Looking to maximize your profits this holiday season? Want to know the best strategies for pricing your Amazon inventory?
You’ll need to keep in mind your items’ categories, their sales rank, your competition and much more when setting your prices.
Keep reading to find out what you need to know to succeed during the holidays (and the rest of the year)!
Know Your Competition
Experienced Amazon sellers know their competition. Whether it’s Amazon themselves or another 3rd-party seller, understanding your competitions’ tendencies is key to repricing, especially during the holidays.
Now is the time to outperform them. When repricing you can exclude them from your competition, knowing that once they sell out you’ll be in prime position to get the next sales. Or choose to compete specifically against them by matching them or slightly undercutting them. If you do so, pay attention not to get into a price war where everyone loses.
Avoid Overly Aggressive Pricing
Sales come naturally during the holiday season. Because of this, being aggressive in your pricing strategies may not get you the profits that you’re hoping for. You’ll be better served by using floor and ceiling prices and staying in a general “sweet spot,” instead of following your competitor’s prices and letting their strategies dictate yours.
Don’t Get Caught Up in Price Wars
This is one thing I can’t stress enough. Undercutting your competition over and over again will only lead to getting you out of the market really quickly.
The one exception is if you have time-sensitive items (expiring grocery items, seasonal goods that you don’t want to hold on to) or items that are going to be hit with long-term FBA storage fees. If any of your items fit these criteria, the holiday season is a great time to be aggressive with pricing and really push for sales.
Keep Your Metrics Up
Even if you have the best pricing strategies, you’ll need to back it up with excellent order management and customer support. Focus on replying to messages from customers and Amazon quickly. Make sure you do everything in your power to minimize your Order Defect Rate.
With everything else going on this time of year, don’t let your metrics suffer.
An account suspension can be a killer at this time of year. Of course if it does happen, get in touch with the SellerEngine Services team, to see if we can help.
How Sellery Helps
Sellery can help with your pricing all year round. Sellery:
- Calculates a minimum price to keep you out of pricing wars.
- Reacts in real time to your competitors’ pricing changes.
- Lets you pick the competition that matters to you.
- Helps you win the Buy Box.
- Offers limitless pricing strategies.
And much more. Give it a try, free for 2 weeks!