Do you know what your competitors are up to? What is their price positioning? What are their pricing strategies and current tactics? Well, you should. Because you can tremendously profit from it with higher margins and higher revenue.
Competitor pricing analysis can bring the following benefits to retailers:
- Increase margins by adjusting prices at the right time in the right place
- Increase sales, hence higher revenue
- Maintain a competitive position in the market
- Improve your own cost management by using competitor prices as a negotiating ground with suppliers, or review your own overheads cost and production cost
- Come up with effective pricing strategies, especially during sensitive times such as season-end sales or holiday seasons
Amazon has a couple of hundred people for data sourcing and is famously good at using data to fuel their rapid growth. Many companies have understood the importance and already profit from data-informed decision making. It is likely that some of your competitors are already purchasing competitive data today and you should not get left behind. On the other hand, some of your competitors are probably not and you can still get a great return on investment from it. Now is really a great time to start diving into competitor price analysis, considering the possibilities that are being offered with products like Price API by metoda.
For your analysis to be valid, you need a broad look over all their relevant products and you should use data from a longer time span, but also have a resolution that shows you how, when and how often they change their prices.
Without a data provider, this is virtually impossible to achieve. Gone are the days where it would suffice to send an intern to the store across the street and look at their current special offerings once a week. And considering that you intend to base your strategies on the findings, make sure they are providing quality data.
A real-time market data service could bring the following benefits to retailers:
- Save time from manual competitor price checking and monitoring
- Get the real-time moves on the market to always be aware of what competitors are up to
- Save cost as you enjoy the economy of scales of our scraping service
- Obtain reliable data, reducing human errors or lag time of manual monitoring
How could Price API help your business with competitive pricing analysis?
The real-time market data that Price API provides could help your business to answer questions including (but not limited to) the following:
- Who are my competitors that are competing with the same products?
- Which competitor has the lowest price for a product that I also offer?
- What is their their price positioning on a global, category and per-product level
- How often do my competitors reprice?
- How do they react to other competitors’ price changes?
- When do they adjust their prices and exploit the opportunities?
- What could be my competitors’ future moves based on their historical pricing strategies
- What are my up and cross-selling opportunities to maximize margins based on what my competitors are doing?
Talk to our experts for a free consultation as to how Price API can support your competitor pricing analysis needs, or simply start a free trial with Price API to use 1000 free credits.
Benefits that Price API data solution offers:
- Team of experts: We employ a big team of scraping experts working sometimes even on the weekends to fix crawling problems, so that you don’t have to.
- Save cost: Hiring experts and setting up and maintaining infrastructure cost a lot. We take care of it so that you can benefit from our economy of scale to reduce unit cost.
- Data sources from 35 countries: Think about international expansion? Price API offers you the data that you can compare between markets.
- Many data sources, even difficult ones: Utilize our economy of scale with the amount of data sources that we offer, with over 20 market places, shopping comparison sites, to automotive sources. We can scrape even some of the hardest platforms, such as Google Shopping.
- Experience in e-commerce market data service: We have helped hundreds of retailers succeed with their business with the data we provide.
- Broad range of industries: Our customers come from all industries, from games & toys, beauty & fashion to automotive, home & furniture. We offer the data solutions for your needs.
- Broad range of scale: From big retailers to marketing agencies, to pricing/ repricing solutions, we offer you the data you need
- Reliable data with high accuracy: Get the exact products that you are looking for, no more and no less. With product identifier numbers, the level of product matching accuracy is 100%.
- Flexible system: Integrate the API the way you want to into your own solutions, your system, or simply use the data the way you want to. With Price API, you are only bound by your own creativity.
- Integrability: The API could be integrated into any solutions that you want to build or use. The data is structured and transparent, and could be easily shared between different departments as well as combined with other product database that are already existing.
- Free Trial with 1000 free credits to explore the full range of our product
- Extensive customer support to assist you with all details.
What is competitor pricing analysis?
Competitor pricing analysis is the process of analyzing the pricing strategies of your competitors, in order to know about their pricing strategies and positioning.
What is competitive pricing strategy?
Competitive pricing strategy is setting the price following the prices of your competitors. Normally this applies to retailers with the same or very similar product categories. Once you have done the competitor pricing analysis job and are aware of what strategies the competitors are using (by monitoring and comparing their prices over time and versus your own prices), adjusting your prices according to the prices of the competitors with consideration of your own production cost and the price sensitivity of the customers, is the process of setting your competitive pricing strategies.
Competitive pricing is just one of the many other pricing strategies that a company can adopt. Other methods include cost- plus strategy, demand pricing, and markup pricing).
Why is it important to analyze your competitors’ pricing strategies?
This process is extremely important if your product has passed the development phase, and is now part of the market, which has a lot of product substitutes as well as competitors. The market nowadays is very transparent to your end users, thanks to a lot of means for pricing checking and alerts. But it is much harder for you as a retailer to do it manually as you have a large amount of products to keep track of, and the frequency of price changes of your competitors are getting higher and higher. Without setting the competitive prices, you might end up not winning the Amazon’s buybox, or not get on the first result page of google shopping, hence having less chances of being found by your potential customers. When your competitors are out of stock and if you know it, it’s the time to raise the prices and rack up your profit margins at the right time.
Interested in Competitor Price Analysis?
We helped hundreds of customers boost their sales and profit. Talk to our experts today, how Price API can help your business.