Pricing plays a crucial role in eCommerce, especially on Amazon. Since product pricing is essential, Amazon sellers do their best to offer shoppers the most reasonable price possible. 

Sellers rely on an Amazon seller tool known as an Amazon repricer in order to achieve their goal of offering a competitive price. To better understand repricing and repricing software for Amazon, here are some important details Amazon sellers should know. 

What is Repricing in General

Repricing is a term that has been incorporated into the digital landscape in consonance with the evolution of eCommerce. It pertains to the process of updating listing prices with a certain degree of automation. 

In its simplest form, repricing refers to updating product prices on eCommerce sites by means of an automated technology. Such a process is facilitated in real-time with the help of repricing software. 

What is Amazon Marketplace Repricing?

Simply put, repricing refers to adjusting the listing price on the Amazon marketplace. In order to offer a competitive price to Amazon shoppers, Amazon sellers change their listing prices based on various market conditions, including the competitors’ behavior. 

To efficiently and effectively facilitate repricing, third-party merchants use a repricing software for their Amazon business.

What Is a Repricer and How Does It Work? 

A repricer is a software tool that automatically changes the price of an item you sell on Amazon (a listing) based on one or more rules, such as always matching the lowest offer on Amazon, or by applying more complicated internal logic.

A repricer makes price changes by pushing price feeds using Amazon’s MWS API  and requires that you grant the repricing software access to your Amazon Seller account. 

From the minute Amazon opened the marketplace to 3P sellers, frequent product price changes have become critical to running a successful Amazon storefront.                 

WHY? Because if you want to sell, you have to be in the buy box, and to get the buy box if you don’t have it, the only thing you can do in the short term is lower your price (of course in the long term you should worry about your seller rating and a bunch of other things that make you a better seller).

How Does Repricing Help Amazon Sellers?

Updates in the eCommerce industry introduced not just marketplace improvements but also software advancements. For example, Amazon has allowed third-party developers to introduce Amazon seller tools that can assist sellers and shoppers alike. 

A repricing tool is one of these softwares that drastically help Amazon sellers save time and maximize their profit. Some of the reasons why Amazon sellers should use repricing software include the following: 

• Increased Amazon Buy Box Win Rate

The Amazon Buy Box is a significant real estate on Amazon’s product detail page. It is where the “Add to Cart” and “Buy Now” buttons are situated. Amazon sellers compete to win the Amazon Buy Box to increase their sales conversion. 

Amazon chooses compelling offers from a pool of eligible offers to win the Buy Box. One of the factors that Amazon evaluates in awarding the Buy Box is the product price. 

With the help of a repricing software, Amazon sellers can offer a competitive listing price to increase their chances of winning the coveted Amazon Buy Box. 

• Improved Pricing Process

Repricing software, AI repricers in particular, provides efficiency in terms of price adjustments. The automated repricing process can help third-party merchants quickly change listing prices even in bulk. 

With automated repricing, there is no need for Amazon sellers to spend too much time and effort adjusting individual product prices for each listing manually. High-volume Amazon sellers can definitely benefit from repricing software. 

• Better Search Result Ranking 

Frequent Amazon shoppers will use filters when shopping online. Among these filters is the product price. Since using a repricer lets you offer a competitive price, the likelihood of becoming more visible on Amazon searches is high. 

Additionally, the Amazon algorithm also considers product price when ranking listings on the Amazon search result pages. When you have a competitive price, your product will likely rank higher on the search results page. 

• Access to Sophisticated Data

Apart from helping sellers adjust their listing price to a competitive level, using reliable and advanced repricing software like Seller Snap also gives sellers access to critical information through data analytics. Sophisticated repricers have built-in analytics that can give third-party merchants an overview of their listings’ performance. 

Why Do Repricing Solutions Work So Well With Amazon? 

We see far more repricers than for any other marketplace and it’s not just because Amazon is the biggest. There are 3 main reasons for this:

• The catalog based system (ASINs), makes it easy to compare “apples to apples”. A buyer knows he is getting the exact same product from different sellers and the competition is on price and the overall buying experience any individual seller can provide.

• The extensive API that provides a lot of data and makes integration with 3P repricers and other SW solutions relatively easy and effective.

• The buy box is very effective (relatively speaking) in predicting successful sales. The success of a price change getting the buy box can immediately be seen, while seeing the effect of price changes on sales and profit takes far longer.

Facilitate Success Through Repricing Software

Repricing is a delicate task, for a simple mistake can drastically affect your overall Amazon business performance. In order to facilitate competitive pricing for your listings, it is highly recommended to use repricers. 

Using repricing software for your business can help you beat your competitors in the Amazon marketplace while increasing sales conversion in the process. Integrating repricing software into your Amazon business is perhaps one of the best decisions you can make to improve your Amazon venture. 

When it comes to Amazon repricers, you should only consider the best Amazon repricers within the industry. In order to help you sift through the many repricers claiming to be the best, we have outlined important facts and features to serve as your guide.                                                                     

What is Repricing in eCommerce?

Whether it is traditional commerce or eCommerce, pricing always plays a huge role in any sales transaction. The majority of online consumers spend time searching for the best deals and discounts before making any online purchases. 

Simply put, repricing is the increasing or decreasing of price for a particular item listed online in accordance with a specific set of rules and based on various eCommerce store factors. In the context of an Amazon business, Amazon repricing refers to the pricing solution that changes prices of items listed in an Amazon store depending on specific market conditions and other factors.    

For an in-depth discussion of Amazon repricers, you may CLICK HERE.   

Does Your Store Need an Automatic Amazon Repricer?

Amazon sellers worldwide are determined to overtake their competition in the marketplace. In view of such a goal, Amazon seller tools are highly relied upon by sellers to improve their Amazon store performance. The same goes for the pricing needs of sellers. For first-time Amazon sellers, the question of whether a third-party Amazon repricer is necessary or not is a valid question.                

Although manual repricing is a legitimate answer to pricing concerns, the sophisticated features of third-party automated repricers should not be overlooked in 2021. The best Amazon repricers take into consideration numerous factors for success. 

Repricing decisions made by automated repricers are mainly intended for Amazon sellers who have better things to do than spend time manually repricing their Amazon product listings or trying to decipher Amazon’s algorithm. That being said, the repricer you choose must include, but not be limited to price notifications and should understand competitors’ price adjustments, and overall marketplace conditions.              

For a clearer understanding of manual repricers vs automatic repricers, CLICK HERE. 

Choosing a Repricing Software For Your Amazon Business 

• An Algorithm That Works

Repricers are designed to create efficiencies in your business and help you increase and secure your revenue and profit. Trialing your repricer before you purchase is important in order to help you analyze whether or not the repricer is helping you win your entitled buy box share and potentially increasing profit margins. 

Be sure to understand how your repricer’s algorithm works and that they offer automated repricing to help you stay ahead of your competition. Ideally, if you don’t want to set up rules and conditions within your repricer, choose a repricer with a smart algorithm that can analyze results and implement automatic changes.                          

• Flexible Rules

A repricing feature to check when shopping for a third-party Amazon repricer is flexibility. As well as automated repricing, a reliable repricer should have pre-configured rules that Amazon sellers can easily select and implement. Alternatively, the repricer should also be flexible enough to allow sellers to input their own rules with the help of features and other rule-based repricing methods. 

• Quick and Realistic Implementation 

All third-party repricers are allocated 30 price feeds per hour, which is dictated by Amazon. With that in mind, any repricer that promises to repricer faster than every two minutes should be critically examined. If they do reprice faster than every two minutes, this simply means that they are using up their allocated quota for the hour and they will have to slow price changes down once they fulfill 30 price-feeds.    

• Reliable Analytics

Another consideration when choosing an Amazon repricer is data and analytics. With the technological advancements over the past years, it is expected that an Amazon seller tool such as a repricer should have data analytics. Having dependable seller analytics will help Amazon sellers streamline their business by having access to data including current competitors, inventory levels, and changes in revenue and profit.                                                                                                                                          

• Secure System

When it comes to repricing software, don’t just focus on its performance, but also be sure that the system is secure and not prone to malware attacks or glitches. 

• Customer Service                                           

In relation to glitches, Amazon encounters glitches from time to time. Amazon price glitches, in particular, are a recurring concern among sellers. For that matter, it is crucial that your chosen Amazon repricer has reliable customer service and justifiable turnaround time in case of Amazon glitches affecting software performance. 

• Expansion                                   

Since Amazon is an ever-expanding platform, the technology behind your chosen Amazon repricer should likewise evolve along with it. The repricing solution should be open for updates and major changes to adapt to Amazon’s ever-changing guidelines. As Amazon evolves as an online selling platform, so should your chosen Amazon repricing solution.                                                                                                                                                                 

Choose Wisely

To effectively run your Amazon business in 2021, you should maximize the use of Amazon seller tools such as Amazon repricers. Since there are different types of Amazon repricers on the market, you should choose the one that fits your needs. To help you decide on what repricing software to use, ask yourself how much time you are currently spending repricing your Amazon product listings and how aggressive your competitors are with their pricing strategy. 

By applying the principles mentioned above, you can reasonably choose an Amazon repricer that will answer your need for a dynamic repricing strategy.