3 Ways an Amazon Repricer Will Help You Grow Your Business
Getting your pricing right has always been an important part of running a business successfully. But when selling on the Amazon marketplace, it’s often a crucial factor in each sale you make. That’s not just because shoppers on Amazon.com, Inc. (“Amazon”) are frequently looking for the best deal—although that’s part of it.
Your pricing on the Amazon marketplace also directly affects how visible your products are. And people have to see your product listings on the Amazon marketplace before they can ever choose to buy from you.
Pricing and the Buy Box
If any of the products you sell are also sold by other vendors, one of the most important parts of getting a sale is winning the Buy Box. Amazon hasn’t shared the exact details of how they determine who gets the Buy Box, but we know part of the equation is pricing.
After all, they want that sale too. If you’re offering a product for the best price, they know the customer is more likely to convert with your listing than one from a business charging more. Because of the way the Buy Box works, offering the best price is a surefire way to increase your sales.
Of course, continually lowering your price to win the Buy Box comes at a cost to your profits. There’s only so far you can go before you’re not making enough money on each sale to stay in business. Being profitable on Amazon not only requires knowing when to lower your price, but also when you can get away with bumping it back up without losing the Buy Box.
What is an Amazon Repricer?
Sellers on the Amazon marketplace change prices frequently in an attempt to win more sales, while still making as much of a profit as possible.Around 2.5 million price changes happen on the platform every day, which translates to the average product listing changing price every ten minutes.
As a seller, staying on top of the prices your competitors are charging plays a big role in how successful you’ll be. But tracking price changes and responding in real time is an overwhelming prospect—at least for a human. Luckily, this is precisely the kind of job that technology does well.
Amazon repricers automate the process of tracking competitor pricing across all your products. They catch it in real time when a competitor’s price drops, and automatically bring your price down to beat it. They can save you the headache of doing it all manually—which is onerous enough if you sell a few products, but frankly impossible if you sell hundreds or thousands.
3 Ways an Amazon Repricer Makes You More Profitable
An Amazon repricer won’t just help you win the Buy Box more often. It’s also a valuable tool for growing your business.
1) An Amazon repricer helps you increase the number of sales you make.
Amazon limits your ability to build a known brand on the site, which means the main way you have to compete is price. By always displaying a competitive price in your listings across all your products, more Amazon customers will choose your listing when searching for what you sell. That translates to more purchases.
2) It enables you to get the most profit from each sale.
Sometimes lowering your prices will be worth it to get more sales. But it’s just as important to know when to increase your prices to yield higher profits. Repricers help with that, too. When the competition’s prices tick upwards, you’ll know to do the same so you don’t underprice yourself unnecessarily.
3) You’ll vastly reduce your workload.
Whether you’re hiring other people or doing it yourself, one of the biggest costs of running a business is time. The time you spend monitoring prices and amending your listings adds up.
When you can hand that work over to an Amazon repricer, it opens up time you can invest in other aspects of running your business. Suddenly you have more time for things like identifying additional products to sell, doing more marketing and improving your product listings. All of which will help you be more successful!
Grow Your Business with an Amazon Repricer
More sales, higher profits and more time all translate to a thriving business. Making more money means you have more to invest in building your business out with additional employees and new products. And with more time on your hands, you can pursue new ventures and tactics.
Technically, you can handle pricing changes manually, but it will only slow your growth down. An Amazon repricer like SmartPrice will deliver better results, while also making your life easier.
Originally published on September 26, 2019, updated September 26, 2019
This post is accurate as of the date of publication. Some features and information may have changed due to product updates or Amazon policy changes.