One of the key factors which influences the customers is price, as PWC research shows. In the eCommerce highly competitive environment it’s crucial to set and fine-tune the pricing strategy to outperform the competitors. Here are the main points to build your competitive monitoring strategy.
Find the most price-sensitive items and see where they are echoing with the products in other online stores.
When those products are identified, you will use your competitive monitoring software to compare the prices and availability of them at yours and your competitors’ store.
— the results
You will be able to clarify the market situation and your positioning and to wisely optimize your prices.
It’s possible with qualitative competitor data. For example, if you know that your competitor is out of stock today, or that his price is higher, don’t hesitate to raise your own price.
Ease the stock, attract more customers, increase margins while spending only 15 minutes on repricing with a set up price monitoring software.
Some tricks to improve
To do that, define the KVI’s. They play the central role in setting the pricing strategies. They help manage pricing decisions for particular items and to set up efficient price index.
Category strategy goals are directly impacting the KVI lists. To define the KVI’s in the modern way, use different sources, segment items in pricing groups, and renew the KVI lists as often as possible to stay on the wave.