For every price you pay, you receive value. The higher rate usually converts to a higher value. That’s what Warren Buffet, one of the world’s greatest investors, has been sharing during conferences and interviews. It does not only apply to savvy stock market traders and investors but also both sellers and consumers of the tech giant Amazon.
Now, what’s with the Amazon repricer that is shaking the ecommerce landscape either for the good or bad of sellers? It’s a software that automatically updates and changes the price of Amazon listings aligned with factors like shipping, competition, and cost.
Then there’s the Buy Box, which consumers click to add products to their Amazon shopping carts. You can see it on every product’s landing page. For a product with multiple sellers, competition for the coveted Buy Box is inevitable. According to Amazon, sellers placed on the Buy Box have better chances for increased sales and profits.
Both the Amazon Buy Box and the Amazon repricers are imperative since customers always look at the price point before making a decision. With all the innovations, resourceful and savvy customers tend to dabble on the lowest priced products.
In this article, let us tackle the concrete steps on how sellers can get featured in the Amazon Buy Box and how properly using Amazon repricers can boost that goal.
For Amazon Sellers, Buy Box is like a Trophy
Many Amazon sellers compete for the Buy Box, especially with the long-term benefits attached. Once you get featured in it, you’ll end up with more traffic and, thus, more conversions and sales. You’ll also gain significant product reviews that will further boost your authority and credibility. When Amazon notices that, it will again give you the coveted chance of being featured in the Buy Box.
With a dynamic pricing strategy, you can sustain that special privilege of being showcased. To help you do that, it matters to leverage the power of Amazon repricers like Seller Snap and to develop a strategy that will effectively execute a plan into a profitable venture.
Now more than ever, the “Add to Basket” button has grown in relevance and importance, especially with its compelling advantages. That is why many sellers consider it as retail’s Holy Grail. Why could that be?
When such a button appears on your listings, that means Amazon’s sophisticated algorithm favors your store among other companies selling the same products. Let’s say your company is selling animation books and games. There are also hundreds of companies selling similar products. If you’ll get the button, Amazon is most likely to want your store to rank higher because it considers your products and services as most satisfactory for customers.
That is why it will hold no doubt putting your store to the front page whenever a customer browses for a product related to your niche. When that happens, more users can access other products you offer. That gives you more chance of converting them into avid customers and subscribers.
With millions of users visiting Amazon every day, your store, being on the front page, gets the idyllic slice of the pie.
For that reason, every ecommerce seller should include Amazon in their strategy, given its massive traffic and conversion potential. Once you join, you’re in for a lucrative money-making endeavor. But here’s the catch. It’s not that easy given the ever-growing competition.
Price plays paramount importance more than ever, and if you can’t compete with the first or more prominent players, you’ll not be able to build a sustainable business. That is why consider winning sales with the use of an Amazon repricer. In that way, you will not only harm your excess profit margin. Take note. The points apply to both new sellers and advanced sellers.
Sellers Should Tap not just the Price but Focus on Overall Value
When buying Amazon repricers, many sellers immediately delist options that they deem not suitable for their budgetary situation. So they go for the cheapest repricers or those with the lowest price tag. But that should not be. It’s imperative to consider the overall value of the selected Amazon repricer. Take note. Not every repricers shares similar features, especially the essentials.
Let’s say you did buy the cheapest Amazon repricer option. That does not mean that you’ll immediately achieve the Buy Box. There are other factors and considerations to know, and if you keep traction on bargains, you might attain the opposite. After all, Buffet did say that you only get the equivalent of what you paid for.
So take note of these four essentials to land a spot on Amazon’s coveted Buy Box. You might be missing out on these and the equal opportunities.
1. Frequent pricing updates
Product prices in the Amazon marketplace are almost as volatile as the trends in the stock market. That’s because they fluctuate every 15 minutes and sometimes, less. Considering the stiff competition, the pricing changes are significant challenges, especially for traditional sellers. Thankfully, a proper Amazon repricer can automatically change your pricing for as often as ten seconds as it can regularly monitor the e-commerce landscape globally.
Since an Amazon repricer provides perpetual data insights and price scanning, you have more advantage when it comes to delivering optimal price. That will also help sustain and boost your competitiveness and gives you higher chances for attaining the Buy Box.
And yes, that comes truth to be told, many Amazon repricers in the market are backward since they provide historical pricing information based on retrospective analysis. A winning Amazon repricer, on the other hand, considers a futuristic approach, thus, provides more accurate pricing updates.
Ideal Amazon repricers reign supreme in terms of assessing price movements based on parameters such as product category, seasonality, and time of day. along with the price that both Amazon and customers find desirable.
2. Predictive Change in Price
To put that into perspective, let’s cite an example. Between Black Friday and Christmas, demand for hot packs suddenly increases as customers prepare before the ski season begins. Winning Amazon repricers can provide an accurate price of hot packs in the coming months. That is considering the decrease in inventory and an increase in demand.
3. A holistic, robust strategy
Competing for the Buy Box entails various factors, and your level for the Buy Box will depend on how it drives purchases, not just the price. For that reason, winning Amazon repricer algorithms always take into account different parameters, including: product and company reviews, delivery speed, product categories, number of sellers, number of products sold, and time of the day. When all these critical factors are considered, you have a better chance of winning the Buy Box with the repricer’s help.
Let’s say your store has a better and faster product delivery system. That puts you in an advantaged position to win the Buy Box. This holds especially true if your major markets are the Prime Member of Amazon, which is more than 100 million. Speed is imperative, especially that many prime members are used to the usual free two-day shipping for various products.
In a nutshell, Amazon favors the seller, who can offer the best shopping experience for the customer. That should come hand in hand with best practices on performance metrics, availability, fulfillment, and pricing. Do take note though that Amazon rotates which seller gets featured in the Buy Box. That is good news since it only means that any seller can always have the chance to win it.
4. Understanding all your Competitors
Reflecting on the market’s supply and demand, winning Amazon repricers can always update prices regardless of how many sellers there are. Studies show an inverse correlation between the price of a product and the number of sellers.
But that’s not where things end since with data; you can take a further leap. That’s because product attributes or features impact the number of sellers. For example, you can leverage advanced similarity matching instead of solely accounting sellers with listings that match your products. With similarity matching, you can identify sellers with products that are not just identical but are similar to yours.
An ideal Amazon repricer gives you a 360-degree perspective of your competitive area. That helps you compare your products to similar and exact listings of competitors. You also get a clearer view of products that your target may account for when you add similar matches. When there is more data, there are more detailed competitive insights. In that way, you can respond not only to a fraction of your competitors but to the whole competitive arena.
With all that, it makes sense not to limit yourself. Take note. You’ll have easy access to the ideal price without draining you of financial resources to remain relevant. At the same time, you’ll achieve better rankings and, thus, greater online visibility. All these are possible since an Amazon repricer provides you with a competitive product baseline that considers the products of relevant competitors.
So, there you have it. Upon reading the article, you’re now aware that competition in Amazon is growing tighter and tighter. Regardless of what niche, there are always starters and future sellers who gear for a piece of the pie. That is why; the role of Amazon repricers becomes even more imperative.