Dynamic pricing is most effective when configuration aligns directly with the business problem you are trying to solve. In Trellis, price outcomes are driven by two core levers:
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Min and Max Price Guardrails
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Pricing Strategy Selection
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When set intentionally, these inputs allow the system to optimize for margin, volume, inventory velocity, or cost recovery, depending on your objective.
1. Leading Up to Promotional Events
Business Use Case
Preparing for a scheduled promotion and wanting to strengthen reference price perception before offering a discount.
Goal
Gradually elevate baseline pricing ahead of the promotion to improve perceived discount depth while protecting pre-sale profitability.
Trellis Configuration
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Min Price: Current price (or slightly below for flexibility)
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Max Price: Increase above current price to build a stronger reference anchor
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Strategy: Balanced or Boost Margin (depending on aggressiveness)
Success Metric
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GCD (Gross Contribution Dollars)
Expected Result
The system gradually tests higher prices ahead of the promotion, strengthening perceived discount depth when the sale begins — without materially hurting baseline performance.
2. Inventory Liquidation
Business Use Case
Carrying excess or aging inventory that needs to sell through within a defined timeframe to avoid overstock or storage pressure.
Goal
Increase sales velocity to reduce inventory levels while maintaining control over the lowest acceptable margin threshold.
Trellis Configuration
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Min Price: Lowest acceptable selling price
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Max Price: Current price
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Strategy: Boost Volume or Max Volume (based on urgency)
Success Metric
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Sales Above Forecasted
Expected Result
The system tactically reduces price within guardrails to increase demand velocity and clear inventory efficiently.
3. Opportunistic Margin Gains
Business Use Case
Stable demand and healthy conversion rates indicate potential opportunity to increase price without significantly impacting volume.
Goal
Capture incremental margin by testing higher price points while minimizing downside risk to sales performance.
Trellis Configuration
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Min Price: Current price
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Max Price: Provide upward flexibility
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Strategy: Balanced
Success Metric
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GCD (Gross Contribution Dollars)
Expected Result
The system selectively increases prices when elasticity allows, preserving unit sales while improving profitability.
4. Volume Growth
Business Use Case
Sales velocity or conversion rates are underperforming, and incremental demand stimulation is required to hit revenue targets.
Goal
Drive additional unit sales through controlled price reductions designed to improve competitiveness and stimulate purchase behaviour.
Trellis Configuration
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Min Price: ~5% below current price
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Max Price: Current price (or slight upside flexibility)
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Strategy: Boost Volume
Success Metric
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Sales Above Forecasted
Expected Result
The system strategically deploys price reductions within a controlled range to drive additional demand and increase unit movement.
5. Slowing Sell-Through
Business Use Case
Product is selling significantly faster than expected, creating imminent stock-out risk and potential listing downtime before replenishment arrives.
Goal
Increase price aggressively enough to slow demand, prevent stock-outs, and keep the listing live until inventory is replenished.
Trellis Configuration
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Min Price: Current price
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Max Price: Provide full upward flexibility
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Strategy: Maximize Margin
Success Metric
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GCD (Gross Contribution Dollars)
Expected Result
The system increases price improving profitability while extending inventory life and reducing stock-out risk.
6. Tariff or Cost Increase Recovery
Business Use Case
Rising COGS due to tariffs, freight, or supplier increases are compressing margins and impacting overall profitability.
Goal
Recover lost margin by prioritizing upward price adjustments where demand elasticity allows.
Trellis Configuration
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Min Price: Current price
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Max Price: Provide upward flexibility
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Strategy: Boost Margin
Success Metric
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GCD (Gross Contribution Dollars)
Expected Result
The system prioritizes upward price adjustments, helping offset increased costs without causing unnecessary demand disruption.
Final Thoughts
Effective dynamic pricing is not about choosing a single universal strategy. It is about aligning configuration with your immediate business objective.
In Trellis, success comes from:
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Setting intentional price guardrails
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Selecting the appropriate optimization strategy
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Measuring performance against the right success metric
When these elements are aligned, dynamic pricing becomes a strategic growth lever, not just an automated adjustment tool.