Post by account_disabled on Feb 22, 2024 5:47:35 GMT -5
Drinkers at the Coach House in central London on a busy work night this week, there was some uncomfortable news to digest: the price of Britain's favorite alcoholic drink had just gone up... again. Stonegate, Britain's largest pub company which runs Coach House, has announced it will charge pub-goers an extra 20p for a pint of beer on busy evenings and weekends. It is part of what it called a new “dynamic pricing” policy at some of its locations. This has greatly upset some of their regular customers. "Not well; We're pretty exhausted on beer already,” says Adrian, a 37-year-old brand marketing manager, who has been going to the pub near Piccadilly Circus after work.
Over a pint of Heineken for £6.25, he admits that after the confusion of a few more drinks, he may not even notice the price increase as the pub fills up. "It just rips off people who are trying to Pakistan Phone Number have fun," he adds. City workers enjoy a drink outdoors on a summer afternoon. The introduction of a price increase on a beloved British drink has reignited debate over the ethics of the strategy Charlie Bibby/FT “Dynamic” pricing, as many in the industry call it, or “surge” pricing, as it is more widely known to consumers, whereby companies flex prices at set times in response to changes in supply and demand. demand, is not a new phenomenon.
It has been used by airlines in the United States, for example, since 1983, when the US government relinquished the power to set domestic air fares. When booking flights and hotel rooms, consumers have become accustomed to the rhythms of the dynamic pricing model: book early or during the shoulder season and get a good deal; Book at the last minute or during busy holiday periods and be penalized. However, powered by algorithms and artificial intelligence, it is being introduced at a rapid pace by a growing number of consumer industries. Amazon changes the price of its products on average every 10 minutes, using millions of real-time data points to compare them to competitors and track increases in demand.
Over a pint of Heineken for £6.25, he admits that after the confusion of a few more drinks, he may not even notice the price increase as the pub fills up. "It just rips off people who are trying to Pakistan Phone Number have fun," he adds. City workers enjoy a drink outdoors on a summer afternoon. The introduction of a price increase on a beloved British drink has reignited debate over the ethics of the strategy Charlie Bibby/FT “Dynamic” pricing, as many in the industry call it, or “surge” pricing, as it is more widely known to consumers, whereby companies flex prices at set times in response to changes in supply and demand. demand, is not a new phenomenon.
It has been used by airlines in the United States, for example, since 1983, when the US government relinquished the power to set domestic air fares. When booking flights and hotel rooms, consumers have become accustomed to the rhythms of the dynamic pricing model: book early or during the shoulder season and get a good deal; Book at the last minute or during busy holiday periods and be penalized. However, powered by algorithms and artificial intelligence, it is being introduced at a rapid pace by a growing number of consumer industries. Amazon changes the price of its products on average every 10 minutes, using millions of real-time data points to compare them to competitors and track increases in demand.