Amazon Repricing Myths
Published by Julian in Amazon Repricer
5 Common Repricing Myths
Amazon repricing holds a huge amount of value to traders on Amazon but despite the benefits the internet is rife with myths attempting to devalue and discredit the functionality and effectiveness of Amazon repricing software and services. Amazon repricing software is a valuable tool that allows you to rapidly adjust your inventory prices, based on the relative competing prices current on the Amazon marketplace.
Automation is the driving factor behind the effectiveness of Amazon repricing, but it is the rules set by the user that sets the conditions for price adjustments. You have complete control! In order to give you broader insight into the utility value of Amazon repricing, please take a look below. We have listed the most commonly found myths and set the record straight.
Myth 1 - Repricing software can drop your prices to almost 0
You are in complete control of applied rules and pricing policies with Seller Republic. Repricing tools will never automatically set the value of your products, you hold no risk of being the victim of "random" rogue-like automatic pricing adjustments. There is no way at all that you will find yourself trading price limits that you have not set yourself.
Myth 2 - Amazon Repricing results in trading at a loss
Even though many traders lower the price of non-moving stock to a point at which they break even, or even below cost to cut losses if seen fit, this is not something that occurs as a result of Amazon repricing automation. If you want to trade at or below cost then set you would need to set the rule to do so. Trading at prices so low that you make a loss as the result of an automatic process is something that does not occur, unless you incorrectly configure the repricing software.
Myth 3 - Repricing software is too expensive for a small enterprise
Repricing is not expensive when you take into account the increase in profits provided. To better evaluate whether you will save time and increase turnover as a result of automatic repricing, Seller Republic offer a free trial to help you assess the need. Many traders find that the cost is relatively low, as compared to employing someone to adjust prices based on your stipulations full time. Even a one-man-show can benefit greatly from the time saved through the handy automation made available through Amazon repricing apps, other software and services.
Myth 4 - Repricing results in a race to the lowest possible price
If any race is taking place then it is the race to the highest turnover/profit, not lowest price! You lock your lowest trading price and repricing software adjusts to the highest price needed to win you the buy box. Repricing can result in lower or higher prices depending on the market, competitor's offerings and the minimums and maximums that you set within your repricing tool. Often competitors run out of stock and automatic adjustments towards a higher trading price is automatically carried out. Most traders who use a repricer find increase in profits of 40%!
Myth 5 - Repricing is of no use to me as I do not have many separate items
Competitiveness is key, especially when trading fewer items. In order to hold your place within markets that are flooded with competitors, one of the most successful strategies that you could employ is strategic price adjustments. There is no easier way to implement pricing changes on the fly, than through the use of an Amazon Repricer. The facts are that repricing when you have any more than 10-100 products is basically impossible even if you were to do it 24/7 without an automatic repricer. Traders selling both many and few items can reap benefits from the tactically advantage offered by repricing.
Amazon Repricing is a Valuable Tool & Asset
For retailers needing to adjust both tens of thousands of items per hour, or even those needing to competitively market just ten, Amazon repricing software makes for an invaluable tool. The benefits provided through intelligent repricing far outweigh the cost. By implementing minimum and maximum selling price rules and configuring other automatic adjustment policies to match your strategy and sales style, you can ensure yourself complete safety while staying highly competitive on Amazon.com. Pay it the proper attention needed to configure it optimally and you will save yourself many hours' worth of hassle while upping your chances of winning buy box time.