Kickstart with the Right Pricing Strategy: Find the Strategy That Truly Fits Your Business with the SELLERLOGIC Repricer – Including Practical Examples!
With the SELLERLOGIC Repricer for Amazon, online sellers have access to a variety of different strategies that can either be tailored to their individual needs or automatically optimize prices reliably. The strategies are versatile and cater to both sellers of branded goods and owners of private labels.
The SELLERLOGIC Repricer never ignores the set minimum or maximum price. The optimization thus occurs exclusively within the specified price range. If matching or undercutting the price is limited by the set minimum price, that minimum price will be applied. If there is an opportunity to raise the price, it will be increased up to the maximum price.
If everything is moving a bit too quickly for you, or if you want to refresh your basic knowledge at this point, you can find everything on the topic: “What is Repricing and What 14 Major Mistakes Should Sellers Avoid?”
Optimization Strategies of the SELLERLOGIC Repricer
The SELLERLOGIC Repricer can do much more: With the strategies presented, both inexperienced and seasoned online sellers can optimize their prices. The strategies are available to every customer at no additional cost and can be applied to individual products as well as product groups. Below, we would like to introduce you to the various strategies in more detail.
#1: Buy Box
The Buy Box accounts for 90% of all sales on Amazon, as very few customers even notice that there is a second box with additional sellers further down on the product page. Consequently, the competition for the small yellow shopping cart field is particularly high, especially for branded goods. Therefore, the SELLERLOGIC Repricer has a strategy specifically designed for optimizing the Buy Box.
To obtain the Buy Box, the product price is crucial, along with several other factors. Unlike many other conventional repricing tools, the SELLERLOGIC tool does not rely solely on the lowest price. Once the Buy Box is won, the work of our repricer is not done: it continuously analyzes the market situation and raises the price until either the maximum price is reached or the premise of maintaining the Buy Box prohibits further price increases.
In this way, it is possible to win the Buy Box with the SELLERLOGIC Repricer without losing sight of your own margin. On the contrary: you increase your sales and achieve higher prices and higher margins than without using the tool!
Application Example of the Buy Box Strategy
#2: Cross-Product Strategy
However, the Buy Box is not crucial for all sellers on Amazon. Private label products are typically offered by only one seller, automatically holding the Buy Box. In such cases, the competition does not take place on the product detail page but rather on the search results page. Everything revolves around visibility: those who achieve a good ranking here win the customers.
In addition to optimal Amazon SEO, the product price also plays a role here. And not just for the algorithm, but also for the customer. Amazon prominently displays the price of the product even before customers have clicked on a listing.
The purchasing decisions of Amazon customers are therefore heavily influenced by the product price. Those without competing products can, of course, decide purely based on desired margin and demand – but very few sellers or manufacturers enjoy this comfortable situation. All others should set their prices based on the competition. This ensures that the product price remains attractive, leading to higher sales figures and a better ranking in Amazon search results.
With the cross-product strategy from SELLERLOGIC, a selected product can be compared with up to 20 similar competitive products, and the price can be adjusted accordingly. Sellers specify which products to compare based on the ASIN and set the price gaps to the listed products. The repricer then regularly checks the competitive prices and makes price adjustments if necessary.
However, automated price optimization has additional advantages: the application of the cross-product strategy not only ensures attractive pricing but also prevents underpricing and the associated margin losses. The SELLERLOGIC Repricer will never ignore your minimum and maximum prices. An automatic calculation based on your costs is even possible. This way, you can maintain your profitability in the simplest manner!
#3: Daily Push
However, not every Amazon seller sells highly competitive branded goods. For lesser-known brands with only one seller or even private labels, it would be unwise to force the Buy Box, as it is typically won without price optimization. Instead, the Daily Push strategy allows for optimization based on one’s own sales figures.
The SELLERLOGIC Repricer starts daily at 00:00 with a set starting value, such as the minimum price. As sales figures increase, the price can be gradually raised based on this increase, for example, by three percent for every 50 units sold. It is also possible to combine different rules, such that the price increase is proportionally higher the more units of a product have already been sold. Conversely, the opposite scenario can also be established: after X units sold, the price decreases by Y percentage points.
Application Example 1 of the Daily Push Strategy
Let’s assume a seller is selling decorative items of their own brand “SiehtGutAus” on Amazon, including high-quality candle holders with a starting price of 39 euros. While some orders typically come in during the morning, the bulk of the daily business occurs in the evening hours. Therefore, the seller instructs the repricer to lower the price of the candle holder SKU by five euros after 50 units sold. After another 50 sales, the price decreases again by four euros.
The price reduction typically boosts sales, which in turn increases the ranking of the product detail page. In the evening hours, when most buyers in this category browse Amazon, the visibility and discoverability of the product are significantly better, leading to increased sales. At midnight, the price is raised again – thus preventing a price decline.
Application Example 2 of the Daily Push Strategy
The same seller is also active in the pet supplies sector. With a starting price of 50 euros, the ten-kilogram bag of premium dry dog food is not a bargain, but due to its monoprotein source and organic ingredients, the food has established itself in the market and is fairly well-known among dog owners with allergic dogs. As a result, the product has already built a good level of visibility in Amazon search results. With the repricer, the seller now increases the price by ten percent after 20 units sold, then decreases it again by ten percentage points after another 20 sales, raises it again, and so on.
In this way, he is able to achieve a higher margin for this product throughout the day without risking a potential loss of discoverability or visibility of the listing.
#4: Push
The Push strategy also allows for optimizing the price based on sales figures using the SELLERLOGIC Repricer. Unlike the Daily Push, the Push strategy is not applied in a 24-hour rhythm but can be extended to a duration defined by the customer. Additionally, time-based and quantity-based optimization can be combined.
Private label sellers, in particular, benefit from being able to control their selling prices over a longer period and thus influence the demand for the product. For example, it is possible for the repricer to increase the price by a certain value Y during periods of particularly high demand over the last X days. Conversely, when demand decreases, it optimizes the price downward.
Of course, it is also possible with this strategy to prevent the loss of the Buy Box by checking the appropriate box. This makes the push optimization suitable for sellers of less competitive branded goods as well.
Application Example 1 of the Push Strategy
The seller has noticed that he is receiving more and more inquiries about whether the monoprotein dog food is also available as wet food. Therefore, he is now selling the food in a can as well. However, since this is a new listing on Amazon, visibility and discoverability are correspondingly poor after the product launch. The seller therefore specifies that the repricer should increase the product price by €0.10 after five sales and by €0.50 after ten sales. After 15 sales, the price should then increase by 3%, and after 20 sales, by 5%.
In this way, margin and ranking can be gradually increased.
Application Example 2 of the Push Strategy
Additionally, our seller has added another candle holder to his decorative assortment. Due to its unusual design, he is unsure whether the product will be well-received. Therefore, he instructs the repricer to lower the price by one euro if fewer than ten units of the item are sold within a week. Conversely, if more than 20 units are sold, the price should increase by one euro. If sales between ten and twenty units are registered, the current price will remain unchanged.
This way, the seller can optimize the price up to the point where the product reaches the customers. If the desired sales figures are not achieved, the product will sell out, freeing up capital. On the other hand, the margin is maximized when demand for the product increases.
#5: Manually
Every Amazon seller has their individual needs. We understand that you have your own requirements for a repricer. Therefore, with the SELLERLOGIC Repricer, you can also create a manual strategy that is tailored specifically to your business. The manual strategy can refer either to the lowest competitor, to the competitors defined in the “whitelist,” or to all other competitors that are not excluded by the “blacklist.”
The SELLERLOGIC Repricer provides you with several parameters:
Application Example of the Manual Strategy
In addition to decorative items and pet supplies, our seller also offers branded goods such as some electronic products, including a daylight alarm clock from a lesser-known brand. However, there are other sellers on this listing, but only a few are real competitors. The others have very long delivery times or show poor performance. Therefore, the seller creates a blacklist and undercuts the price only of the competitors who are not on the blacklist.
#6: Position
Aside from position 1 in terms of the Buy Box, up to three additional sellers are often displayed on the product detail page. The repricer is capable of optimizing for these positions as well. For example, if the goal is to maintain the third position permanently, the SELLERLOGIC tool will adjust the selling price accordingly.
Application Example of the Position Strategy
The daylight alarm clock from the example above is performing quite well. So well, in fact, that Amazon takes notice of the item and asks our seller if they would like to sell directly to Amazon. He does not want to miss this opportunity, but he is aware that his work is not done yet.
From now on, Amazon inevitably wins the Buy Box. Therefore, the seller configures the repricer to maintain the second position with his remaining offer. This way, he can stabilize the selling price of the Amazon offer with his own price and benefit doubly.
Additional Ways to Use the Repricer
In addition, the SELLERLOGIC Repricer also offers rule-based optimizations. Therefore, it is possible to optimize the price in the following ways:
Typically, dynamic strategies are preferred over rule-based settings, as no human could perform the data-intensive analysis faster or better than the SELLERLOGIC algorithm. However, there are cases where rigid rules are the smarter option, especially when results need to be as easily calculable as possible. These strategies can be effectively utilized by both private label providers and sellers of branded goods.
Onboarding and Consultation Included!
Especially at the beginning, the many optimization and setting options of a repricer can overwhelm the user. However, this is no reason not to try out the sales-boosting possibilities, not least because customer service is included with SELLERLOGIC. We provide you with thorough advice before and after the activation of the tool.
Every customer receives comprehensive onboarding from us, which not only aims to familiarize them with the user interface – it is equally important to us that the SELLERLOGIC Repricer achieves the best results for you. Therefore, we are happy to set up the tool together with you and tailor all settings to your individual business! Should any issues arise or questions come up, we are always available to assist you – even if you have been using the repricer for a long time.
Our service is already included in the product price! There are no additional costs for setup or similar services. To help you get to know the repricer, we also offer you the opportunity for a non-binding 14-day trial period. This trial period does not automatically extend, but only if you actively agree to it. You will, of course, still benefit from our onboarding!
