Matthew Pavich

Sr. Director Retail Innovation at Revionics, an Aptos Company

Matthew is the Managing Director, Global Strategic Consulting at Revionics, an Aptos Company. He specializes in pricing and retail strategy, corporate strategy and customer focused solutions. Matt is a leader in pricing strategy development, business strategy development and overall corporate strategy. Matt has a strong merchant background and experience with C-Level presentations. He has more than 20 years of experience in retail, encompassing consulting, buying, pricing and marketing across a variety of retail verticals, industries and regions. Matt has lived and worked in France, Germany, Hungary and South Africa (with additional long-term engagements in other markets) and has more than seven years of driving customer-focused success at Revionics.

To learn more, visit:


Revionics Consulting

Revionics Price IQ Webinars

Revionics Resources (articles, blogs, webinars, e-books)

  • Posted on: 01/20/2022

    Will Meijer’s free grocery delivery gesture be rewarded by customers?

    Having grown up in Michigan, I can attest to the strong brand loyalty that Meijer already has in the region (reminds me of H-E-B in Central Texas). This move will clearly strengthen that and provide a great offer for Meijer shoppers - if it can be sustained. They have now set an expectation, so setting a delivery fee in the future may hit them harder than a competitor who never offered the service for free. Ultimately, with the right customer, pricing and predictive analytics, Meijer should be able to successfully monitor the impact of the strategy and make adjustments as needed to understand customer growth, where to find margin to fund this strategy and how it impacts baskets, etc. Being able to delight your customers and having the tools and processes to make it happen and adjust as needed are always a winning recipe.
  • Posted on: 01/19/2022

    NRF 2022: Albertsons’ CEO sees frequency driving grocery loyalty

    When done right, a grocer does play an important role in the lives of its most loyal customers. It's where they shop for many of life's biggest moments from birthdays to holidays to buying flowers or chocolates for that special someone. The fact that everybody needs to eat all the time gives grocers an inherent frequency advantage, but that advantage can only be converted into loyalty if the grocers are doing everything right and providing a reason for shoppers to keep coming back. Shopper experience, proper staffing, great assortments, great pricing and promotions are all fundamental to keeping shoppers loyal at a time when loyalty is at an all-time low. The investments in technology to drive all of these initiatives and increase loyalty and personalization will help Albertsons moving forward. Using analytics to know your customer and delight them is always a great path forward.
  • Posted on: 12/14/2021

    Christmas commercials are going to the dogs, cats, guinea pigs …

    There are different ways to consider this. From a business perspective, Chewy's was smart to include both cats and dogs in a house full of fun-loving pets. Ultimately though L.L.Bean wins my vote as it speaks to the very special relationship between a man and his dog which I can relate to as the proud parent of a very sweet and affectionate puppy. Ultimately, the analytics will decide which ad was the most successful ... but there can be no doubt that demand for pet products is on the rise and will be one of those trends from 2020/2021 that will remain for a long time (as many new pet parents will be buying products for years to come).
  • Posted on: 12/09/2021

    Will consumers ever get over the price hurdle for sustainable goods?

    The answer isn't binary - it depends on the individual products and the consumers. The wonderful news for retailers is that they don't need to have a one-size-fits-all to drive the growth of sustainable brands. Using the right analytics, they can see which sustainable brands consumers are willing to pay a little more for and which brands they are not. With the right pricing platforms they can even shift demand from less sustainable products into more sustainable ones by adjusting pricing gaps -- they can measure and repeat if working. They can do the same with promotions and evaluate the impact of promoting top sustainable brands. Sustainability goes beyond just Brand A and Brand B or Product X vs. Product Y. Simply using trade-up pricing strategies can lead to less packaging while increasing revenues. Shifting demand into bulk products via pricing and promotions can also lead to more sustainable outcomes. The one thing that is clear is that pricing is key to driving sustainability and influencing demand. Having the right practices in place can help retailers meet the growing demand for sustainable products and lifestyles.
  • Posted on: 12/07/2021

    Should grocers get comfortable with food inflation?

    All indicators show that inflation may continue for a while and grocers absolutely need to not only get use to it, but put the right strategies in place to not only mitigate the situation but to create winning scenarios for all involved parties. Retailers who use the right consumer and pricing analytics have been able to surgically balance their pricing response to hold, decrease or only slightly increase prices on the products most important to their consumers while raising prices elsewhere. This creates a win for shoppers who are on a limited budget in an increasingly inflationary landscape and it definitely is a win for retailers who gain not only margin, but also share as a result of this approach. All four of the listed factors can also vary by region or channel, so savvy retailers are also considering this in their response with the right channel/zoning strategies to ensure that the right price is being offered at all times to the target shopper. This also applies to promotional practices where it has become even more critical to avoid ineffective and expensive promotions which are a drain on limited (and expensive) labor while hurting the bottom line in an inflationary environment. Inflation is a complex challenge, but it is inherently a pricing one and the right analytics, best practices and consumer focused response can lead to positive results in the long-run.
  • Posted on: 12/02/2021

    Rising food prices hit grocery workers hard

    This is a complex yet solvable problem that the best retailers should be able to solve. Let's consider all of the factors at play: there are labor shortages, inflation is raising costs and prices, there is still an enormous amount of food being wasted that is never sold, a lot of "expired" products are still edible and potable. On top of this, retailers control all of the levers to help alleviate this issue. They control employee discounts, pricing, wages, and waste policies. The smartest retailers have already increased wages to account for labor shortages and the increased risk of front-line work. They are already using the best pricing solutions to ensure that the largest price increases are not on the products most important to struggling consumers. They are already leveraging employee sale data to understand how to best promote and support the needs of their own. They should be evaluating wage increases vs. price increases as well and factoring that into decisions. It is quite shameful that anybody who spends their day stocking groceries should have to deal with food insecurity in a country that throws away so much food. There are a lot of great grocers out there who have been called "great places to work" by their employees - it is hopeful that they will lead the way. It is also likely that they will alleviate their labor shortages quicker than those who ignore the problem.
  • Posted on: 11/10/2021

    Should retailers take prices higher?

    Yes - they should take prices up. And yes they should keep prices the same. Also, yes they should take some prices DOWN. It's not a simple, binary solution and a classic "my costs went up therefore my prices need to go up" approach across the board is a recipe for failure. The best retailers are using a balanced approach and looking at the data and analytics to best understand where to take prices up and where to hold or actually decrease prices. This is a win-win for both retailers and consumers as consumers get better prices or minimal cost increases on KVIs and other items important to them and retailers grow share while also increasing profits. Sophisticated pricing platforms have shown tremendous results this summer across the board, for all retail verticals and regions impacted by inflation. If you're a retailer who is still just "maintaining margin" or increasing all prices by x percent across the board -- get ready for share loss. It's already happening.
  • Posted on: 11/09/2021

    What do retailers owe customers when it comes to personalized pricing?

    Personalized pricing can be a powerful tool for both retailers and consumers alike and offers more benefits to both parties if done correctly. The key to doing it correctly is to start with consumer data and listen to them rather than creating logic based on factors which are not directly tied to their shopping decisions or are based on things like ZIP codes or demographics which runs the risk of discrimination. If a customer or customer segment has shown to be very elastic for category A and not for category B, it's in everybody's best interest to price those categories differently. The retailer wins by gaining share in category A and margin in category B and the consumer wins by getting great prices on the products they care most about. The best pricing platforms can add even more value by rigorously enforcing rules to make sure that prices are fair for all consumers - preventing pink taxes or higher margins/prices on products targeted to certain communities. The right analytics, solutions, processes, governance and objectives can make personalized pricing a powerful way for retailers to offer the right price in the right channels on the right products at all times to their consumers.
  • Posted on: 11/05/2021

    Can apps help reduce food waste?

    The amount of thrown away perishables is truly staggering and solutions like this can definitely help move things in the right direction. Adoption may be a challenge though and will vary greatly by retailer (and their median shopper) and category. Clearance/markdown and promotional data can probably provide some insights into how successful this might be -- very few people want to buy meat on clearance, but I'm willing to bet that the adoption will be higher for other categories. As others have pointed out, an app only helps at the very end when the problem is greatest, the best retailers should adopt better practices throughout a product's lifecycle and leverage pricing more effectively to balance supply and demand so there is less waste to begin with. It's hard to win a football game in the fourth quarter alone.
  • Posted on: 10/13/2021

    Will ‘hyperautomation’ determine retailing success from this point forward?

    Yes - automation (regardless of "hyper" status) will be critical. Simply put, things are evolving too rapidly to ignore AI and analytics. Whether the issue is supply chains, labor shortages, consumer demand shifts, inflation, evolving competitive landscapes or simple shifts in buying preferences - retailers need to have the tools, processes, strategies and people in place to react to evolving conditions with better outcomes. Automation or hyper-automation can help with this IF it's built around the right foundational elements, analytics and strategies. People will still absolutely be critical - but instead of manually solving complex problems in traditional ways, they will be designing the automation to make the right choices and to prioritize the right outcomes. The best retailers will be able to evolve and adapt more seamlessly and gain share profitably. The world is moving quicker than ever -- retailers need to as well.
  • Posted on: 09/22/2021

    What’s the best way to reap the benefits of consultants?

    Retailers can absolutely benefit from consultants as they provide expertise, have a broader view of the problem/opportunity being addressed and offer an unbiased view which isn't as influenced by internal politics. Having said that, many consultant engagements can be quite expensive and often are a "one and done" with no sustainable value built into the equation and a need for additional spending to get more value. The best consulting engagements are the ones where the consultants teach the retailers "how to fish for themselves" instead of handing them a "fish." These engagements are the ones that invest in new capabilities and create fluent organizations that know how to use the right analytics and solutions to drive continuous value. The worst ones drive $x in short-term profit, only to leave the retailer hanging 18 months later with fewer shoppers, unneeded complexities and no additional infrastructure to support long-term growth.
  • Posted on: 09/13/2021

    Can Kroger offset its margin headwinds?

    It's not about how much it should raise prices, but understanding which items it should be raising prices on and which ones it should continue to invest in to maintain its competitive position. Having a balanced pricing approach to offset cost increases is the only correct solution and has helped numerous retailers establish a win-win approach during inflation by raising profits while offering better prices on the key items most essential to consumers. Having a price optimization platform and the right analytics can definitely help define this balance and I've seen some really fantastic balanced results coming out of high inflation/cost pressure markets from retailers who have done this. The worst solution is to raise prices to hit a margin target without listening to your customer and understanding the long-term impacts of those increases.
  • Posted on: 09/01/2021

    What’s the formula for e-commerce profitability?

    DSG has done a really great job of transitioning from a primarily brick-and-mortar retailer into a successful e-commerce player in a short period of time, while still investing in a top notch store experience (climbing walls, batting cages, etc.). Having worked with DSG, I can attest that they have made a lot of investments to improve their pricing capabilities and this has paid off throughout the product lifecycle across all channels. On a larger retail note, the vast majority of retailers could benefit from a robust, analytical analysis of promotional effectiveness. In my role, we've helped numerous retailers on this front and it is alarming how many promotions are ineffective - sometimes that number can be north of 50 percent and drive massive profit losses. In addition to promotions, the time is now for retailers to start really investing in their online strategy - do they follow the right competitors? Are they being competitive on the right items? Are they treating online consumers the same as their brick-and-mortar shoppers or are they actually looking at the data and creating a world-class strategy to meet the needs of that channel's shopper? The best retailers listen to their customer.
  • Posted on: 09/01/2021

    Ending prices that end in 99 cents

    An interesting study, but one that might prove the opposite. A larger percentage purchased the lower price when it was 95 cents than when it was a dollar. More people traded up when it was a dollar. This study is actually evaluating several different concepts. It implies that "psychological" pricing works because the 95 cent price had more success than the $1. It also evaluates "trade up" pricing and also concludes that more people will trade up when there isn't a more enticing lower price once again validating the value of the 95 cent coffee vs. the $1 coffee. Having said that, we know nothing about the total volume of sales, total revenue or cost structure of the different sizes of coffee so, from a retail perspective, it's not apparent which price structure was optimal. The reality is that a 25 cent premium for the trade up was probably sub-optimal all along and an advanced pricing solution might have ended up with a 99 cent small and a $1.29 large. Finally, as others have pointed out -- students and coffee with small price points may not be indicative of larger trends as I would have personally always bought the larger coffee in all scenarios. One thing is clear, with fewer cash transactions, more e-commerce and several large players abandoning price point endings, retail is evolving on this front and cherished price points may not be as relevant as they once were.
  • Posted on: 08/31/2021

    How should big box chain retailers deal with disaster response?

    I agree with Mark - retailers should prioritize their employees and make sure they are safe and taken care of when a disaster strikes. I trained as an EMT and one of the first things you learn as a first responder is to make sure you are safe before attempting to help others. You can't help others if you're not safe yourself. This doesn't mean, however, that the community and customers are not a priority. The whole purpose of retail is to solve consumer needs profitably, and in times of disaster that remains true minus the profitably element. In addition to all of the things listed in the article, the best retailers need to become more proactive in disaster preparedness and create strategies and operational policies that make them better able to serve both their employees and customers when disaster strikes. One example is simply having a plan in place for Gulf stores during the hurricane season that helps all parties be more prepared. Advanced analytics can help with this - everybody knows about water and generators, but how do purchasing patterns differ in Louisiana in August vs. in California during fire season? Which products are appearing in certain baskets? How are supply chains designed to support a run on essentials? Having a plan in place can't prevent a natural disaster, but it can produce better outcomes for your staff and impacted communities.

Contact Matthew


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