Main page>Blog>Case Studies>Case Study: Increasing Profit in the Graphics Card Category on the TELEMART.UA Online Store
Case Studies
20.06.2023
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Case Study: Increasing Profit in the Graphics Card Category on the TELEMART.UA Online Store
Results
Sales of graphics cards increased by 30% compared to the previous month.
Profit growth in high-demand graphics cards (1650 chip) due to reduced purchase prices for large batches — up by 25%.
TELEMART.UA continues to refine its pricing and procurement strategies, while we provide the client with analytics and tools to make effective decisions.
Customer Background
TELEMART.UA is an online store for computer components and gaming peripherals, ranked among the top 50 online stores in Ukraine according to Retailers.ua.
The client’s website primarily uses a PC configurator, allowing visitors to assemble a computer online for purchase. Daily, over 8,000 virtual configurations are made through the configurator.
In September 2020, Ukraine experienced another surge in the cryptocurrency market, accompanied by a sharp rise in the Bitcoin rate. Mining activity picked up, demand for graphics cards skyrocketed, and the available market assortment began to shrink.
Considering the market shortage and rapid price jumps for graphics cards, we needed to quickly analyze the market by segments (chip, memory size, brand, graphics card family).
At that time, we had already been working with the Pricer24 platform for a year and were well aware of its capabilities. We quickly discussed the objectives with the service team and moved on to implementing our plan.
Mykhailo, Head of Marketing, TELEMART.UA
Tasks
During the demand surge, the market became volatile: popular products quickly sold out across online stores, and purchase prices spiked. Rapid action was essential: whoever replenished their assortment with relevant products at the most favorable purchase conditions first would win. However, without accurate and timely data, this was impossible.
The client needed to:
Identify shortage segments for priority procurement and additional profit from selling the most in-demand products.
Generate real-time reports on product availability with distributors and competitors for early reservation and purchasing ahead of other market players.
Analyze market pricing by segment (chip, memory size, brand, graphics card family) to flexibly adjust pricing strategy and increase sales velocity during the high season.
Discover new growth opportunities by exploring potential niches within the category and identifying promising directions for assortment expansion.
How Pricer24 Helped TELEMART.UA
Data parsing
Time spent by the Pricer24 team: 4 hours
To analyze the graphics card market, we needed to perform product segmentation.
Since our customer chooses products based on technical specifications, we created a custom report in Pricer24 that included key parameters.
The platform began gathering the following data:
Graphics card series (NVIDIA, AMD)
Chipset (RTX 3070, GTX 1660 Super, etc.)
Memory capacity (4 GB, 8 GB, etc.)
Number of coolers (1, 2, or 3)
Report on offerings by characteristic (series, chipset, memory capacity)
The next step was matching products within the custom report to competitors’ and distributors’ SKUs, allowing us to track the following characteristics on a daily basis:
Minimum, average, and maximum prices
Number of market offerings by competitors
Number of market offerings by distributors
Thanks to the custom report, we were able to analyze the product’s SKU and technical characteristics (segments) dynamically.
Following the comparison, we finalized the preparation and tasked ourselves with generating reports for market analysis.
Reports
Report on market shortage analysis
To determine shortages, we generated a report analyzing the number of unique market offerings by competitors within a specific period.
Report on product offerings in the market by chipset
The report clearly showed a decrease in the number of offerings in competitors’ stores for NVIDIA 1650 and NVIDIA 1660 Super chipsets, which were the main drivers of graphics card and PC sales in the sub-$1000 segment.
This analysis, combined with internal sales data and the store’s product profit report, allowed us to generate a list of SKUs to procure for the warehouse.
Report on product segments for distributor procurement
After analyzing competitors, a similar report was generated for distributor offerings.
The analysis resulted in a list of segments and SKUs that the distributor subsequently imported to Ukraine for sale in the online store.
These shipments and data on the availability of limited and/or exclusive products allowed us to form:
A graphics card sales plan for the marketing department
A plan for preparation of a prebuilt PC
A warehouse operations plan (including renting additional storage space for liquid products)
Report on suppliers’ product offerings by chipset
Availability notification report by segment
Most distributors provide information about product availability through emails or messengers, which do not allow for real-time updates on incoming goods.
Parsing product availability by both SKU and segment helped reduce the time required for analysis by the category manager.
The daily routine of reviewing the market offerings report, which takes less than 30 minutes in the morning, enabled early reservations in segments with limited availability.
Report on suppliers’ product offerings by chipset
Hypothesis testing
Case Study: Analyzing Factors Behind Sales Stagnation and Achieving 100% Growth in New Segments
In early December 2020, TELEMART.UA purchased a significant stock of 1050 Ti graphics cards (in the entry-level gaming segment), which had not been previously available in the store.
During their first three weeks on TELEMART.UA there were no sales of 1050 Ti cards even though Telemart had the lowest SKU price in the market.
This SKU was initially also available at two competitors, but by mid-December, it had completely disappeared from competitors’ stores. However, there was no emergence of sales dynamics for this product on TELEMART.UA.
Then at the end of December 2020 and the beginning of January 2021, there was a sudden surge in sales of the 1050 Ti with consistent daily demand, while the price remained stable throughout the entire month of December.
After conducting in-depth market analysis of graphics cards in this segment, we found that at the end of December, similar items were brought into the market at a price 15% less than the selling price of our client’s products.
After these items disappeared from competitors’ assortments, the 1050 Ti became the most affordable offering on the market and gained popularity among customers. This was reflected in the sales report.
Report on the change in minimum and average price of graphics card chipsets
Report on the 1050 Ti segment:
Average price of products in the segment
Minimum price of products in the segment
According to the report, the product price was higher relative to other products in the segment at the beginning of the month but became average (or even below average) towards the end of the month, which helped drive demand in the low-end sales segment where price is a key purchasing factor.
There are always three key aspects in product sales: the customer, the product, and the market. A custom report on graphics card market segments allows us to analyze product and market data, while market demand (the customer) can be assessed through search queries or website traffic.
The flexible reporting system created by Pricer24 as part of our complex task enabled us to implement management mechanisms: procuring high-demand items, which improved profit and revenue; timely purchasing from distributors; and differentiating sales according to market demand and supplier offerings.
These capabilities gave us a competitive advantage — something other market players did not have at that time.
Mykhailo, Head of Marketing, TELEMART.UA
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