If you are selling on amazon, you are already familiar with the low margins when the competition is fierce.
Also seeing Amazon jumping on the pages and competing with you and their vendors by having agreements with the distributors directly doesn’t help.
Even if you are private labeling without a competitor after several orders Amazon will set up an average selling price (or suggested selling price). During the life-cycle of the product if you have a competitor or not, if you want to increase your listing price (with the increased cost of production over time); you might see that there is no buy box available on the page anymore. Since lots of consumers (like Repricer AI staff) buy from the buy box enabled ASINs, you might begin to lose sales. You will see Amazon customer support more likely not going to help you to resolve this issue.
First to know is that; Amazon has competitors too. They compete with Walmart, Target, and lots of other online retailers over so many products. They make their money from you with the Amazon commissions and if they lose their pricing competitiveness and lose sales to Walmart, that means less money to Bezos or their investors’ end of the year.
As you may know, Amazon provides basic repricing service to its sellers from Sellercentral; which is not the answer because of many reasons:
- Amazon will reduce your price consistently if any of Amazon’s competitors have a lower price.
- Amazon will reduce your price to give lower prices to Amazon customers
- Amazon will not change your price much frequently since it means computing power for them and even if they have Amazon Web Services, the cost is a cost. It will be hard to imagine amazon providing real-time repricing algorithms for all of their sellers.
- Amazon knows how low the sellers can go down over time for a type of product. Amazon also knows how well the product sells, or how many impressions the ASIN is getting. So they have a great understanding of the demand. Which means providing your minimum prices to Amazon might not be a good idea since it provides Amazon data while they are making their decision on selling on pages and competing with their sellers.
- Amazon doesn’t like markups. If you think you are adopted to high volume and low margin business, Amazon as a seller thrives on it.
- It has been proven many times that Amazon cares about the consumers than their sellers. Among many other operational strategies, it’s definite that you need an Amazon Repricer to win the buy box and have a competitive edge; since most of the sales are coming from the Buy Box.
Repricer AI is here to help. We are fast, reliable and we care about the Amazon sellers. Our machine learning-powered repricing algorithms are going to exhaust your competitors and the repricing applications they use. We are going to help you to win the buy box while increasing profit by providing you our superior cloud-based repricing algorithm.
It will take 15 minutes to set up your account completely and within minutes you will see why you made a great decision on choosing Repricer AI.