DEL RIO, Texas -- Westex Capital Ltd., Del Rio, Texas, has chosen KSS Inc.'s PriceNet SaaS system to automate and optimize fuel price management operations at the convenience retailer's 29 Pico and Amigo locations across Southwest and West Texas. System installation will be completed in early 2010.
Robert C. Kusenberger Jr., chief operating officer (COO) and chief financial officer (CFO) at Westex, said his company wanted to gain a sharper competitive edge by deploying an automated solution that easily and quickly calculates price elasticity for each Pico and Amigo location, [image-nocss] as well as surrounding competitors.
"The convenience store market, especially as it relates to fuel, is very competitive. We need a system that can compare our fuel price and volume data against our competition, so we can make rapid and sound business decisions," he said.
PriceNet SaaS gives fuel providers the option to obtain automated fuel price management via a software-as-a-service (SaaS) model, where the applicationand accompanying customer database and informationresides and is managed by KSS on its servers.
"Since PriceNet SaaS is a hosted solution, we can eliminate the need for upfront technology investments and IT resources required to house the system on site. We only pay a monthly subscription for the service," Kusenberger said. "That model, combined with PriceNet's inherent ability to help us manage fuel price and volume, will provide a swift ROI. The breakeven point on the deal is very low."
A monthly subscription for PriceNet is paid based on the number of users that access the software during any given month. This method helps retailers cut costs by paying only for the amount of service used. KSS also offers additional value through its Software Maintenance and Support (SMS) and Model Maintenance and Support (MMS) services, which are included in the subscription to ensure users can fine-tune the system and receive optimal performance.
"With a hosted solution, we can now offer fuel retailers a new option and opportunity to obtain the benefits of automated fuel price management," said Bob Stein, president and CEO of KSS.
PriceNet is KSS' pricing solution that supports key tasks and stakeholders involved in retail fuels pricingfrom capturing field-based intelligence at the site level, to the generation of price proposals via comprehensive pricing rules or price optimization, to consistent and timely implementation. High levels of automation and an exception-based approach ensure a rapid response to competitors and market conditions, thus allowing pricing analysts to leverage the power of pricing analytics.
KSS is the leading global provider of pricing software, analytics and consulting services to fuel retailers and wholesalers in the oil and gas, convenience store and retail industries. KSS helps fuel marketers identify and efficiently execute optimal pricing strategies. The company's U.S. headquarters is located in Florham Park, N.J., and its international headquarters is in Manchester, U.K.
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