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Market Specific Pricing

Increase profitability with pricing strategy development.

Finding the Right Pricing Strategy

Variable pricing allows you to improve your price image and increase your gross margin dollars. Pricing can vary across the country, throughout different regions, and even within the same city. The same product might be priced differently in multiple locations within a certain area. Orgill will help you determine the right prices for the items you sell. We conduct local research to see how you can price your products in a way that will help you run a better, more profitable business, thanks to an increased transaction size and higher gross margins. Our retail pricing strategy is customizable to your business and your market.

The three main features of the program:

  • Addresses entire inventory
  • Supported with ongoing research
  • No ongoing fees

This retail pricing program offers several benefits to you and your business, such as an enhanced price image, an increased transaction size and increased gross margin dollars. It can help you add to your bottom line, providing a full overview of all categories in your store, and without having to adjust your product selection.

Orgill's Price Sensitivity Codes

Extensive market research in the home improvement industry has determined 10 levels of price sensitivity. We have coded every item in our inventory with a number 1 through 10.


Approximately 9 percent of SKUs in your inventory are code 1's and 2's. Pay close attention to where your competition is priced on these items as it can make or break your business. 


Market Specific Pricing® (MSP)

Orgill's MSP pricing strategy provides a system that can adjust a retailer's prices to match any competitive situation, and any desired price position, based on the local market conditions.


The chart to the right demonstrates the effect of the MSP strategy.

Market Specific Pricing establishes a retail price-positioning plan customized for your store, based on your local market conditions.


MSP utilizes retail sensitivity codes to comprehensively and systematically manage your retail pricing. This methodical approach enhances price image and maximizes gross margin dollars.

The MSP Process

To begin the MSP process, a research team will conduct a complete price audit from your retail operation, covering a sampling of products from all core hardware departments over all eight levels of price sensitivity. After the research has been gathered, this pricing information is then entered into a pricing template. Through this template, you are able to determine where your store is positioned compared to other similar retailers in your market, while considering all eight sensitivity levels.

Once the data has been applied, you will be able to create a retail price positioning plan by making a price decision for each sensitivity code.

Electronic Market Specific Pricing

Retailers who want to keep their retail pricing competitive without investing in an entire plan may choose Orgill's Electronic MSP option.

Electronic MSP is a price-shopping service enabling you to compare your store retails with those found at Home Depot and Lowe's.

Using third-party software, Orgill's electronic MSP price-shopping service quickly and efficiently shops a large market basket of SKUs against market-specific, real-world pricing at the big boxes. MSP is a cost-effective way to help ensure your pricing is in line with your market's price leaders.

Market Responsive Pricing (MRP)

MRP profiles are provided at no cost to Orgill customers as an alternative to the company's Market Specific Pricing (MSP) service. The MRP strategy is market-based, but is not market-specific.

There are three profiles, or pricing strategies, based on the price sensitivity perception in your market.

  • The Leader Pricing Strategy is best used in multiple big-box markets.
  • The Aggressive Pricing Strategy is for single big-box markets.
  • The Passive Pricing Strategy is for indirect big-box competition.

For more information about developing a pricing strategy that's right for you, call Scott Hicks

1-800-347-2860 EXT. 6549