Real differences between Amazon re-pricers?

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Midlothian, VA United States
Jax Music Supply
Kudos: 2,358
Joined: May 25, 2009
Real differences between Amazon re-pricers?
15 Sep 2016
I currently use a repricer on Amazon. I'm generally pleased with results. However, I notice there are quite a few competitors. I see a huge variation in prices but I really don't see much difference, especially since I just set a price range and let it ride. I rarely need to contact them for any issues. Are any of them really better than the other? They all perform the same functions for the most part. They all use the same Amazon APIs. Should I bother to shop around or just find the best price?
Nottingham United Kingdom
Bigian13
Kudos: 2,223
Joined: Feb 21, 2014
Re: Real differences between Amazon re-pricers?
16 Sep 2016
@Jax Music Supply

If you are happy with the results, then why change ? That is what we thought at one stage anyway.

We started using a repricer that we got 'free' with our Linnworks package. It was basic and all it really did was undercut the competition by a set amount until you reached the minimum price you were prepared to sell at. It worked and just about did the job intended. Sales increased compared to not using it.

After having had a look at others on the market, during a quiet day in the office, we found that this offering was a bit limited and so we trialed a few others and eventually went for another repricer where we could set loads of parameters, possibly too many, and potentially achieve a better margin than on our old software.

We can now get up to 10% more than the lowest price while still getting the legendary 'Buy Box', even when it is only us against Amazon.

The minimum you should really look for is the ability to reprice against: price, feedback, FBA and availability / delivery.

Up time and customer service is also something to be seriously taken into account.

No matter what others say though, only you know your business. If you are happy with the results you are getting is it really worth the hassle in changing your software ? Only you can decide.

[Last edited: 17 Sep 2016]
E-commerce , love it or hate it, that's why we are here
Midlothian, VA United States
Jax Music Supply
Kudos: 2,358
Joined: May 25, 2009
Re: Real differences between Amazon re-pricers?
17 Sep 2016
@Bigian13 Thanks. Yeah, I am fine with it. I have a minimum and maximum and that's all I really worry about. Most of my sales issues are with Amazon having the buy box. That is one that I will never win in any case.
Ireland Ireland
liam.keegan
Kudos: 24
Joined: Jan 4, 2016
Re: Real differences between Amazon re-pricers?
20 Sep 2016
@Jax Music Supply like Bigian13 said, being able to reprice based on a number of factors, other than price, is an extremely important part of winning the Buy Box.

Some of the important competitive factors include FBA vs FBM, domestic vs international sellers, free shipping, stock levels, feedback rating and more.

Speed is also a crucial factor in winning the Buy Box ahead of your rivals. Repricers range from repricing every hour to repricing instantly.

Our Amazon repricer, XSellco Price Manager, reprices in real time and allows you to compete based on a number of advanced competitive factors. It also provides you with competitor analytics and performance reports.

You can try XSellco Price Manager on a free 14-day trial.
Nottingham United Kingdom
Bigian13
Kudos: 2,223
Joined: Feb 21, 2014
Re: Real differences between Amazon re-pricers?
29 Sep 2016
@Jax Music Supply

You would be surprised how often we beat Amazon to get the Buy Box, and it is not all about price.

Let me give you an example: On a certain ASIN there were three companies selling, us, Amazon, and a real discount seller. At the beginning of September we started having to ship a lot more of this item to Amazon for FBA than normal, with the selling price higher than normal as well. I had a look at the listing and it appears that the discounter was not showing up (it turns out the company has 'disappeared'), and so it was us against Amazon. Unfortunately for Amazon we had bought the last remaining stock available for the next 6 weeks or so, and so Amazon were taking pre-orders until new stock arrived. As we had stock, and our re-pricer was set to increase the price by 9% if other sellers had delivery times over 5 days, we were not only selling more, but at a much better price. If we were still using the standard re-pricer that we had before we would have sold the same amount, but at a lower margin because we would be trying to undercut Amazon to our minimum selling price. On that one item we made around an additional $400 a week for the next two weeks.

It may be worth considering your options.
E-commerce , love it or hate it, that's why we are here
Midlothian, VA United States
Jax Music Supply
Kudos: 2,358
Joined: May 25, 2009
Re: Real differences between Amazon re-pricers?
29 Sep 2016
@Bigian13

Possibly. Looking at some today at lot of what we are losing are against Prime. We do not do FBA - it simply isn't worth it for our items. Many of the items we lose against Amazon on they are selling below cost - below what they are even buying it for ( I have good knowledge on some of these items from the supplier).
Herts, England United Kingdom
Andy
Kudos: 11,603
Joined: Jan 1, 2001
Re: Real differences between Amazon re-pricers?
29 Sep 2016
@Jax Music Supply

Have you applied for Seller Fulfilled Prime? You get the Prime benefits without using FBA so it's a good fit for long-tail and low-margin items that aren't great for FBA.

go.amazonservices.com/Seller_Fulfilled_Prime_Application.html

[Last edited: 29 Sep 2016]
Andy Geldman, Web Retailer
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Nottingham United Kingdom
Bigian13
Kudos: 2,223
Joined: Feb 21, 2014
Re: Real differences between Amazon re-pricers?
30 Sep 2016
@Jax Music Supply

I know what you mean about Amazon selling below cost. We know what Amazon are charged for some items from some of our associated companies and it appears to us mere mortals that it is commercial suicide, but they do it and still make an overall profit. Maybe they are basing it on cross selling products ?

We were very apprehensive when we first started doing FBA, but we worked out that it was actually cheaper on several items to ship to Amazon and then let them despatch them to the customers rather than do it direct and get the occasional 'Item Not Received' claim. We only have around 7 days stock at Amazon so we get low storage fees as well.

If you are making money and are happy then why worry ?
E-commerce , love it or hate it, that's why we are here
Midlothian, VA United States
Jax Music Supply
Kudos: 2,358
Joined: May 25, 2009
Re: Real differences between Amazon re-pricers?
1 Oct 2016
@Bigian13

I am looking at applying to do seller Prime as Andy suggested. I have run the numbers and there is really no way to make FBA work for a lot of our items. We have a lot of long tail and many of our items are very light. I even looked at the small and light program (they wanted us to help test it) but it still wasn't cost effective. I have items I can sell on Amazon that I can make a decent profit on with free shipping (plus Amazon commission) than what the minimum Amazon FBA fee works out to be. Of course, Amazon sells some of these items as Prime "add-ons" for less than I can get from my wholesaler. I've thought about order $50 worth of these "add-ons" since it cheaper than buying from the manufacturer by about 15%.
Supplier
New York United States
Amzpecty
Kudos: 91
Joined: Oct 4, 2016
Re: Real differences between Amazon re-pricers?
4 Oct 2016
@Jax Music

Repricers are software. They can be programmed to reprice in response to other factors, as mentioned by others. If you see a difference in prices with your competitors, they might have set different parameters for their repricing.

As to what's the difference between each repricer, it could be in the different pre-determined actions that they make available for the seller. The bottom line really is - they're meant to work the way you tell them to, and if they're giving you good results, then you could just ride with it as you put it.

I could look at each of them in detail but it would be a conflict of interest on my part as I represent a software developer too.
Pricing can make or break an e-commerce website. You can check competitor quantity and pricing on Amazon now with Amzpecty.
Midlothian, VA United States
Jax Music Supply
Kudos: 2,358
Joined: May 25, 2009
Re: Real differences between Amazon re-pricers?
4 Oct 2016
@Amzpecty

Thanks. I used to be a programmer (I program a lot of my own stuff) but I do pay for a repricer on Amazon. I see different price levels all over the place. I don't see how that could be if there are not much differences between them. How can one charge $150 a month and another $25 a month? It makes no sense.
Supplier
New York United States
Amzpecty
Kudos: 91
Joined: Oct 4, 2016
Re: Real differences between Amazon re-pricers?
4 Oct 2016
@Jax Music Supply

That I can understand. I must've misread your earlier comment, but yes, the spread between the prices is too wide not to be questioned. I think it's apparent one of them is over-pricing, and we won't know why it's not trying to price itself competitively.

[Last edited: 4 Oct 2016]
Pricing can make or break an e-commerce website. You can check competitor quantity and pricing on Amazon now with Amzpecty.
Nottingham United Kingdom
Bigian13
Kudos: 2,223
Joined: Feb 21, 2014
Re: Real differences between Amazon re-pricers?
5 Oct 2016
@Jax Music Supply

It is the same with multi channel inventory software. Prices vary so much, and to be honest it appears to me that those that offer the least, often charge the most.

[Last edited: 5 Oct 2016]
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