General Repricing Strategy Guide

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Here at BQool, we strive to provide the best repricing user experience possible and are proud to help the BQool community succeed in their perpetual Amazon pricing wars. However, with so many different Rule Setting and Competitors scenarios, it can be confusing and tiresome to set everything up properly to stay ahead in every price competition. 

We’re constantly getting inquiries from the community on how to set up the Repricing Rule to maximize profits or to increase the time your products stay King of the Buy Box.   

In order to help the community out, we’ve included several Repricing Strategies, the users can use to achieve the Repricing outcome they're hoping for. Please understand that everyone’s Business model is different. We could do our best to create a highly versatile Rule model. Please make sure the Strategy you choose fit your Business model.  

 

For the relative Beginner,

Default Repricing Rule settings

For the relative Beginner, you can use our default Repricing Rule settings for good results while you learn the ins and outs.    

Compete for the Buy Box- Maximize the Profit 

This rule uses the current Buy Box price to adjust your position. Once you’re in the Buy Box, the Buy Box Settings will raise your price to maximize profit by looking for the competitor’s price above you. Only when a competitor has taken the Buy Box away will the Repricing Settings lower or raise your price according to the new Buy Box price. 

Compete for the Buy Box - Stay Competitive 

This rule uses the current Buy Box price to adjust your position. Repricing Settings will lower or raise your price to 3% lower than the Buy Box price. If the  Buy Box price is equal to your Min Price, then you’ll be re-priced at your Min Price. When you are in the Buy Box, the Buy Box Settings will keep your price competitive to increase the time that you have ownership of the Buy Box. The Buy Box Settings will be able to increase and decrease the price of your listings to maintain a competitive advantage relative to your competitors. 

Staying Competitive 

We start by competing against the lowest priced competitor above your Min Price. This puts you in a good position to win the Buy Box. If competitors are equal to or below your Min Price, then we’ll look for the next eligible competitor above your Min Price. When you're in the Buy Box, the Buy Box Settings will keep your price competitive to increase Buy Box ownership. Both the Buy Box Settings and the Repricing Settings will be able to lower and raise your price to maintain a competitive advantage relative to your competitors. 

Maximizing Profit 

As the name implies, this rule focuses on protecting your margins while still trying to maximize your profits. We will lower your price to put you in a position to get the Buy Box. Once you're in the Buy Box, the Buy Box Settings will raise your price to maximize the profits you earn during your Buy Box duration. This rule will exclude the back-ordered offers to avoid an intentional price drop. Using the Repricing Settings, we will be able to lower and raise your price to keep you competitive while staying within the range of your profit margins. 

For the Amazon Veteran Seller, 

Strategy 1: BQool Default Setting: Get Buy Box 

The default Setting: Stay Competitive is always effective for competing with the Buy Box owner and for increasing your own Buy Box duration time. 

The main concept is that we start by competing against the lowest priced competitor above your Min Price. Subsequently, the system adjusts Your Price with $0.01 less than your main competitor until you win the Buy Box. 

When you're in the Buy Box, the Buy Box Settings will keep your price competitive to increase your Buy Box ownership duration. The Buy Box Setting will make sure Your Price is at a moderate distance from the next eligible competitor by setting Your Price to be 3% lower than the Competitor’s Price. 

For example: 

Min Price: $5.99 

A competitor: $6  

Your Price: $9 (Buy Box Owner)

B competitor(eligible competitor): $10 

C competitor(eligible competitor): $11.99 

Max Price: $15 

BQool repricer will compete with B competitor and adjust your price to $10-10X3%=$9.7 

Strategy 2: Get Buy Box Aggressively 

The main concept of this rule is that as long as the Buy Box Price is above your Min Price, the system will directly target it with a 5% lower Price. It is a strategy designed to maintain the Buy Box Ownership for the longest time. I recommend that you set your Min Price higher to prevent a significant price drop and use this method to maximize Your Buy Box duration time. 

For example: 

Min Price: $5.99 

A competitor: $6  

B competitor: $10 

C competitor: $11 (Buy Box owner) 

Your Price: $13 

D competitor: $14 

Max Price: $15 

 

BQool repricer will compete with C competitor which is Buy Box owner and adjust your price to $11-11X5%=$10.45 

Strategy 3: Moderate Approach to Match the Competitor’s Price 

This is a very friendly strategy, so you certainly won’t get much ire from other sellers by engaging in a Price War. This strategy is the true meaning of “Price Match.” We would suggest you disable the Buy Box Setting, it can keep your price to be more flexible and not get into the Price War. No matter you are in the Buy Box or not, BQool repricer will adjust your price base on the only rule: Repricing Settings. You can closely follow the competitor with the Lowest Price(Buy Box Price). No matter how the main competitor raises or lowers its price, the system will adjust its price to match with it. That being said, if the other sellers have similar Feedback ratings, in theory, they should still take their turn to have ownership of the Buy Box.  

For example: 

Min Price: $3 

A competitor(eligible competitor): $6  

B competitor(eligible competitor): $10 

Your Price: $11 

C competitor(eligible competitor): $11.99 

Max Price: $15 

BQool repricer will compete with A competitor and adjust your price to $6-$0=$6 

Strategy 4 Only Competing with FBA 

This Repricing Rule only targets eligible FBA competitors, which is widely used for FBA sellers. By choosing the Repricing Rule Setting: Compete with the Lowest Price and only focusing on FBA competitors, the system will closely follow the targeted FBA competitor’s price.  

This is a simple and safe strategy, which adjusts Your Price to be low enough to win the Buy Box and avoid the significant price drop from competing with other fulfillment type sellers. More important, this setting will trigger more repricing activities and keep your listing dynamic. 

Strategy 5: Only Compete with the FMB sellers (Advisable for FBA sellers) 

It’s no secret that the FBA sellers have great advantages to win over Buy Box when competing against FBM sellers.  

This method is advisable for FBA sellers. Basically, with the fulfillment type advantage, FBA sellers could increase the profit margin by 3 % (The percentage varies for different competition situations) above the eligible FBM Competitor’s Price and still have a higher chance winning the Buy Box.  

The strategy helps the FBA sellers increase their profit margins and maintain the Buy Box ownership when competing with the FBM competitors.  

 

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