As a seller on Amazon, it’s a top priority to always stay steps ahead of your competitors. A smart seller knows that repricing is the key to achieving such success. Making sure your prices are always close to, or distinctively better than theirs can dictate the direction of your market, either profitability or failure.
It is always a happy news to the ear when sellers share stories of how repricing has helped or is helping their market and making more money for them. However, it is also saddening when we hear about how sellers make mistakes with repricing, mistakes that could have been avoided.
Below are some of the Amazon repricing mistakes and how they can be avoided.
Using manual repricing method
The biggest mistake you can commit as a seller, is using the manual method for repricing. Asides from the fact that we make and highly recommend ereprice, it’s a fact that using any repricing software is better than using none at all.
In the absence of an automated repricing software, it boils down to manual searching for competitors each and every time, just to see what their prices are and simultaneously alter yours within Amazon Seller Central. Just imagining it alone, is tedious. It gets worse if your competitors already have, and are using automated repricing software, you as a seller have to keep up with the speed and technicality of a computer program whose only function is repricing.
eReprice is a user-friendly software that you can easily manoeuvre your way through. Once you get the idea on the use, you will start winning the Buy Box frequently and make much more sales than you did previously.
The mistake of forgetting to set the max price on your automated repricer
I want to believe that after going through the first point above, you would have switched to the use of an automated repricing software. Thumbs up! You made a wise decision.
The very first step is setting minimum prices for your products (minimum prices are “ground floor” prices, they are the lowest possible price that you attach to your products, after which you must have fractioned indirect costs, like packaging, shipping and handling, and the cost of the product itself. Also, there are indirect costs, like storage, labour, internet service, accounting and other form of business costs…and still making a profit that is acceptable to you the seller).
The alternate side to this is the maximum price, it’s the “ceiling price”, i.e. the highest possible price that a seller can attach to a product without being seen as too high by buyers. The advantage to this, is that, by using a software like ereprice, you give the repricer a liberty to hit maximum price after reaching the set minimum price automatically. Times when your competitors sell out of products, with the use of ereprice, you can maximise the profit margin in the absence of little competition.
Making use of “set it and forget it” repricing technique
It’s a fact that automated repricers take away the strenuous tasks of monitoring competitors and manually repricing through Amazon Seller Central. However, one of the mistakes committed by sellers is to make use of a “set it and forget it” strategy after setting up the software for the first time. The automated software has many benefits attached to its usage, but it doesn’t mean it should be neglected after setting it up for the first time.
Reasons being that; Costs fluctuate often, trends tend to change with seasons and other factors, your initial assumptions of prices might have been wrong and will need correction.
Putting all of these points above into consideration, it is key to keep a constant check on your reprice software and make a habit of checking your minimum and maximum prices and custom settings.
The totality of it all is that you as a seller should make little research first, before making certain decisions concerning the use of ereprice. By so doing, you will be able to get the most out of automated repricing, in terms of sales and profits.