Monday, March 21, 2016

8 Things You Should Know Before Choosing an Amazon Repricer

On Amazon, price is fluid - one price does not fit all situations.

This is why many Amazon sellers use repricers. Managing the price of an inventory of products is simply not scalable.

But before you start visiting repricer websites, there are eight things you should know about the types of repricers available and what you can expect, before signing up.

 1. Reprice in Real Time 

Repricing lets you react quicker when a competitor changes their price or runs out of stock. If you’re going to invest in a repricer, make sure it offers real time repricing. Many repricers have delays of up to an hour before a product reacts and reprices. This is a long time in eCommerce – the opportunity may have already passed you by. Real time repricing means you take instant advantage of price changes and always stay one step ahead of your competitors.

2. Win the Buy Box more often 

This the main benefit of a repricer. As much as 80% of all Amazon sales go through the Buy Box. Mobile shoppers, who are a fast-growing population, are even more influenced by the Buy Box because fewer alternative sellers are displayed there.

By repricing based on rules against your competitors, you are guaranteed to win more Buy Box.

3. Less Work, More Sales

Rest assured that your repricer is doing the work so you don’t have to constantly monitor your competitors. Automatically adjusting your prices, within the range you define, gives you the best possible chance to sell every time.

4. You Set the Rules

While price is a crucial factor, Amazon use a sophisticated algorithm to award the Buy Box. Other measures like feedback score, seller rating, customer support response times, delivery times and stock levels are also taken into account. A solid repricing strategy should react to a range of competitive scenarios. Setting your own rules with a rules-based repricer allows you to do that and compete in a super-granular way you control.

5. Make More Profit

In some cases, higher price products can win the Buy box over cheaper ones, like when you have a better feedback score than your rival. The software should reprice up and down depending on the situation. You should be able to tweak your strategy to achieve the highest price and still win the all important Buy Box.

6. Bulk Upload Your Products 

Anything that saves time and gets the job done the most efficient way is a winner. Regardless of the size of your inventory, the ability to upload multiple SKUs is invaluable, you should also have the capacity to deselect individual items with a single click if required.

7. Control Your Net Margin 

A common problem for sellers is knowing their true net margin after all selling costs are taken into account. Sales charges, listings fees, VAT, shipping costs, the list goes on – final sale price doesn’t always reflect your true margin. Advanced repricers allow you to input your selling costs and specify your desired margin in advance, ensuring you profit from each and every sale and can predict your margins.

8. Algorithmic or Rules-Based Repricing

The two most common types are rules-based repricers and algorithmic repricers. With rules-based repricers, you set the rules for how you compete. With algorithmic repricers, you let the repricing software wholly compete on your behalf. Which system you prefer is entirely your choice.

Choosing the right Amazon repricing software is a decision that shouldn’t be taken lightly. Don’t be fooled by the ‘set it and forget it’ approach that some companies take. A repricer should remove the hassle of manually repricing inventory and give you peace of mind that your pricing is always competitive.

A repricer should give you the flexibility to stay in control. Want to see a real time repricer in action?

Try XSellco Price Manager on a Free 14-day trial.