isn’t just a cost function—it’s a strategic tool for growth and competitiveness. Currently, we see the strongest interest in sectors like e-commerce, hospitality, and travel, where dynamic pricing can significantly impact profitability. Beyond that, B2B-centric industries are increasingly exploring Configure, Price, Quote (CPQ) solutions to streamline complex pricing.
However, some MSMEs are still hesitant, often viewing pricing solutions as too complex or costly. But with SaaS-based, accessible pricing tools now available, even smaller businesses can leverage AI-driven pricing without needing extensive resources. I believe that as more MSMEs experience the clear benefits to their bottom lines, the adoption of pricing solutions across India will continue to grow.
How is Sciative making advanced pricing solutions accessible to smaller businesses?
Sciative’s SaaS model is designed for simplicity and affordability, requiring minimal upfront knowledge and investment. Our focus is on democratising AI, enabling companies to access powerful pricing solutions without needing to be experts in AI modelling. This approach not only empowers smaller businesses but also enables them to compete with larger players by making data-driven decisions with ease.
How has AI transformed pricing strategies across industries like retail and hospitality? And what are the challenges in implementing pricing solutions?
AI has been a game-changer, especially when it comes to understanding how customers and competitors might react to price changes. With AI, we can predict these responses quite accurately, enabling businesses to fine-tune their prices and stay competitive while still protecting their margins. In fast-paced industries like retail and hospitality, where customer expectations and market conditions are constantly shifting, having that predictive edge really makes a difference—it’s essential for staying ahead.
Talking about the challenges, implementing AI-driven pricing in India comes with its own unique challenges. A lot of people assume that AI systems will have a similar complexity to something like ERP or CRM, but AI-powered decision support is on a whole other level—it’s way more complex and requires a serious investment to get right. And then there’s sometimes this DIY mindset, where companies think that they can build their own system that’ll do everything that AI can, which honestly slows down adoption and limits the effectiveness of what they’re trying to achieve.
What key trends are shaping the future of pricing strategies globally?
The future of pricing is leaning heavily into automation, responsiveness, and agility. Systems that can rapidly adapt to shifts in customer behaviour or competitor moves will be essential. These trends are pushing pricing strategies towards an era where real-time adjustments can directly influence a business’s competitive standing, ultimately enabling greater profitability and resilience in dynamic markets.
How does Sciative ensure that its pricing models balance customer needs with profitability?
At Sciative, clear pricing margins are tailored to specific customer segments, so we’re always aligning with the right audience. Plus, we’ve built in a feedback loop that keeps track of customer sentiment and buying behaviour, feeding those insights back into our strategy. Consequently, we’re not just hitting profitability goals—we’re staying attuned to our customers’ needs and expectations.
What advice do you have for entrepreneurs looking to disrupt industries with technology?
First, fall in love with the problem rather than a solution. By keeping your focus on the real pain points, you’ll be better positioned to innovate effectively. Also, prioritise speed in everything—whether it’s the speed of execution, adjustment, or pivoting to new strategies. Agility is essential to keeping pace with industry demands and staying ahead in today’s rapidly changing markets.
