Monthly Archives: September 2018

Real life testing of dynamic pricing model in e-commerce

It’s no secret that a good pricing strategy is one of the most important aspects of every business. There are various ways how to determine prices at which you can maximize your overall profit. However, to maximize profit and engage price-sensitive customers at the same time, you have to make sure you go in the right direction.

Dynamic pricing, based on real-time market changes, is the latest pricing trend that dominates the e-commerce industry. Before deploying our dynamic pricing solution, we faced a problem how to test the performance of the model and compare it to the current client’s solution.

As you may agree to adopt any pricing model without a thorough testing would be extremely risky (especially, when it has a control over thousands of products!).

The question was, how to design an appropriate test that helps us validate a new pricing strategy and gain confidence in the change we were making.

Standard A/B Testing…

The basic idea behind A/B testing is to compare two variants A (the currently used control version) and B (the modified test version). Customers are typically split in half at random, while the two groups need to be as similar as possible. Without being told, the customers in both groups are assigned to either a control group or a test group. The goal is to determine which variant performs better.

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Highlights from the European Conference on Computer Vision 2018

This year’s ECCV 2018 conference experienced an unprecedented growth of community and brought to light the most recent advances in computer vision. As expected, all the sessions were dominated by Deep Learning with Convolutional Neural Networks (CNNs).

For those who couldn’t join, I picked up a few interesting topics that caught my attention. Here is the list:

Autonomous Driving

Self-localization on-the-fly

One of the main topics at ECCV 2018 was autonomous driving. Can you compete against LIDAR? Can you detect and reconstruct cars as 3D objects from video? Check some ECCV’s challenges!

 

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