A. Strategies for Resellers
1. BuyBox Strategy:
Maximize Visibility and Sales Volume
Why Use It: The BuyBox is the holy grail for Amazon sellers. Around 80% of all Amazon sales go through the BuyBox. Winning it significantly boosts your product's chances of being purchased. This strategy dynamically adjusts your price to improve your chances of winning the BuyBox while considering essential factors like fulfillment method (FBA/FBM), shipping speed and seller rating.
How It Works: The repricer automatically analyzes the BuyBox price and sets your price to be competitive without necessarily being the lowest. It balances competitiveness and profitability. Once the BuyBox is secured, the repricer tries to increase the price without losing the BuyBox.
Best For:
Sellers using Fulfillment by Amazon (FBA).
Sellers with strong seller performance metrics (high feedback score, fast shipping).
Products with high competition where visibility matters most.
Practical Example: You sell Wireless Earbuds for $29.99, but the BuyBox price fluctuates between $27.99 and $30.50. The repricer adjusts your price to $28.99, enough to remain competitive and win the BuyBox without undercutting unnecessarily.
Why This Helps: You boost sales without sacrificing your entire profit margin.
2. Default (Lowest Price) Strategy:
Attract Price-Sensitive Customers
Why Use It: This strategy is designed to always make your product the cheapest available. It’s perfect for highly competitive markets where customers choose based on price.
How It Works: The repricer constantly monitors competitors’ prices and ensures your price remains the lowest on the listing. However, this can sometimes result in a "race to the bottom."
Best For:
Clearing out old inventory.
Selling commoditized products where differentiation is minimal.
Attracting price-sensitive buyers.
Practical Example: You sell Phone Chargers that cost $3.00 to produce. Your competitors price between $4.50 and $5.50. The repricer sets your price at $4.49, ensuring you’re always the lowest-priced option while keeping a small margin.
Why This Helps: Great for quick inventory turnover, but watch out for shrinking margins.
3. Position Strategy:
Control Your Pricing Position
Why Use It: Not every seller wants to be the cheapest. Sometimes, maintaining a specific position in the pricing hierarchy can be more profitable and sustainable, especially if your main competitor is Amazon (with unfair low price or if another seller is doing a liquidation of that product). This strategy lets you choose to be the 2nd lowest, 3rd lowest, and so on.
How It Works: The repricer monitors competitor prices and positions you at the exact rank you prefer. This avoids unnecessary price drops while keeping you visible.
Best For:
Sellers aiming to avoid price wars.
Products with medium to high margins where being second or third is still competitive.
Practical Example: You sell Organic Protein Powder priced at $39.99. The lowest competitor price is $36.99. Instead of undercutting to $36.98, you choose to be the 2nd lowest at $38.49.
Why This Helps: Keeps you competitive without slashing prices unnecessarily.
4. Same Price As Strategy:
Match Your Key Competitors
Why Use It: When you’re in direct competition with a specific seller, matching their price can help you stay competitive without undercutting each other. Keep in mind that if you have better metrics than your competitors, you will win the BuyBox.
How It Works: You input the Seller ID of the competitor you want to match. The repricer automatically adjusts your price to mirror theirs.
Best For:
Sellers in niche markets with few competitors.
Ensuring compliance with MAP (Minimum Advertised Price) policies.
Practical Example: You sell a High-End Gaming Mouse priced at $89.99. You want to match Seller X because they have the same product and strong brand presence. By using their Seller ID, your price will always mirror theirs, ensuring fairness and parity.
Why This Helps: Creates a stable price environment and avoids unnecessary price wars.
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