How do you price a product? You look at the margin you want to make. Look at what your competitors are charging.
Pricing is king because nothing else will define your business and products more – or, have such a vital impact on the success of your business. Your prices influence how many customers actually make a purchase, how your products are perceived, the types of customers you attract and the amount you collect in sales revenue.
Now that the non-essential high street shops have finally been opened, will we be making a beeline for the tills loaded down with purchases?
As an ecommerce leader, you need to understand your market in order to grow.
Running your BigCommerce store leaves you with little time. Between product management, optimising your online store, and supporting your customers, you must not neglect your pricing.
Consumers predictably resent being taken advantage of during pandemics. They may display some sympathy for the unprecedented situation that traders now find themselves in, and understand some supply-chain issues, but they definitely don't want to be fleeced.
The global pandemic is producing "extreme market dynamics". In some markets, demand is skyrocketing and companies are struggling to keep up. At the same time, demand for many other goods has all but dried up: who wants to buy the latest summer fashion if you've nowhere to show them off?
We are going through tough economic times. You may believe that the easiest strategy to get customers flocking back would be to lower your prices. Alternatively, you could consider raising your prices to bring in some much-needed revenue. If you take the latter path there’s bound to be trepidation that this could be the final nail in your retail coffin, that your customers will abandon you for those other retailers offering cheaper products.
It shouldn’t be a surprise that ecommerce has changed dramatically in the last few months. Lockdown has significantly altered consumer behaviour as we’ve been forced to adjust our lives.
Ever wanted to know the back story to BlackCurve, and why it was founded?
In this short video, BlackCurve's Founder and CEO, Philip Huthwaite, gives viewers an insight into how BlackCurve makes competitor pricing decisions.