Private Equity Funcast Real-Time Inflation Tracking and Forecasting: A Deep Dive into Open Brand’s Proprietary Consumer Price Index
Apr 1, 2025
Greg Munves, CEO of OpenBrand, and Ralph McLaughlin, Chief Economist, dive deep into real-time inflation tracking methods. They unveil their proprietary Consumer Price Index for Durable and Personal Goods, boasting remarkable accuracy. The duo discusses how this index helps manufacturers and retailers optimize pricing strategies in a volatile market. Their scenario-based inflation forecasts empower investors and policymakers with tailored insights. They also shed light on complex discount dynamics and innovative methodologies that are reshaping how we understand consumer pricing.
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Third Data Point for Inflation
- OpenBrand's CPI-DPG offers a third, independent data point for measuring inflation, alongside the BLS CPI and PCE.
- This allows for triangulation and more accurate price predictions.
Simplified CPI Calculation with Big Data
- Big data simplifies CPI calculation by reducing the need for statistical adjustments like hedonic adjustments.
- OpenBrand's dense dataset allows for a simpler, more robust approach.
Weighting by Time in Market
- OpenBrand's CPI-DPG weights products based on time in the market, not purchase volume.
- This prioritizes price stability over the influence of new, potentially disruptive products.