Abstract: Embodiments presented herein disclose a dynamic pricing engine for optimized dynamic pricing of a product by considering price elasticity of the user. Specific modules of the engine are configured to: receive a user input corresponding to an online product and collect behavioral data of a user based on the user input; access an updated user profile corresponding to the user based on the collected behavioral data and a fraud score associated with the user; determine a relevance score, for all displayed products, based at least on the received user profile; determine a baseline price of the product, for the user, based on one or more of the relevance score associated with the user profile and various external and internal attributes; and determine a personalized price of the product for the user, based on the baseline price and a price differential that is computed by considering the user's price elasticity.