Pricing is one of the main criteria to win the share of amazon’s buy box. But sometimes, the merchants are concerned about the prices for increasing their profits. Instead of worrying about having the lowest cost among your competitors and getting into price wars and making it ugly, you can avoid it, for the good
Mostly three people are affected by the price war- the buyer, the seller, and competitors. The foremost effect of the rice war will be on you and your competitor, but also, the war will have your profit margin less, which will affect the buyer.
Your customers might come to you every time if you don’t provide them with those prices which they expect, they will look for it somewhere else, because they don’t know about the war happening.
consumers will start using a cheap price and cheap products as an equated term which will make them stop buying goods from a god merchant.
If you want to sell the products which are moving out slow or the ones which are extremely expensive, then you might want to pick a really low product and can either sell it at record speed or keep the price low as the part of a pair which will help you move twice the inventory in a single go.
Following this process is exactly like having a tooth for caffeine, you would like it at first but then it would turn out harmful for your mind and body and doctors would suggest you avoid it unless it is really necessary.
Price Slashing, the practice of cutting prices by large amounts, is the same as consuming caffeine. You will get excited while trying it at first when it happens occasionally. But once you start hitting the prices on rock bottom regularly, you will be pricing yourself out of the business in some time.
If you get constant success, you will become one of the top brands and then other brands might pull you down because they lose customers because of your tactics. They might do things to make you a thing of the past.
it does not imply that you don’t grow and make your company but it just means that you should not always take the route of selling the products at lower costs to achieve the goal, as the shorter the path to success, the bigger disaster it becomes. Chose difficult and slow methods to build the foundation of success because slow and steady wins the race.
If you choose a reliable company like Evantage, it will definitely help you to win the share of the buy box on amazon. And, this will prevent you from using any weird tactics and reduce your competition.