In the cutthroat world of business, profitability is not just an objective; it's a matter of survival. Irrespective of whether you're a promising startup or a multinational corporation, maximising profit is a common objective that underscores every business strategy. The idea is to strike a balance between revenues and costs, setting the business on the path of growth and sustainability.
No surprises here! Your end goal is to make money with your ecommerce store! Well, that's all fine and dandy but it's not always easy to decide how to price your Ccommerce products in a way that will maximise your profits whilst being fair to your customers.
Product pricing for your ecommerce store can be the most powerful tool in your toolkit when it comes to improving your bottom line but a fine balance is always required - and determined by the products you’re trying to sell.
There are plenty of books out there on the subject of pricing - it's true, some more readable than others! Try these 8 recommended books for size:
Topics: Pricing Books
Why is Price Management Important
In order to maximise your profits and stay ahead of the competition, you have to price at the absolute optimum level. What your business needs is an accurate price management system and the modern, accurate and most efficient solution to all your pricing demands is to invest in a price management software solution.
In his article "How to Implement Dynamic Pricing without Sacrificing Margins or Customers”, Arie Shpanya confirms what we probably already knew, that Amazon is still the reigning champion of dynamic pricing.
Want to change your prices in real time to adjust to market conditions? Want to keep up with your competitors at all times? Well, dynamic pricing might be the answer.
Dynamic pricing, also referred to as surge pricing, demand pricing, or time-based pricing is a pricing strategy in which businesses set flexible prices for products or services based on current market demands.
Ecommerce companies are able to change prices based on algorithms that take into account competitor pricing, supply and demand and other external factors in the market.
Topics: Ecommerce Company
Want to change your prices in real time to adjust to market conditions? Want to keep up with your competitors at all times? Well, dynamic pricing might be the answer you are looking for.
Pricing is based on three critical points:
- What your product or service is worth to your customers (it's value).
- What it costs you to produce your product or provide your service.
- The price your competitors charge.
Topics: Price Manager
Change can be difficult; sometimes it's much easier to carry on as we are and not try to rock the boat. However, when it comes to pricing it's not a good idea to stick with the same old, same old (or, indeed, to bury your head in the sand).
Topics: Pricing Strategy
Retailers spend too much time on tracking competitors’ price changes across all channels.
With “Tracker”, our new Google Shopping Competitor scraping technology, and brand new dashboard you can eliminate the complicated, time-consuming process of tracking your competitors’ products as well as price changes.