Ways to Sidestep The Amazon Price-War
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. We provide the below-listed reasons to avoid the price-war.
Repricing on Amazon wars
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.
You even might want that buyer to get affected in the war who is not buying your goods even at such low rates. It might make sense to you on the outside, but if you dig deeper into the problem, you would actually know the things the way they are.
The first problem being that 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. And in the end, consumers will start using a cheap price and cheap products as an equated term which will make them stop buying goods from a good merchant. This is a basic human tendency which will not be fruitful for your business.
Questioning long term sustainability
If you think using pricing software on your product will be atrocious, then you are wrong, because they can prove a good pricing strategy.
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.
You don’t win all the time
You might be the person who does not fall under the arguments in the above set. The luck might run in your favor sometime and you might dodge from the danger, and it would also feel great to be close to success, isn’t it? But, it is not always the same case.
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.
This 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 till become. 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 Store, 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.
We, at Evantage, have a team of Amazon experts who provide the services to keep handle your prices and maintain a swift sell and purchase of your products thereby keeping the customers constant and the competition healthy.