Datamatics AI-Powered Pricing Transforms Profitability for Global Beverage Leader

The client is a leading European multinational brewer, commands a formidable presence across the globe, with operations spanning multiple continents. Renowned for its deep-rooted legacy and innovation in the beverage industry, the company boasts a diverse portfolio of over 140 iconic and emerging brands.

The Challenge: Demand Forecasting Gaps

The client was not new to Price Elasticity models. The models they had long depended on were becoming increasingly disconnected from the realities of the modern marketplace.

The core concern was clear: the existing elasticity calculations lacked the agility and granularity needed to accurately optimize market demand. The models leaned heavily on long-term historical data, often underestimating the impact of more recent economic shifts—such as inflation, evolving customer behaviors, and competitive pricing pressures. As a result, pricing decisions risked being either too conservative or overly aggressive.

Beyond demand planning, profitability was also under strain. The client believed that its outdated approach to elasticity modeling was causing operational inefficiencies and margin leakage. There was a growing sense that they were leaving value untapped—potentially overspending in some areas while missing growth opportunities in others.

They needed a solution that could capture real-time shifts in consumer responsiveness, analyze correlations across individual SKUs, sales channels, and geographies, and deliver insights that would empower confident, data-driven decisions.

The Solution: Smart Price Optimization & Forecasting

Datamatics introduced a forward-thinking, data-driven methodology that redefined the way price elasticity was calculated. Central to this transformation was the strategic truncation of time series data—an approach that placed greater analytical emphasis on the ‘recent past’ rather than the ‘remote past.’

By prioritizing contemporary data signals, the client was able to unlock sharper, real-time business insights—laying the foundation for more precise interventions aimed at boosting both product uptake and profitability. This recalibrated approach empowered commercial teams to respond faster to market shifts and fine-tune pricing strategies with a level of agility that traditional models couldn’t provide.

To further enhance accuracy, Datamatics designed and deployed advanced AI/ML-powered models across the client’s expansive portfolio. These models delivered granular elasticity calculations at the level of individual SKUs, sales channels, and geographies—capturing nuanced relationships and uncovering hidden drivers of consumer response. With machine learning continuously refining predictions, the client gained access to high-fidelity forecasts that could withstand real-world complexity and deliver meaningful financial impact.