EDLP vs. High-Low Pricing: What P&G Learned from German Retailers

Pricing strategy remains one of the most critical levers for revenue growth managers. But how do you decide between Everyday Low Pricing (EDLP) and a high-low promotional approach? Procter & Gamble Germany shows just how powerful this approach can be.

The Case: Pampers Pricing in Rewe vs. Edeka

P&G Germany designed a pricing experiment for its flagship Pampers brand to test the long-term impact of EDLP versus high-low tactics. In selected Rewe stores, they implemented EDLP: a consistently low shelf price with no promotions. In matched Edeka stores, they retained the high-low approach, combining regular pricing with periodic deep discounts.

Over several months, they tracked key performance indicators across both banners.

The Result: EDLP Drives Stronger Loyalty

The results were clear and compelling. Shoppers in EDLP stores returned more frequently and showed higher loyalty than those exposed to periodic discounting.

Here is a visual summary of what P&G observed:

This experiment influenced P&G’s long-term pricing strategy for Pampers in Germany. Instead of defaulting to promotional cycles, the team gained confidence in applying EDLP where loyalty and repeat purchases matter more than short-term uplift.

Estimate of loyalty and repeat purchase under an EDLP or High-Low strategy. Differences between retailers influence results. Indicate results. Use with caution.

What Makes This Approach Effective?

At Accuris, we empower FMCG companies to run these kinds of structured pricing tests at scale—with far more precision than conventional methods. Our analytics platform enables:

• Controlled banner and category experimentation, adjusting for shopper mix, store formats, and local dynamics.

• Time-aligned comparisons between test and control groups using matched data panels.

• Loyalty and repeat-purchase modelling based on actual shopper behaviour, not just sales volume.

• Incremental value analysis to distinguish true growth from shifting or pulled-forward demand.

• Custom dashboarding for tracking EDLP vs. High-Low outcomes in real time, across countries or retail partners.

We also integrate our Source of Business® methodology to distinguish whether gains come from new buyers, retailer switching, stockpiling, or genuine category growth.

Why Systematic Testing Wins

Relying on historical norms, legacy habits, or retailer preferences is no longer sufficient. The market is too dynamic—and shopper behaviour too nuanced. Systematic testing enables pricing and revenue managers to make informed choices, backed by data, not assumptions.

Even small shifts in loyalty and repeat rates can transform the profitability of your product lines over time.

Get in Touch

If your team is evaluating pricing models—whether to adopt EDLP, maintain promotional cycles, or mix both—Accuris can help you test and optimise with confidence. Let us show you what is possible with modern analytics and the right experimental design.

Contact us today to explore how this could work for your brand.

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