Generative AI in Pricing Market Size, Share and Trends 2026 to 2035

Revenue, 2025

USD 311.60 Mn

Forecast Year, 2035

USD 1,335.99 Mn

CAGR, 2026 - 2035

15.67%

Report Coverage

Global

What is the Generative AI in Pricing Market Size in 2026?

The global generative AI in pricing market size was calculated at USD 311.60 million in 2025 and is predicted to increase from USD 360.43 million in 2026 to approximately USD 1,335.99 million by 2035, expanding at a CAGR of 15.67% from 2026 to 2035.The market is driven by growing use of AI-based solutions that facilitate dynamic pricing, real-time market analysis, and automated decision-making to maximize revenue and competitiveness.

Key Takeaways

• North America led the generative AI in pricing market with the largest share of 38% in 2025.
• Asia-Pacific is expected to grow at the highest rate during the forecast period.
• By component type, the software segment led the market with the highest share of 68% in 2025.
• By component type, the services segment is expected to grow at a notable CAGR during the forecast period
• By deployment type, the cloud-based segment dominated the market with the largest share of 57% in 2025.
• By deployment type, the on-premises segment is expected to grow at a notable CAGR between 2026 and 2035.
• By enterprise size, the large enterprises segment led the market with the highest share of 72% in 2025.
• By enterprise size, the small and medium enterprises (SMEs) segment is expected to expand at the highest CAGR from 2026 to 2035.
• By industry type, the retail segment led the market in 2025.
• By industry type, the BFSI segment is expected to expand at the highest CAGR from 2026 to 2035.

What is the Generative AI in Pricing Market?

The market uses advanced AI models like deep learning and transformer models to analyze large datasets and generate optimized pricing strategies in real-time. These models combine historical sales data, customer behavior, competitor pricing, and market trends to dynamically adjust prices, simulate multiple pricing strategies, and personalize offers at scale. While traditional pricing tools rely on prediction, generative AI develops adaptive pricing models that learn and evolve in real-time, making them suitable for applications in e-commerce, travel, hospitality, and logistics. The market is currently gaining immense traction as organizations increasingly turn to data-driven strategies to optimize revenue management, enhance competitiveness, and react in real-time to market dynamics.

Technology Shifts in the Generative AI in Pricing Market

Technology shifts in the market are trending towards more autonomous and real-time systems that can continuously generate and modify pricing strategies as opposed to rule-based systems. There is also a shift towards hyper-personalization, where AI models decide prices based on the behavior of individual customers. Pricing engines are also becoming event-driven, where they instantly respond to changes in demand, competitor actions, and supply factors. Another shift is the use of multimodal and unstructured data, such as customer feedback and sentiment, to shape pricing decisions. Businesses are also employing agent-based AI systems that can simulate and optimize pricing without requiring constant human intervention.

Generative AI in Pricing Market Trends

• Collaborations and Partnerships: Organizations are collaborating with AI companies to incorporate generative AI in pricing and revenue management solutions. This facilitates the automation of dynamic pricing and enhances margin optimization. For instance, Salesforce collaborated with AI companies to incorporate generative AI technology in its customer and revenue management solutions to improve intelligent pricing analysis.
• Government Initiatives: Governments are promoting the adoption of AI through country-specific AI strategies and digital transformation initiatives. These initiatives support the adoption of generative AI in business operations such as pricing analysis. For instance, under the Indian government, NITI Aayog is facilitating AI innovation as a part of India's national AI program to accelerate enterprise adoption.
• Business Expansions: Companies are expanding their generative AI solutions by incorporating advanced pricing intelligence into their existing enterprise solutions. This enables organizations to calculate optimal price and revenue. For instance, SAP is expanding its enterprise solutions by adding generative AI capabilities to improve automated pricing and revenue optimization.

Market Scope

Segmental Insights

Component Type Insights

Why Did the Software Segment Dominate the Market in 2025?

The software segment held the largest generative AI in pricing market share in 2025. The market growth of this segment can be attributed to its foundation layer, where pricing models, algorithms, and decision engines are developed and implemented. Businesses use software solutions to analyze data, make price suggestions, and automate pricing in real-time. Software solutions are scalable and can be easily integrated with other systems such as ERP and CRM. This segment provides significant value through automation and faster decision-making. Businesses also prefer software solutions because they provide them with more control, customization, and cost-effectiveness in pricing operations.

The services segment is expected to grow at a significant CAGR from 2026 to 2035. The market growth of this segment is because organizations require specialized support to effectively implement and leverage generative AI for pricing. Most companies lack the necessary skills and competencies to develop and manage sophisticated pricing models, thereby fueling demand for services such as consulting, system integration, and implementation. These services facilitate organizations to adapt AI models to industry-specific pricing models, ensure high-quality data pipelines, and integrate solutions with existing platforms such as ERP and CRM systems.

Deployment Type Insights

Why Did the Cloud-Based Segment Dominate the Market in 2025?

The cloud-based segment led the generative AI in pricing market in 2025. The market growth of this segment can be attributed to its flexibility, scalability, and rapid deployment of generative AI pricing solutions. Cloud platforms are preferred by businesses because they facilitate real-time data processing, seamless integration with existing infrastructure, and the use of sophisticated AI tools without incurring significant infrastructure costs. This segment is also suitable for dynamic pricing because it enables model updates and accessibility from anywhere.

The on-premises segment is expected to grow at a notable CAGR during the forecast period. The market growth of this segment is because companies with stringent data security, privacy, and regulatory norms prefer to host their pricing systems on-premises. The banking, healthcare, and government sectors prefer to have complete control over their sensitive customer and pricing data. This segment also enables customization of AI models and integration with legacy systems.

Enterprise Size Insights

Why Did the Large Enterprises Segment Dominate the Market in 2025?

The large enterprises segment dominated the generative AI in pricing market in 2025. The market growth of this segment can be attributed to its financial, data, and technical capabilities necessary for the implementation of generative AI pricing solutions. Large enterprises process massive amounts of customer and transactional data, which helps in the accurate implementation of pricing models. This segment is one of the first sectors to adopt new technologies and possess the resources for their deployment.

The small and medium enterprises (SMEs) segment is expected to expand at the highest CAGR during the forecast period. The market growth of this segment is because small businesses are increasingly adopting generative AI pricing solutions to remain competitive. With the advent of cloud-based pricing solutions, SMEs can now afford these solutions and implement them without significant upfront investment. This segment can leverage AI to automate pricing decisions, making them agile to market changes and optimizing discounts and promotions.

Industry Type Insights

Why Did the Retail Segment Dominate the Market in 2025?

The retail segment dominated the generative AI in pricing market in 2025. The market growth of this segment is because pricing is one of the most important factors that affect the purchase decisions of customers in this sector. Retailers face challenges such as managing a wide range of products, fluctuations in demand, and price competition, making generative AI very effective in this sector for pricing strategy optimization. These tools allow for real-time price changes, personalized pricing, and effective promotion planning based on customer behavior and competitor pricing. The rise of e-commerce has also raised the need for fast and scalable pricing solutions.

The BFSI segment is expected to grow at the highest CAGR during the forecast period. The market growth of this segment is because financial institutions are adopting generative AI to optimize the pricing of loans, insurance, and financial services. Organizations in this industry are involved in risk-based pricing, which is intricate. Generative AI assists in analyzing customer profiles and credit information to provide more accurate pricing. Generative AI also facilitates real-time changes in interest rates, premiums, and fees based on risk and demand patterns.

Regional Insights

North America Generative AI in Pricing Market Size and Growth 2026 to 2035

The North America generative AI in pricing market size is estimated at USD 118.41 million in 2025 and is projected to reach approximately USD 514.36 million by 2035, with a 15.82% CAGR from 2026 to 2035.

What Made North America the Leading Region in the Generative AI in Pricing Market?

North America held the largest share of the global generative AI in pricing market in 2025. The market growth of this region can be attributed to its advanced technological infrastructure and adoption of sophisticated AI technology. This region has a presence of prominent technology companies that are fueling the development of generative AI. Companies in this region get early exposure to the latest technology, advanced data infrastructure, and qualified resources, which helps in faster adoption of AI-based pricing solutions. Companies in the retail, finance, and e-commerce sectors are actively leveraging data-driven pricing solutions to remain competitive in the market.

U.S. Generative AI in Pricing Market Size and Growth 2026 to 2035

The U.S. generative AI in pricing market size is calculated at USD 88.81 million in 2025 and is expected to reach nearly USD 388.34 million in 2035, accelerating at a strong CAGR of 15.90% between 2026 and 2035.

U.S Generative AI in Pricing Market Trends

The U.S. led the market in North America because of its well-developed AI ecosystem and the presence of key technology giants that are driving innovation in the field of generative AI pricing solutions. This country has a mature digital infrastructure with widespread adoption of cloud computing and access to large amounts of data that can be leveraged to effectively implement real-time pricing solutions. Moreover, the country's businesses are actively investing in AI-based solutions to enhance competitiveness and profitability.

What Made Asia Pacific the Fastest Growing Region in the Generative AI in Pricing Market?

Asia Pacific is expected to grow at the fastest rate from 2026 to 2035. The market growth of this region can be attributed to rapid digital transformation, the growing e-commerce market, and the adoption of AI technologies. Companies in this region are actively working on data-driven pricing solutions to remain competitive in the highly dynamic and price-sensitive markets. The cloud infrastructure is also becoming more readily available, and the internet penetration is high, making it easier for the adoption of AI technology, including generative AI pricing solutions.

China Generative AI in Pricing Market Analysis

China is at the forefront of market growth in the Asia Pacific because of its enormous digital economy, robust e-commerce infrastructure, and rapid adoption of AI technologies. This country has a huge amount of consumer data, which facilitates the training of AI models used by generative AI to predict optimal prices. Companies are leveraging generative AI to implement real-time pricing optimization, primarily in the retail and e-commerce sectors. The market growth in China is further driven by favorable government support, development in cloud infrastructure, and competitive market dynamics.

Generative AI in Pricing Market Companies

• International Business Machines Corporation(IBM)
• Systems, Applications, and Products in Data Processing(SAP)
• Oracle Corporation
• Microsoft Corporation
• Salesforce Inc.
• Competera Ltd.
• Vendavo Inc.
• Pricefx AG
• Zilliant Inc
• Omnia Retail
• Prisync
• Quicklizard
• Perfect Price Inc.
• Qcue Inc.

Segments Covered in This Report

By Component

• Software
• Services

By Deployment Mode

• Cloud-Based
• On-Premises

By Enterprise Size

• Small and Medium Enterprises (SMEs)
• Large Enterprises

By Industry Vertical

• Retail
• Manufacturing
• Healthcare
• BFSI
• Travel and Hospitality
• IT & Telecommunications
• Others (Automotive, Energy, Education, etc.)

By Region

• North America
• Europe
• Asia-Pacific
• Latin America
• Middle East & Africa