Case study, UK webshop, building materials
The Tilers Hub: Pricing That Competes Without Outspending Anyone
A supplier founded in 1886, selling the same adhesives and grout as the big retailers who outspend it online. Instead of buying more ads, we gave Google the cost of goods and a floor price for every product and let it discount where a discount wins the sale. Revenue doubled, and so did gross profit.
Revenue
+101%
from Google Automated Discounts
Gross profit
+107%
prices moved only where margin allowed
Clicks
+40%
lower prices win the Shopping auction more often
Months of engagement
6
through our Automated Discounts plugin for WooCommerce
The Tilers Hub, a long established UK supplier of tiling products, faced growing online competition from larger retailers. To stay competitive without overspending on ads, they adopted Google's automated discounts to optimise pricing dynamically. By sharing product data, including the cost of goods sold and a minimum price for each product, they let Google suggest discounts based on real time market conditions. That strategic pricing led to 101 percent more sales, 107 percent more gross profit and 40 percent more clicks, and it shows what dynamic pricing can do for profitability under aggressive competition.
What Google Automated Discounts is
A Merchant Center programme in which Google lowers the sale price of a product in real time, within limits you set, when a small discount is likely to win the sale. You give Google the cost of goods and a floor price, Google looks at competitor prices, price elasticity and demand, and the discount only appears where it still leaves a margin. We are an official Global Channel Partner for the programme and build the plugin that connects it to WooCommerce.
The challenge
- Founded in 1886 in Leeds, The Tilers Hub sells essential tiling products such as adhesives and grout, through physical stores and a WooCommerce online store.
- Competing online is increasingly hard, because large retailers sell the same products and invest heavily in digital advertising.
- Rather than trying to outspend its competitors, The Tilers Hub needed a way to adjust prices without compromising profitability.
The approach
- Product data shared with Google. The cost of goods sold and the minimum price threshold for every product, delivered through our plugin from the WooCommerce store.
- Google assesses the market in real time. Competitor pricing, price elasticity and seasonal demand, to suggest discounts that meet the conversion goals while preserving the margin.
- Discounts applied where they win. The sale price moves only on the products and at the moments where a discount is likely to close the sale profitably.
The results
- 101 percent increase in sales through strategic, automated price adjustments.
- 107 percent increase in gross profit, because prices only moved within the margin.
- 40 percent more clicks, as more competitive prices win the Shopping auction more often.
- Profitability maintained while staying competitive against much larger retailers.
What's next
The Tilers Hub intends to keep using automated discounts to refine its pricing strategy, staying competitive and profitable in the face of aggressive online competition.
Quote
"The results at The Tilers Hub underscore the power of automated discounts in today's competitive market. The plugin allowed us to set smart, data driven price adjustments that made a real difference, not just in increasing sales but in maintaining profitability. Seeing how much we achieved in efficiency and margin retention confirms that dynamic pricing, done strategically, is a game changer for businesses."
Services in this project: WooCommerce expertise, custom technical solutions, paid ads and tracking.
More projects